ResMed (NYSE:RMD) Given New $244.00 Price Target at Royal Bank Of Canada

Key Points

• Royal Bank of Canada raised ResMed’s price target to $244 from $234 while maintaining a “sector perform” rating, implying 15.18% upside from the prior close. Analysts overall remain cautious, with a consensus “Hold” rating and $240.17 target.
• ResMed shares fell 5.1% to $211.84 in Friday trading. The decline followed several analyst target reductions and concerns that future growth may moderate despite continued demand for its sleep and respiratory products.
• ResMed reported quarterly EPS of $2.95, exceeding the $2.89 consensus, while revenue rose 8.6% year over year to $1.46 billion. Profitability remained strong, with a 27.44% net margin and 25.35% return on equity.

ResMed (NYSE:RMD - Get Free Report) had its price objective upped by equities research analysts at Royal Bank Of Canada from $234.00 to $244.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a "sector perform" rating on the medical equipment provider's stock. Royal Bank Of Canada's price target suggests a potential upside of 15.18% from the stock's previous close.

Other analysts have also recently issued reports about the company. Citigroup reaffirmed a "neutral" rating and set a $235.00 price objective (down from $270.00) on shares of ResMed in a research report on Sunday, July 12th. Mizuho decreased their target price on ResMed from $235.00 to $220.00 and set an "outperform" rating for the company in a research report on Wednesday, July 15th. KeyCorp lowered their target price on ResMed from $260.00 to $255.00 and set an "overweight" rating for the company in a research note on Friday. Morgan Stanley restated an "equal weight" rating and set a $230.00 price target (down from $286.00) on shares of ResMed in a research report on Wednesday, June 17th. Finally, JPMorgan Chase & Co. began coverage on ResMed in a research note on Wednesday, April 15th. They issued an "overweight" rating on the stock. Seven analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of "Hold" and a consensus price target of $240.17.

ResMed Trading Down 5.1%

NYSE RMD traded down $11.39 during trading on Friday, hitting $211.84. The company had a trading volume of 3,773,819 shares, compared to its average volume of 1,301,783. The company has a current ratio of 3.01, a quick ratio of 2.33 and a debt-to-equity ratio of 0.06. ResMed has a one year low of $180.26 and a one year high of $293.81. The company has a market cap of $30.73 billion, a price-to-earnings ratio of 20.43, a price-to-earnings-growth ratio of 1.36 and a beta of 0.76. The company's fifty day moving average is $200.06 and its 200-day moving average is $222.30.

ResMed (NYSE:RMD - Get Free Report) last announced its earnings results on Thursday, August 6th. The medical equipment provider reported $2.95 earnings per share for the quarter, beating analysts' consensus estimates of $2.89 by $0.06. The firm had revenue of $1.46 billion for the quarter, compared to analyst estimates of $1.46 billion. ResMed had a net margin of 27.44% and a return on equity of 25.35%. The company's revenue for the quarter was up 8.6% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $2.55 EPS. On average, sell-side analysts predict that ResMed will post 11.14 earnings per share for the current year.

Insider Transactions at ResMed

In other ResMed news, CEO Michael J. Farrell sold 4,991 shares of ResMed stock in a transaction on Tuesday, July 7th. The stock was sold at an average price of $218.55, for a total value of $1,090,783.05. Following the completion of the sale, the chief executive officer owned 466,223 shares of the company's stock, valued at approximately $101,893,036.65. This trade represents a 1.06% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Peter C. Farrell sold 8,000 shares of the business's stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $225.00, for a total value of $1,800,000.00. Following the completion of the transaction, the director owned 52,773 shares of the company's stock, valued at $11,873,925. This represents a 13.16% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 17,982 shares of company stock worth $3,858,837. 0.65% of the stock is currently owned by company insiders.

Institutional Trading of ResMed

A number of institutional investors have recently made changes to their positions in the stock. BlackRock Inc. purchased a new position in shares of ResMed during the second quarter valued at approximately $2,400,375,000. State Street Corp boosted its holdings in ResMed by 1.2% in the fourth quarter. State Street Corp now owns 6,625,408 shares of the medical equipment provider's stock worth $1,595,862,000 after purchasing an additional 76,244 shares during the last quarter. Bank of New York Mellon Corp grew its position in ResMed by 0.7% in the 1st quarter. Bank of New York Mellon Corp now owns 4,925,386 shares of the medical equipment provider's stock worth $1,105,651,000 after purchasing an additional 34,732 shares during the period. Geode Capital Management LLC grew its position in ResMed by 1.2% in the 4th quarter. Geode Capital Management LLC now owns 4,302,906 shares of the medical equipment provider's stock worth $1,032,877,000 after purchasing an additional 51,218 shares during the period. Finally, Morgan Stanley raised its stake in ResMed by 25.0% during the 4th quarter. Morgan Stanley now owns 2,891,697 shares of the medical equipment provider's stock valued at $696,523,000 after buying an additional 578,559 shares during the last quarter. Hedge funds and other institutional investors own 54.98% of the company's stock.

Key Stories Impacting ResMed

Here are the key news stories impacting ResMed this week:

• Positive Sentiment: ResMed reported fiscal fourth-quarter earnings of $2.95 per share, above the roughly $2.89–$2.90 consensus and up from $2.55 a year earlier. Revenue rose 8.6% year over year to $1.46 billion, matching estimates. ResMed Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: The company raised its quarterly dividend by 10% to $0.66 per share, payable September 24 to shareholders of record August 20. The increase supports ResMed’s income-investment appeal and signals confidence in cash generation. ResMed posts strong Q4 earnings and lifts dividend
• Neutral Sentiment: ResMed’s profitability remained strong, with a 27.44% net margin and 25.35% return on equity, but the earnings beat was largely offset by concerns about forward growth. ResMed Q4 2026 earnings call transcript
• Negative Sentiment: Analysts reduced their targets and maintained cautious ratings: Piper Sandler cut its target to $225 with a neutral rating, while Wells Fargo lowered its target to $215 and assigned an equal-weight rating. These actions suggest limited near-term upside after the guidance concerns. Analyst price-target changes
• Negative Sentiment: Fiscal 2027 revenue guidance came in below consensus expectations, raising concerns that growth could moderate even as demand for ResMed’s sleep and respiratory products remains healthy. RMD stock falls despite Q4 earnings beat
• Negative Sentiment: Director Peter Farrell sold 8,000 shares for approximately $1.8 million. The sale occurred under a pre-arranged Rule 10b5-1 plan, reducing its significance, but it may add modest selling pressure. SEC insider trading filing

About ResMed

ResMed NYSE: RMD is a global medical device and cloud-connectivity company focused on improving outcomes for people with sleep-disordered breathing and chronic respiratory conditions. Founded in 1989, the company is headquartered in San Diego, California, and develops, manufactures and distributes a range of devices and software used by patients, clinicians and providers worldwide.

ResMed's product portfolio centers on noninvasive ventilation and sleep therapy equipment, including continuous positive airway pressure (CPAP) and bilevel devices, masks and related accessories for the treatment of obstructive sleep apnea and other respiratory disorders.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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