Ritholtz Wealth Management Cuts Position in ResMed Inc. $RMD

Ritholtz Wealth Management trimmed its position in ResMed Inc. (NYSE:RMD) by 74.4% during the second quarter, HoldingsChannel.com reports. The firm owned 2,590 shares of the medical equipment provider’s stock after selling 7,521 shares during the quarter. Ritholtz Wealth Management’s holdings in ResMed were worth $668,000 at the end of the most recent quarter.

A number of other large investors also recently modified their holdings of the company. Vanguard Group Inc. raised its holdings in shares of ResMed by 1.8% in the 1st quarter. Vanguard Group Inc. now owns 18,493,702 shares of the medical equipment provider’s stock worth $4,139,815,000 after purchasing an additional 320,240 shares during the period. Northern Trust Corp raised its holdings in shares of ResMed by 2.5% in the 1st quarter. Northern Trust Corp now owns 1,744,541 shares of the medical equipment provider’s stock worth $390,516,000 after purchasing an additional 41,951 shares during the period. Charles Schwab Investment Management Inc. raised its holdings in shares of ResMed by 4.3% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 998,128 shares of the medical equipment provider’s stock worth $223,431,000 after purchasing an additional 41,108 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in shares of ResMed by 2.4% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 977,401 shares of the medical equipment provider’s stock worth $218,791,000 after purchasing an additional 22,789 shares during the period. Finally, Dimensional Fund Advisors LP raised its holdings in shares of ResMed by 6.9% in the 1st quarter. Dimensional Fund Advisors LP now owns 793,760 shares of the medical equipment provider’s stock worth $177,652,000 after purchasing an additional 51,348 shares during the period. 54.98% of the stock is currently owned by hedge funds and other institutional investors.

ResMed Price Performance

RMD stock opened at $267.96 on Friday. The company has a quick ratio of 2.53, a current ratio of 3.44 and a debt-to-equity ratio of 0.11. ResMed Inc. has a 52-week low of $199.92 and a 52-week high of $293.81. The stock’s 50 day moving average is $277.13 and its two-hundred day moving average is $257.36. The company has a market capitalization of $39.11 billion, a PE ratio of 28.18, a P/E/G ratio of 1.79 and a beta of 0.83.

ResMed (NYSE:RMD) last posted its quarterly earnings data on Thursday, July 31st. The medical equipment provider reported $2.55 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.47 by $0.08. The company had revenue of $1.35 billion for the quarter, compared to the consensus estimate of $1.33 billion. ResMed had a return on equity of 25.62% and a net margin of 27.22%.ResMed’s revenue for the quarter was up 10.2% compared to the same quarter last year. During the same period in the previous year, the business earned $2.08 EPS. Analysts predict that ResMed Inc. will post 9.47 earnings per share for the current fiscal year.

ResMed Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, September 18th. Investors of record on Thursday, August 14th were given a dividend of $0.60 per share. The ex-dividend date was Thursday, August 14th. This represents a $2.40 dividend on an annualized basis and a yield of 0.9%. This is an increase from ResMed’s previous quarterly dividend of $0.53. ResMed’s payout ratio is presently 25.24%.

Analyst Ratings Changes

Several brokerages recently commented on RMD. Royal Bank Of Canada raised their target price on ResMed from $294.00 to $300.00 and gave the company an “outperform” rating in a report on Friday, August 1st. Citigroup began coverage on ResMed in a report on Thursday, September 18th. They set a “buy” rating and a $330.00 target price on the stock. Weiss Ratings reiterated a “buy (b-)” rating on shares of ResMed in a report on Wednesday, October 8th. Mizuho raised their target price on ResMed from $270.00 to $290.00 and gave the company an “outperform” rating in a report on Friday, August 1st. Finally, William Blair upgraded ResMed to a “strong-buy” rating in a report on Friday, August 1st. Two research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat.com, ResMed presently has an average rating of “Moderate Buy” and an average price target of $292.91.

Insider Activity at ResMed

In related news, CEO Michael J. Farrell sold 8,009 shares of the business’s stock in a transaction that occurred on Tuesday, October 7th. The stock was sold at an average price of $282.85, for a total transaction of $2,265,345.65. Following the completion of the transaction, the chief executive officer owned 467,792 shares in the company, valued at $132,314,967.20. The trade was a 1.68% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director John Hernandez sold 2,575 shares of ResMed stock in a transaction on Monday, August 18th. The shares were sold at an average price of $287.10, for a total value of $739,282.50. Following the sale, the director directly owned 4,045 shares in the company, valued at $1,161,319.50. The trade was a 38.90% decrease in their position. The disclosure for this sale can be found here. Insiders sold 18,743 shares of company stock worth $5,284,514 in the last 90 days. 0.65% of the stock is currently owned by company insiders.

ResMed Company Profile

ResMed Inc develops, manufactures, distributes, and markets medical devices and cloud-based software applications for the healthcare markets. The company 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 ApneaLink Air, a portable diagnostic device that measures oximetry, respiratory effort, pulse, nasal flow, and snoring; and NightOwl, a portable, cloud-connected, and disposable diagnostic device that measures AHI based on derived peripheral arterial tone, actigraphy, and oximetry over several nights.