ResMed (NYSE:RMD) Cut to “Hold” at StockNews.com

StockNews.com downgraded shares of ResMed (NYSE:RMD) from a buy rating to a hold rating in a research note released on Friday morning.

A number of other research analysts have also recently commented on RMD. KeyCorp upped their target price on shares of ResMed from $238.00 to $251.00 and gave the company an overweight rating in a research report on Friday, August 2nd. Royal Bank of Canada upped their target price on shares of ResMed from $204.00 to $206.00 and gave the company a sector perform rating in a research report on Friday, August 2nd. Oppenheimer cut shares of ResMed from an outperform rating to a market perform rating in a research report on Tuesday, June 25th. Citigroup cut shares of ResMed from a buy rating to a neutral rating in a research report on Monday, June 24th. Finally, Needham & Company LLC reissued a buy rating and set a $236.00 price target on shares of ResMed in a research report on Friday, August 2nd. Six analysts have rated the stock with a hold rating and six have given a buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of Moderate Buy and a consensus price target of $204.70.

ResMed Trading Up 0.8 %

Shares of RMD stock opened at $245.02 on Friday. The company’s 50-day moving average price is $210.08 and its 200-day moving average price is $202.37. The company has a current ratio of 2.59, a quick ratio of 1.69 and a debt-to-equity ratio of 0.14. The stock has a market cap of $36.00 billion, a price-to-earnings ratio of 37.64, a PEG ratio of 2.44 and a beta of 0.66. ResMed has a twelve month low of $132.24 and a twelve month high of $246.80.

ResMed (NYSE:RMD) last announced its quarterly earnings results on Thursday, August 1st. The medical equipment provider reported $2.08 earnings per share for the quarter, beating the consensus estimate of $2.03 by $0.05. ResMed had a net margin of 21.79% and a return on equity of 25.00%. The firm had revenue of $1.20 billion for the quarter, compared to analysts’ expectations of $1.22 billion. During the same quarter in the previous year, the company posted $1.60 EPS. The company’s revenue was up 6.9% compared to the same quarter last year. As a group, equities analysts predict that ResMed will post 8.91 earnings per share for the current year.

ResMed Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 19th. Stockholders of record on Thursday, August 15th will be given a dividend of $0.53 per share. The ex-dividend date of this dividend is Thursday, August 15th. This is a positive change from ResMed’s previous quarterly dividend of $0.48. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.87%. ResMed’s dividend payout ratio (DPR) is 32.57%.

Insider Transactions at ResMed

In other news, CEO Michael J. Farrell sold 14,683 shares of the firm’s stock in a transaction that occurred on Monday, July 8th. The shares were sold at an average price of $192.97, for a total transaction of $2,833,378.51. Following the transaction, the chief executive officer now directly owns 440,799 shares in the company, valued at $85,060,983.03. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In other news, CEO Michael J. Farrell sold 14,683 shares of the business’s stock in a transaction dated Monday, July 8th. The shares were sold at an average price of $192.97, for a total transaction of $2,833,378.51. Following the transaction, the chief executive officer now directly owns 440,799 shares in the company, valued at $85,060,983.03. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, General Counsel Michael J. Rider sold 882 shares of the business’s stock in a transaction dated Tuesday, August 20th. The stock was sold at an average price of $231.00, for a total transaction of $203,742.00. Following the transaction, the general counsel now owns 10,512 shares in the company, valued at $2,428,272. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 95,931 shares of company stock worth $20,326,437. Insiders own 1.21% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Atlantic Edge Private Wealth Management LLC acquired a new position in ResMed during the fourth quarter worth about $27,000. Hall Laurie J Trustee acquired a new position in ResMed during the first quarter worth about $32,000. OFI Invest Asset Management acquired a new position in ResMed during the second quarter worth about $32,000. BOK Financial Private Wealth Inc. acquired a new stake in shares of ResMed in the first quarter valued at approximately $35,000. Finally, Versant Capital Management Inc grew its position in shares of ResMed by 196.7% in the second quarter. Versant Capital Management Inc now owns 181 shares of the medical equipment provider’s stock valued at $35,000 after purchasing an additional 120 shares during the last quarter. 54.98% of the stock is currently owned by institutional investors and hedge funds.

About ResMed

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.