Wall Street Zen Downgrades ResMed (NYSE:RMD) to Hold

Wall Street Zen cut shares of ResMed (NYSE:RMD - Free Report) from a buy rating to a hold rating in a research note released on Saturday.

A number of other analysts also recently issued reports on RMD. Morgan Stanley set a $286.00 price target on shares of ResMed and gave the stock an "overweight" rating in a report on Tuesday, May 20th. Mizuho set a $265.00 price target on ResMed in a research note on Wednesday, April 16th. UBS Group reduced their target price on ResMed from $290.00 to $285.00 and set a "buy" rating for the company in a report on Thursday, April 24th. Stifel Nicolaus dropped their price target on ResMed from $250.00 to $240.00 and set a "hold" rating for the company in a research report on Wednesday, March 5th. Finally, Citigroup raised shares of ResMed from a "neutral" rating to a "buy" rating in a research report on Wednesday, March 5th. One analyst has rated the stock with a sell rating, six have issued a hold rating, eight have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $259.33.

ResMed Price Performance

RMD stock traded up $3.42 during midday trading on Friday, reaching $246.26. The company had a trading volume of 1,056,206 shares, compared to its average volume of 1,023,598. The firm has a 50-day moving average price of $228.30 and a 200-day moving average price of $234.10. ResMed has a 1 year low of $179.42 and a 1 year high of $263.05. The company has a debt-to-equity ratio of 0.13, a current ratio of 3.33 and a quick ratio of 2.29. The company has a market capitalization of $36.11 billion, a P/E ratio of 29.07, a P/E/G ratio of 1.53 and a beta of 0.78.

ResMed (NYSE:RMD - Get Free Report) last released its quarterly earnings data on Wednesday, April 23rd. The medical equipment provider reported $2.37 earnings per share for the quarter, beating analysts' consensus estimates of $2.36 by $0.01. ResMed had a net margin of 25.34% and a return on equity of 26.17%. The business had revenue of $1.29 billion during the quarter, compared to analyst estimates of $1.28 billion. During the same period last year, the business earned $2.13 EPS. ResMed's revenue was up 7.9% compared to the same quarter last year. On average, research analysts anticipate that ResMed will post 9.47 earnings per share for the current fiscal year.

ResMed Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, June 12th. Shareholders of record on Thursday, May 8th will be paid a dividend of $0.53 per share. The ex-dividend date of this dividend is Thursday, May 8th. This represents a $2.12 dividend on an annualized basis and a yield of 0.86%. ResMed's dividend payout ratio is presently 23.79%.

Insider Activity

In other news, insider Kaushik Ghoshal sold 9,113 shares of the business's stock in a transaction on Monday, March 3rd. The stock was sold at an average price of $235.40, for a total value of $2,145,200.20. Following the completion of the transaction, the insider now directly owns 9,725 shares of the company's stock, valued at approximately $2,289,265. The trade was a 48.38% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CEO Michael J. Farrell sold 8,009 shares of the company's stock in a transaction that occurred on Friday, March 7th. The stock was sold at an average price of $229.20, for a total value of $1,835,662.80. Following the completion of the sale, the chief executive officer now owns 455,472 shares in the company, valued at approximately $104,394,182.40. This represents a 1.73% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 50,949 shares of company stock valued at $11,822,260 in the last ninety days. Corporate insiders own 0.71% of the company's stock.

Institutional Trading of ResMed

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. ICW Investment Advisors LLC raised its position in shares of ResMed by 0.4% during the 1st quarter. ICW Investment Advisors LLC now owns 11,394 shares of the medical equipment provider's stock valued at $2,551,000 after acquiring an additional 41 shares during the last quarter. Howard Capital Management Inc. boosted its stake in shares of ResMed by 5.3% in the fourth quarter. Howard Capital Management Inc. now owns 900 shares of the medical equipment provider's stock valued at $206,000 after buying an additional 45 shares during the period. Smartleaf Asset Management LLC boosted its stake in ResMed by 3.9% in the first quarter. Smartleaf Asset Management LLC now owns 1,222 shares of the medical equipment provider's stock valued at $269,000 after buying an additional 46 shares in the last quarter. E Fund Management Co. Ltd. boosted its position in ResMed by 2.8% during the 1st quarter. E Fund Management Co. Ltd. now owns 1,719 shares of the medical equipment provider's stock worth $385,000 after buying an additional 47 shares during the period. Finally, CVA Family Office LLC raised its stake in ResMed by 29.8% during the first quarter. CVA Family Office LLC now owns 209 shares of the medical equipment provider's stock worth $47,000 after buying an additional 48 shares during the last quarter. Institutional investors and hedge funds own 54.98% of the company's stock.

About ResMed

ResMed Inc develops, manufactures, distributes, and markets medical devices and cloud-based software applications for the healthcare markets. The company operates in two segments, Sleep and Respiratory Care, and Software as a Service. It offers various products and solutions for a range of respiratory disorders, including ApneaLink Air, a portable diagnostic device that measures oximetry, respiratory effort, pulse, nasal flow, and snoring; and NightOwl, a portable, cloud-connected, and disposable diagnostic device that measures AHI based on derived peripheral arterial tone, actigraphy, and oximetry over several nights.