ResMed Inc. $RMD Shares Acquired by Wellington Management Group LLP

Wellington Management Group LLP lifted its stake in shares of ResMed Inc. (NYSE:RMD) by 36.1% during the 2nd quarter, Holdings Channel reports. The fund owned 81,184 shares of the medical equipment provider’s stock after buying an additional 21,517 shares during the quarter. Wellington Management Group LLP’s holdings in ResMed were worth $15,821,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently modified their holdings of the company. Livforsakringsbolaget Skandia Omsesidigt acquired a new stake in ResMed during the second quarter worth about $219,000. Rakuten Investment Management Inc. acquired a new position in ResMed in the 2nd quarter valued at about $4,715,000. Orion Capital Management LLC purchased a new stake in shares of ResMed in the 2nd quarter valued at approximately $460,000. North Star Asset Management Inc. purchased a new stake in shares of ResMed in the 2nd quarter valued at approximately $2,924,000. Finally, Empowered Funds LLC acquired a new stake in shares of ResMed during the 2nd quarter worth approximately $17,200,000. Institutional investors and hedge funds own 54.98% of the company’s stock.

ResMed Price Performance

ResMed stock opened at $228.25 on Tuesday. The company’s 50 day simple moving average is $216.10 and its 200-day simple moving average is $217.79. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.42 and a current ratio of 3.10. ResMed Inc. has a 1 year low of $180.26 and a 1 year high of $284.87. The company has a market capitalization of $32.93 billion, a price-to-earnings ratio of 21.88, a price-to-earnings-growth ratio of 1.44 and a beta of 0.77.

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

ResMed Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 24th. Stockholders of record on Thursday, August 20th will be paid a $0.66 dividend. The ex-dividend date of this dividend is Thursday, August 20th. This is a boost from ResMed’s previous quarterly dividend of $0.60. This represents a $2.64 dividend on an annualized basis and a dividend yield of 1.2%. ResMed’s payout ratio is presently 25.31%.

Insider Buying and Selling at ResMed

In related news, CEO Michael Farrell sold 4,991 shares of the stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $205.69, for a total transaction of $1,026,598.79. Following the transaction, the chief executive officer owned 466,256 shares of the company’s stock, valued at approximately $95,904,196.64. This represents a 1.06% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Peter Farrell sold 970 shares of the firm’s stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $234.73, for a total value of $227,688.10. Following the transaction, the director owned 51,803 shares of the company’s stock, valued at $12,159,718.19. This trade represents a 1.84% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 18,952 shares of company stock worth $4,145,070 in the last quarter. Company insiders own 0.65% of the company’s stock.

Analyst Upgrades and Downgrades

Several research firms have recently commented on RMD. The Goldman Sachs Group reaffirmed a “buy” rating on shares of ResMed in a research report on Wednesday, July 1st. KeyCorp raised their target price on ResMed from $255.00 to $267.00 and gave the stock an “overweight” rating in a research note on Monday, August 31st. Citigroup restated a “neutral” rating and issued a $235.00 target price (down from $270.00) on shares of ResMed in a research report on Sunday, July 12th. Rothschild & Co Redburn initiated coverage on ResMed in a research note on Wednesday, August 19th. They issued a “neutral” rating and a $230.00 price target on the stock. Finally, Mizuho decreased their price target on ResMed from $235.00 to $220.00 and set an “outperform” rating on the stock in a research note on Wednesday, July 15th. Six analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $240.31.

ResMed Profile

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.