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 technologies to be applied in medical and consumer products, ventilation devices, diagnostic products, mask systems for use in the hospital and home, headgear and other accessories, dental devices, and cloud-based software informatics solutions to manage patient outcomes, as well as provides customer and business processes. The company also provides AirView, a cloud-based system that enables remote monitoring and changing of patients' device settings; myAir, a personalized therapy management application for patients with sleep apnea that provides support, education, and troubleshooting tools for increased patient engagement and improved compliance; U-Sleep, a compliance monitoring solution that enables home medical equipment (HME)to streamline their sleep programs; and connectivity module and propeller solutions. In addition, it offers out-of-hospital software solution, such as Brightree business management software and service solutions to providers of HME, pharmacy, home infusion, orthotics, and prosthetics services; MatrixCare care management and related ancillary solutions to senior living, skilled nursing, life plan communities, home health, home care, and hospice agencies, as well as related accountable care organizations; and HEALTHCAREfirst that offers electronic health record, software, billing and coding services, and analytics for home health and hospice agencies. The company markets its products primarily to sleep clinics, home healthcare dealers, and hospitals through a network of distributors and direct sales force in approximately 140 countries. ResMed Inc. was founded in 1989 and is headquartered in San Diego, California.
Analyst Ratings Changes
Several research firms have recently commented on RMD. JPMorgan Chase & Co. cut shares of ResMed from an "overweight" rating to a "neutral" rating in a research report on Friday. Citigroup cut shares of ResMed from a "buy" rating to a "neutral" rating in a research report on Friday. They noted that the move was a valuation call. Royal Bank of Canada cut shares of ResMed from an "outperform" rating to a "sector perform" rating and lifted their price target for the company from $246.00 to $252.00 in a research report on Friday. They noted that the move was a valuation call. Finally, StockNews.com cut shares of ResMed from a "buy" rating to a "hold" rating in a research report on Tuesday, August 9th. Five investment analysts have rated the stock with a hold rating and five have assigned a buy rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $266.40.
ResMed Stock Down 1.5 %
NYSE:RMD traded down $3.53 on Monday, reaching $236.46. 6,679 shares of the stock traded hands, compared to its average volume of 590,497. The company has a market capitalization of $34.59 billion, a price-to-earnings ratio of 44.92, a PEG ratio of 2.32 and a beta of 0.47. The company has a current ratio of 2.80, a quick ratio of 1.72 and a debt-to-equity ratio of 0.23. ResMed has a 12 month low of $189.40 and a 12 month high of $301.34. The company's fifty day simple moving average is $221.09 and its 200 day simple moving average is $226.18.
ResMed (NYSE:RMD - Get Rating) last announced its earnings results on Thursday, August 11th. The medical equipment provider reported $1.49 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.48 by $0.01. ResMed had a net margin of 21.78% and a return on equity of 26.56%. The company had revenue of $914.74 million during the quarter, compared to analyst estimates of $912.53 million. During the same period in the previous year, the business posted $1.35 earnings per share. The firm's quarterly revenue was up 4.4% compared to the same quarter last year. Equities analysts predict that ResMed will post 6.58 EPS for the current fiscal year.
ResMed Increases Dividend
The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 22nd. Investors of record on Thursday, August 18th will be given a $0.44 dividend. This represents a $1.76 annualized dividend and a yield of 0.74%. The ex-dividend date of this dividend is Wednesday, August 17th. This is a boost from ResMed's previous quarterly dividend of $0.42. ResMed's payout ratio is currently 31.64%.
Insider Buying and Selling
In other ResMed news, CFO Brett Sandercock sold 7,500 shares of the business's stock in a transaction on Friday, July 22nd. The shares were sold at an average price of $235.00, for a total transaction of $1,762,500.00. Following the transaction, the chief financial officer now owns 106,426 shares in the company, valued at $25,010,110. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. In related news, CFO Brett Sandercock sold 7,500 shares of the company's stock in a transaction dated Friday, July 22nd. The shares were sold at an average price of $235.00, for a total value of $1,762,500.00. Following the completion of the sale, the chief financial officer now directly owns 106,426 shares of the company's stock, valued at $25,010,110. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Michael J. Farrell sold 5,675 shares of the company's stock in a transaction dated Wednesday, June 15th. The stock was sold at an average price of $202.54, for a total transaction of $1,149,414.50. Following the completion of the sale, the chief executive officer now directly owns 405,260 shares of the company's stock, valued at $82,081,360.40. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 25,985 shares of company stock worth $5,813,646. Insiders own 1.42% of the company's stock.
