Norges Bank Makes New Investment in ResMed Inc. $RMD

Norges Bank purchased a new position in shares of ResMed Inc. (NYSE:RMD) in the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm purchased 1,034,037 shares of the medical equipment provider’s stock, valued at approximately $249,068,000. Norges Bank owned about 0.71% of ResMed at the end of the most recent quarter.

A number of other institutional investors also recently bought and sold shares of RMD. Jones Financial Companies Lllp raised its position in ResMed by 52.6% during the 1st quarter. Jones Financial Companies Lllp now owns 2,882 shares of the medical equipment provider’s stock worth $645,000 after buying an additional 994 shares during the last quarter. Arrowstreet Capital Limited Partnership purchased a new position in ResMed during the 2nd quarter worth approximately $389,000. Brown Advisory Inc. grew its stake in shares of ResMed by 17.8% during the 2nd quarter. Brown Advisory Inc. now owns 1,586 shares of the medical equipment provider’s stock worth $409,000 after purchasing an additional 240 shares during the period. Cresset Asset Management LLC acquired a new stake in shares of ResMed during the 2nd quarter worth approximately $206,000. Finally, Alliancebernstein L.P. grew its stake in shares of ResMed by 24.2% during the 2nd quarter. Alliancebernstein L.P. now owns 286,078 shares of the medical equipment provider’s stock worth $73,808,000 after purchasing an additional 55,790 shares during the period. 54.98% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling at ResMed

In other ResMed news, Director Peter C. Farrell sold 2,000 shares of ResMed stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $225.00, for a total transaction of $450,000.00. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CEO Michael J. Farrell sold 4,991 shares of ResMed stock in a transaction on Thursday, May 7th. The stock was sold at an average price of $207.82, for a total transaction of $1,037,229.62. Following the sale, the chief executive officer directly owned 466,223 shares in the company, valued at approximately $96,890,463.86. This trade represents a 1.06% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 16,973 shares of company stock worth $3,865,591. 0.65% of the stock is currently owned by corporate insiders.

ResMed Price Performance

ResMed stock opened at $183.01 on Wednesday. The company’s fifty day moving average price is $216.11 and its 200 day moving average price is $238.80. ResMed Inc. has a 1 year low of $180.26 and a 1 year high of $293.81. The stock has a market capitalization of $26.55 billion, a P/E ratio of 17.65, a P/E/G ratio of 1.19 and a beta of 0.80. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.33 and a current ratio of 3.01.

ResMed (NYSE:RMD) last released its quarterly earnings results on Thursday, April 30th. The medical equipment provider reported $2.86 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.79 by $0.07. ResMed had a net margin of 27.44% and a return on equity of 25.35%. The firm had revenue of $1.43 billion for the quarter, compared to analysts’ expectations of $1.42 billion. During the same quarter last year, the company earned $2.37 EPS. The firm’s revenue for the quarter was up 10.8% compared to the same quarter last year. As a group, equities research analysts anticipate that ResMed Inc. will post 11.13 earnings per share for the current fiscal year.

ResMed Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, June 18th. Shareholders of record on Thursday, May 14th will be paid a dividend of $0.60 per share. This represents a $2.40 annualized dividend and a yield of 1.3%. The ex-dividend date of this dividend is Thursday, May 14th. ResMed’s payout ratio is 23.14%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently commented on the stock. Evercore set a $255.00 price objective on shares of ResMed and gave the stock an “outperform” rating in a research note on Monday, April 13th. JPMorgan Chase & Co. assumed coverage on shares of ResMed in a research note on Wednesday, April 15th. They set an “overweight” rating on the stock. Robert W. Baird set a $225.00 price objective on shares of ResMed in a research note on Friday, May 1st. Citigroup dropped their price objective on shares of ResMed from $345.00 to $340.00 and set a “buy” rating on the stock in a research note on Thursday, April 9th. Finally, Weiss Ratings cut shares of ResMed from a “hold (c+)” rating to a “hold (c)” rating in a research note on Friday, May 22nd. One analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $286.18.

About ResMed

ResMed (NYSE: RMD) is a global medical device and cloud-connectivity company focused on improving outcomes for people with sleep-disordered breathing and chronic respiratory conditions. Founded in 1989, the company is headquartered in San Diego, California, and develops, manufactures and distributes a range of devices and software used by patients, clinicians and providers worldwide.

ResMed’s product portfolio centers on noninvasive ventilation and sleep therapy equipment, including continuous positive airway pressure (CPAP) and bilevel devices, masks and related accessories for the treatment of obstructive sleep apnea and other respiratory disorders.