ResMed (NYSE:RMD) Announces Quarterly Earnings Results, Beats Expectations By $0.05 EPS

ResMed (NYSE:RMD) posted its earnings results on Thursday. The medical equipment provider reported $2.08 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.03 by $0.05, Briefing.com reports. ResMed had a net margin of 21.79% and a return on equity of 25.58%. The business had revenue of $1.20 billion for the quarter, compared to analysts’ expectations of $1.22 billion. During the same quarter in the prior year, the business earned $1.60 EPS. The business’s revenue for the quarter was up 6.9% compared to the same quarter last year.

ResMed Stock Performance

NYSE RMD traded up $9.08 during trading hours on Friday, reaching $223.64. 2,659,791 shares of the company were exchanged, compared to its average volume of 925,655. The stock has a market capitalization of $32.85 billion, a P/E ratio of 34.35, a P/E/G ratio of 1.85 and a beta of 0.66. The company has a quick ratio of 1.97, a current ratio of 3.04 and a debt-to-equity ratio of 0.22. The business’s 50 day simple moving average is $203.89 and its 200-day simple moving average is $196.28. ResMed has a 1 year low of $132.24 and a 1 year high of $225.68.

ResMed Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 19th. Shareholders of record on Thursday, August 15th will be paid a $0.53 dividend. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.95%. This is a positive change from ResMed’s previous quarterly dividend of $0.48. The ex-dividend date of this dividend is Thursday, August 15th. ResMed’s dividend payout ratio (DPR) is 29.49%.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on RMD shares. Royal Bank of Canada raised their price target on ResMed from $204.00 to $206.00 and gave the stock a “sector perform” rating in a research report on Friday. Oppenheimer downgraded ResMed from an “outperform” rating to a “market perform” rating in a report on Tuesday, June 25th. Citigroup cut ResMed from a “buy” rating to a “neutral” rating in a report on Monday, June 24th. KeyCorp increased their price target on ResMed from $238.00 to $251.00 and gave the company an “overweight” rating in a research report on Friday. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $236.00 price target on shares of ResMed in a research report on Friday. Six investment analysts have rated the stock with a hold rating and six have issued a buy rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $204.70.

Insider Activity

In other ResMed news, Director Witte Jan De sold 360 shares of the firm’s stock in a transaction dated Wednesday, May 15th. The shares were sold at an average price of $218.29, for a total transaction of $78,584.40. Following the completion of the sale, the director now directly owns 7,519 shares in the company, valued at approximately $1,641,322.51. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In other ResMed news, Director Witte Jan De sold 360 shares of ResMed stock in a transaction on Wednesday, May 15th. The shares were sold at an average price of $218.29, for a total transaction of $78,584.40. Following the completion of the transaction, the director now directly owns 7,519 shares of the company’s stock, valued at $1,641,322.51. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Michael J. Farrell sold 14,683 shares of the business’s stock in a transaction dated Monday, July 8th. The stock was sold at an average price of $192.97, for a total transaction of $2,833,378.51. Following the completion of the transaction, the chief executive officer now owns 440,799 shares of the company’s stock, valued at $85,060,983.03. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 46,409 shares of company stock worth $9,602,796. 1.21% of the stock is owned by company insiders.

ResMed Company Profile

ResMed Inc develops, manufactures, distributes, and markets medical devices and cloud-based software applications for the healthcare markets. It 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.