ResMed (NYSE:RMD) Cut to “Hold” at Canaccord Genuity Group

Canaccord Genuity Group downgraded shares of ResMed (NYSE:RMD) from a buy rating to a hold rating in a report released on Monday, Marketbeat reports.

RMD has been the subject of a number of other reports. Robert W. Baird set a $213.00 price target on shares of ResMed in a research report on Friday, August 7th. KeyCorp boosted their price target on ResMed from $267.00 to $277.00 and gave the stock an “overweight” rating in a research note on Friday, October 30th. Jefferies Financial Group lowered their price target on ResMed from $240.00 to $225.00 and set a “hold” rating on the stock in a report on Friday, July 10th. Weiss Ratings raised ResMed from a “hold (c)” rating to a “hold (c+)” rating in a research note on Thursday, October 8th. Finally, Mizuho set a $270.00 price objective on ResMed in a report on Friday, October 30th. Seven research analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus price target of $253.69.

ResMed Stock Performance

NYSE:RMD opened at $240.43 on Monday. The company has a quick ratio of 1.88, a current ratio of 2.65 and a debt-to-equity ratio of 0.04. ResMed has a fifty-two week low of $180.26 and a fifty-two week high of $277.67. The stock has a market cap of $33.82 billion, a PE ratio of 19.69, a price-to-earnings-growth ratio of 1.38 and a beta of 0.77. The firm’s fifty day simple moving average is $231.86 and its 200-day simple moving average is $225.06.

ResMed (NYSE:RMD) last announced its quarterly earnings data on Thursday, October 29th. The medical equipment provider reported $2.91 EPS for the quarter, beating the consensus estimate of $2.67 by $0.24. ResMed had a net margin of 27.79% and a return on equity of 26.42%. The firm had revenue of $1.41 billion during the quarter, compared to analysts’ expectations of $1.39 billion. During the same quarter last year, the business earned $2.55 earnings per share. The business’s revenue for the quarter was up 5.9% compared to the same quarter last year. Analysts expect that ResMed will post 12.14 earnings per share for the current fiscal year.

ResMed Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 17th. Shareholders of record on Thursday, November 12th will be issued a $0.66 dividend. This represents a $2.64 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Thursday, November 12th. ResMed’s dividend payout ratio is 24.04%.

Insider Activity

In related news, General Counsel Michael J. Rider sold 400 shares of ResMed stock in a transaction that occurred on Friday, October 23rd. The stock was sold at an average price of $255.00, for a total transaction of $102,000.00. Following the completion of the transaction, the general counsel directly owned 12,318 shares in the company, valued at $3,141,090. The trade was a 3.15% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Peter C. Farrell sold 970 shares of the company’s stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $234.73, for a total value of $227,688.10. Following the completion of the sale, the director owned 51,803 shares in the company, valued at $12,159,718.19. This represents a 1.84% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 16,343 shares of company stock worth $3,596,098 over the last ninety days. 0.58% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. American Capital Management Inc. acquired a new stake in ResMed in the second quarter valued at approximately $44,522,000. BlackRock Inc. acquired a new position in shares of ResMed during the second quarter worth $2,400,375,000. Polymer Capital Management HK LTD acquired a new position in shares of ResMed during the second quarter worth $972,000. United Capital Financial Advisors LLC acquired a new position in shares of ResMed during the second quarter worth $1,105,000. Finally, Tidal Investments LLC boosted its stake in shares of ResMed by 21.1% in the second quarter. Tidal Investments LLC now owns 32,332 shares of the medical equipment provider’s stock valued at $6,301,000 after purchasing an additional 5,627 shares during the period. Hedge funds and other institutional investors own 54.98% of the company’s stock.

ResMed Company Profile

ResMed Inc is a medical equipment and software company that develops solutions for sleep-disordered breathing, respiratory conditions and other chronic diseases. The company is best known for its positive airway pressure (PAP) devices used to treat obstructive sleep apnea, along with masks, accessories and related patient support services.

ResMed also provides cloud-connected health technology, including remote-monitoring platforms and software used by healthcare providers, medical equipment suppliers and care organizations.