ResMed (RMD) Competitors

ResMed (NYSE:RMD) and Stryker (NYSE:SYK) are both large-cap medical companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, dividends, valuation, media sentiment, analyst recommendations, earnings and institutional ownership.

Do analysts recommend RMD or SYK?

ResMed presently has a consensus price target of $263.00, suggesting a potential downside of 4.46%. Stryker has a consensus price target of $428.55, suggesting a potential upside of 6.25%. Given Stryker's stronger consensus rating and higher probable upside, analysts plainly believe Stryker is more favorable than ResMed.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ResMed	1 Sell rating(s)	3 Hold rating(s)	10 Buy rating(s)	1 Strong Buy rating(s)	2.73
Stryker	0 Sell rating(s)	4 Hold rating(s)	15 Buy rating(s)	0 Strong Buy rating(s)	2.79

Which has stronger earnings & valuation, RMD or SYK?

Stryker has higher revenue and earnings than ResMed. ResMed is trading at a lower price-to-earnings ratio than Stryker, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ResMed	$4.69B	8.62	$1.02B	$8.91	30.90
Stryker	$22.60B	6.81	$2.99B	$7.40	54.51

Is RMD or SYK a better dividend stock?

ResMed pays an annual dividend of $2.12 per share and has a dividend yield of 0.8%. Stryker pays an annual dividend of $3.36 per share and has a dividend yield of 0.8%. ResMed pays out 23.8% of its earnings in the form of a dividend. Stryker pays out 45.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. ResMed has increased its dividend for 13 consecutive years and Stryker has increased its dividend for 32 consecutive years. Stryker is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media prefer RMD or SYK?

In the previous week, Stryker had 22 more articles in the media than ResMed. MarketBeat recorded 38 mentions for Stryker and 16 mentions for ResMed. ResMed's average media sentiment score of 1.34 beat Stryker's score of 1.31 indicating that ResMed is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
ResMed	13 Very Positive mention(s)	2 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Stryker	31 Very Positive mention(s)	1 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is RMD or SYK more profitable?

ResMed has a net margin of 26.15% compared to Stryker's net margin of 12.31%. ResMed's return on equity of 25.67% beat Stryker's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
ResMed	26.15%	25.67%	18.59%
Stryker	12.31%	23.74%	11.25%

Which has more volatility & risk, RMD or SYK?

ResMed has a beta of 0.77, suggesting that its stock price is 23% less volatile than the S&P 500. Comparatively, Stryker has a beta of 0.91, suggesting that its stock price is 9% less volatile than the S&P 500.

Do insiders and institutionals hold more shares of RMD or SYK?

55.0% of ResMed shares are held by institutional investors. Comparatively, 77.1% of Stryker shares are held by institutional investors. 0.7% of ResMed shares are held by company insiders. Comparatively, 5.9% of Stryker shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Stryker beats ResMed on 12 of the 20 factors compared between the two stocks.