ResMed (NYSE:RMD) Shares Gap Down Following Insider Selling

ResMed Inc. (NYSE:RMD) gapped down before the market opened on Friday following insider selling activity. The stock had previously closed at $223.24, but opened at $207.18. ResMed shares last traded at $209.5380, with a volume of 523,068 shares trading hands.

Specifically, Director Peter C. Farrell sold 8,000 shares of the business’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $225.00, for a total value of $1,800,000.00. Following the transaction, the director directly owned 52,773 shares in the company, valued at $11,873,925. The trade was a 13.16% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on RMD shares. KeyCorp set a $255.00 price target on shares of ResMed in a research note on Friday. Weiss Ratings lowered ResMed from a “hold (c)” rating to a “hold (c-)” rating in a report on Friday, July 24th. JPMorgan Chase & Co. initiated coverage on ResMed in a research note on Wednesday, April 15th. They issued an “overweight” rating on the stock. Robert W. Baird set a $225.00 price target on ResMed in a research note on Friday, May 1st. Finally, Mizuho decreased their price objective on ResMed from $235.00 to $220.00 and set an “outperform” rating for the company in a report on Wednesday, July 15th. Seven analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $244.50.

Trending Headlines about ResMed

Here are the key news stories impacting ResMed this week:

• Positive Sentiment: ResMed reported fiscal Q4 earnings of $2.95 per share, above analyst expectations of approximately $2.89–$2.90 and up from $2.55 a year earlier. Revenue rose 8.6% year over year to $1.46 billion, supporting the company’s continued growth. ResMed Q4 Earnings and Revenues Top Estimates
• Positive Sentiment: The company raised its dividend alongside its strong fourth-quarter and full-year fiscal 2026 results, potentially increasing its appeal to income-focused investors. ResMed Posts Strong Q4 Earnings and Lifts Dividend
• Neutral Sentiment: Analyst opinion remains cautious. ResMed has an average “Hold” rating, with several firms recently reducing price targets, although the consensus target of $246.25 remains above the current trading level. ResMed Receives Average Hold Rating
• Neutral Sentiment: Investors are also weighing industry risks, including tariffs, inflation and pressure on hospital spending, which could affect medtech demand and margins despite ResMed’s profitability. Medtech Earnings Season Preview
• Negative Sentiment: Director Peter Farrell sold 8,000 shares for $1.8 million, reducing his stake by 13.16%. Because the sale occurred under a pre-arranged Rule 10b5-1 plan, it is a limited signal of insider confidence, but it may still create modest selling pressure. SEC Insider Trading Filing

ResMed Price Performance

The business’s 50 day moving average is $200.06 and its two-hundred day moving average is $222.30. The company has a debt-to-equity ratio of 0.06, a quick ratio of 2.33 and a current ratio of 3.01. The firm has a market capitalization of $30.75 billion, a PE ratio of 20.44, a price-to-earnings-growth ratio of 1.36 and a beta of 0.76.

ResMed (NYSE:RMD) last announced its quarterly earnings results on Thursday, August 6th. The medical equipment provider reported $2.95 earnings per share for the quarter, beating the consensus estimate of $2.89 by $0.06. ResMed had a return on equity of 25.35% and a net margin of 27.44%.The company had revenue of $1.46 billion during the quarter, compared to analysts’ expectations of $1.46 billion. During the same period in the previous year, the business earned $2.55 earnings per share. The firm’s quarterly revenue was up 8.6% compared to the same quarter last year. Equities research analysts anticipate that ResMed Inc. will post 11.14 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in RMD. International Assets Investment Management LLC bought a new stake in shares of ResMed during the fourth quarter valued at about $25,000. Bell Investment Advisors Inc purchased a new position in ResMed during the second quarter valued at approximately $26,000. Imprint Wealth LLC purchased a new position in ResMed during the third quarter valued at approximately $26,000. WFA of San Diego LLC bought a new stake in ResMed during the 2nd quarter worth approximately $26,000. Finally, Sunbelt Securities Inc. bought a new stake in ResMed during the 3rd quarter worth approximately $31,000. Hedge funds and other institutional investors own 54.98% of the company’s stock.

ResMed Company 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.