Insider Selling: ResMed (NYSE:RMD) CEO Sells $1,110,198.04 in Stock

ResMed Inc. (NYSE:RMD) CEO Michael Farrell sold 4,991 shares of the company’s stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $222.44, for a total value of $1,110,198.04. Following the sale, the chief executive officer directly owned 466,256 shares in the company, valued at approximately $103,713,984.64. This represents a 1.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

ResMed Stock Performance

ResMed stock opened at $220.04 on Thursday. The company has a market cap of $31.74 billion, a PE ratio of 21.10, a P/E/G ratio of 1.40 and a beta of 0.77. ResMed Inc. has a 12 month low of $180.26 and a 12 month high of $284.87. The company has a fifty day moving average price of $217.00 and a two-hundred day moving average price of $217.27. The company has a debt-to-equity ratio of 0.06, a current ratio of 3.10 and a quick ratio of 2.42.

ResMed (NYSE:RMD) last posted its quarterly earnings results on Thursday, August 6th. The medical equipment provider reported $2.95 EPS for the quarter, beating the consensus estimate of $2.89 by $0.06. ResMed had a net margin of 26.94% and a return on equity of 25.58%. The business had revenue of $1.46 billion during the quarter, compared to analyst estimates of $1.46 billion. During the same period in the previous year, the business posted $2.55 EPS. The company’s quarterly revenue was up 8.6% on a year-over-year basis. Research analysts expect that ResMed Inc. will post 12.02 earnings per share for the current year.

ResMed Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 24th. Stockholders of record on Thursday, August 20th will be given a dividend of $0.66 per share. This represents a $2.64 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date is Thursday, August 20th. This is a positive change from ResMed’s previous quarterly dividend of $0.60. ResMed’s payout ratio is currently 25.31%.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. California State Teachers Retirement System lifted its holdings in ResMed by 19,648.1% in the 2nd quarter. California State Teachers Retirement System now owns 43,963,369 shares of the medical equipment provider’s stock valued at $8,567,581,000 after acquiring an additional 43,740,748 shares during the last quarter. BlackRock Inc. acquired a new position in shares of ResMed in the 2nd quarter worth approximately $2,400,375,000. State Street Corp raised its holdings in shares of ResMed by 1.2% in the 4th quarter. State Street Corp now owns 6,625,408 shares of the medical equipment provider’s stock worth $1,595,862,000 after purchasing an additional 76,244 shares in the last quarter. Bank of New York Mellon Corp lifted its stake in ResMed by 0.7% during the first quarter. Bank of New York Mellon Corp now owns 4,925,386 shares of the medical equipment provider’s stock valued at $1,105,651,000 after purchasing an additional 34,732 shares during the last quarter. Finally, Geode Capital Management LLC lifted its stake in ResMed by 1.2% during the fourth quarter. Geode Capital Management LLC now owns 4,302,906 shares of the medical equipment provider’s stock valued at $1,032,877,000 after purchasing an additional 51,218 shares during the last quarter. 54.98% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the company. Morgan Stanley reiterated an “equal weight” rating and issued a $230.00 target price (down from $286.00) on shares of ResMed in a research note on Wednesday, June 17th. Rothschild & Co Redburn began coverage on shares of ResMed in a research note on Wednesday, August 19th. They issued a “neutral” rating and a $230.00 price target on the stock. KeyCorp increased their price target on ResMed from $255.00 to $267.00 and gave the stock an “overweight” rating in a research note on Monday, August 31st. Weiss Ratings raised shares of ResMed from a “hold (c-)” rating to a “hold (c)” rating in a report on Tuesday, August 11th. Finally, Robert W. Baird set a $213.00 price target on shares of ResMed in a research report on Friday, August 7th. Six research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $240.31.

ResMed Company Profile

ResMed Inc is a medical equipment and software company that develops products and services for the diagnosis and treatment of sleep-disordered breathing and other respiratory conditions. Its offerings include continuous positive airway pressure (CPAP) and other positive airway pressure devices, masks, ventilation systems, oxygen-related solutions, and connected health technologies.

The company also provides cloud-based software and digital health platforms that help clinicians, home medical equipment providers, and patients monitor therapy, manage equipment, and support adherence to treatment.