ResMed (NYSE:RMD) Stock Price Expected to Rise, Stifel Nicolaus Analyst Says

Key Points

• Stifel Nicolaus raised ResMed's target price from $240.00 to $270.00, indicating a potential downside of 3.15% from its current stock price.
• Other analysts, including JPMorgan Chase & Co. and Royal Bank Of Canada, have varying ratings, with one predicting a consensus target price of $274.83.
• ResMed's quarterly earnings exceeded expectations, reporting $2.55 EPS and revenue of $1.35 billion, marking a 10.2% increase compared to the same quarter last year.

ResMed (NYSE:RMD - Get Free Report) had its target price hoisted by research analysts at Stifel Nicolaus from $240.00 to $270.00 in a report issued on Friday,Benzinga reports. The firm presently has a "hold" rating on the medical equipment provider's stock. Stifel Nicolaus' target price indicates a potential downside of 3.15% from the company's current price.

Other analysts have also issued research reports about the company. JPMorgan Chase & Co. increased their price objective on ResMed from $286.00 to $290.00 and gave the company an "overweight" rating in a research note on Thursday, April 24th. Wall Street Zen downgraded shares of ResMed from a "buy" rating to a "hold" rating in a report on Saturday, May 24th. Royal Bank Of Canada raised shares of ResMed from a "sector perform" rating to an "outperform" rating and lifted their target price for the company from $255.00 to $294.00 in a report on Tuesday, July 15th. Piper Sandler raised their price objective on shares of ResMed from $248.00 to $270.00 and gave the company a "neutral" rating in a research report on Friday. Finally, UBS Group decreased their price target on shares of ResMed from $290.00 to $285.00 and set a "buy" rating for the company in a research note on Thursday, April 24th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating, ten have given a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $274.83.

ResMed Price Performance

RMD traded up $6.84 during midday trading on Friday, hitting $278.78. The company had a trading volume of 791,825 shares, compared to its average volume of 989,910. The firm's 50-day simple moving average is $255.87 and its 200-day simple moving average is $239.97. ResMed has a twelve month low of $199.92 and a twelve month high of $281.90. The company has a market capitalization of $40.88 billion, a PE ratio of 31.38, a P/E/G ratio of 1.72 and a beta of 0.77. The company has a debt-to-equity ratio of 0.12, a quick ratio of 2.49 and a current ratio of 3.41.

ResMed (NYSE:RMD - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share for the quarter, topping the consensus estimate of $2.47 by $0.08. The business had revenue of $1.35 billion during the quarter, compared to analysts' expectations of $1.33 billion. ResMed had a net margin of 26.15% and a return on equity of 25.67%. ResMed's revenue was up 10.2% compared to the same quarter last year. During the same quarter in the prior year, the business posted $2.08 earnings per share. Equities research analysts predict that ResMed will post 9.47 EPS for the current fiscal year.

Insider Buying and Selling

In related news, Director Peter C. Farrell sold 2,000 shares of the company's stock in a transaction dated Wednesday, May 7th. The shares were sold at an average price of $242.25, for a total transaction of $484,500.00. Following the completion of the sale, the director owned 71,218 shares of the company's stock, valued at $17,252,560.50. This represents a 2.73% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, CEO Michael J. Farrell sold 8,009 shares of the business's stock in a transaction that occurred on Monday, July 7th. The stock was sold at an average price of $256.72, for a total transaction of $2,056,070.48. Following the sale, the chief executive officer directly owned 455,503 shares in the company, valued at $116,936,730.16. The trade was a 1.73% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 29,013 shares of company stock worth $7,238,913. Insiders own 0.71% of the company's stock.

Institutional Trading of ResMed

A number of institutional investors and hedge funds have recently added to or reduced their stakes in RMD. Global X Japan Co. Ltd. lifted its holdings in shares of ResMed by 121.4% in the 1st quarter. Global X Japan Co. Ltd. now owns 124 shares of the medical equipment provider's stock worth $28,000 after purchasing an additional 68 shares in the last quarter. Colonial Trust Co SC increased its holdings in ResMed by 6,250.0% in the 4th quarter. Colonial Trust Co SC now owns 127 shares of the medical equipment provider's stock worth $29,000 after acquiring an additional 125 shares during the last quarter. Optiver Holding B.V. purchased a new stake in ResMed in the 4th quarter worth about $33,000. Golden State Wealth Management LLC grew its holdings in ResMed by 384.8% during the 1st quarter. Golden State Wealth Management LLC now owns 160 shares of the medical equipment provider's stock valued at $36,000 after buying an additional 127 shares in the last quarter. Finally, Itau Unibanco Holding S.A. grew its holdings in shares of ResMed by 1,000.0% during the fourth quarter. Itau Unibanco Holding S.A. now owns 165 shares of the medical equipment provider's stock worth $38,000 after purchasing an additional 150 shares in 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.

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