ResMed stock: buy or sell?
August 23rd, 2019
ResMed Inc. develops, manufactures, distributes, and markets medical devices and cloud-based software applications that diagnose, treat, and manage respiratory disorders comprising sleep disordered breathing, chronic obstructive pulmonary disease, neuromuscular disease, and other chronic diseases.
Should I buy ResMed stock?You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. That's why is so important to choose your own trading strategy that fits your character as inversor. At Stocks2.com, we use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
Currently, 2 buy setups work for ResMed stock now:
|New all-time high||Yes|
|New 52 week high||Yes|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is ResMed stock a buy?
Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness.At Stocks2.com, we gathered 10 ratings published for RMD stock in the last 30 days.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-7-29||Goldman Sachs Group||Neutral||Buy|
|2019-4-18||JPMorgan Chase & Co.||Underweight||Neutral|
|2019-1-28||BMO Capital Markets||Outperform||Positive|
|2019-1-25||JPMorgan Chase & Co.||Neutral||Underweight|
|2019-1-25||Goldman Sachs Group||Buy||Neutral|
ResMed stock analysis
After climbing to all-time highs several times in past weeks, ResMed dropped -2.87% to $132.14.
After reaching all time highs on Aug/21, ResMed dropped -2.87% today to $132.14. On July, SMA100d and SMA200d crossed up triggering a rise of 7.08%. Since price and SMA200d lines crossed up on May, RMD climbed $28.33 (27.29%). From a daily perspective, RMD is in a short term uptrend after plotting its last bottom ($130.69, on Aug 15th) higher than the previous bottom, and its last top ($137.38, on Aug 21st) also over the previous top. Now trading in between its last bottom and last top RMD might consolidate in a plain range, waiting to break out over $137.38 or down under $130.69. On Aug/21, RMD hit new all time highs, pushing higher previous ATH of $136.89 recorded on Tuesday. New ATHs are usual entry points for many trading setups as there aren't higher resistences.
After climbing for 4 weeks, this week ResMed depreciated a bad -1.71%, closing at $132.14.
Price pattern shows an uptrend with two rising tops and bottoms, and now finally trading above the $125.43 resistance. It hit new all-time highs again this week, setting highs to $137.38. Since late June when SMA20w and SMA40w crossed up, RMD price gained $12.42 per share (10.37%). Since late April when RMD stock price broke up the SMA40w line, it gained $28.84 (27.92%).
ResMed stock price history
ResMed stock went public on June 2nd, 1995 with a price of $0.661. Since then, RMD stock surged a 19,921.20%, with an average of 830.10% per year. If you had invested right after RMD's IPO a $1,000 in ResMed stock in 1995, it would worth $199,212.00 today.
1: Adjusted price after possible price splits or reverse-splits.
ResMed stock historical price chart
RMD stock reached all-time highs on August/21 with a price of $137.38.
ResMed stock price target is $130.00Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' RMD stock price predictions in the hope that they will be met as they may be wrong and not met. We found 2 price predictions for RMD stock released in the last 30 days:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-1-28||BMO Capital Markets||Lowers Target||n/a||$120.00||-|
Financials and fundamental analysis
Earnings date and Earnings per ShareSince last April, when ResMed posted its last earnings report, it skyrocketed a dazzling 30.70%. Unfortunately, reported EPS is not yet available in our database.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual turnover report draw a dazzling increase of 13.23% to $2,340.20 million dollars. When comparing 2018 vs 2017, on the other hand, profit margin (that is, the net income divided by revenues) decreased a -3.08% to 13.49%. To have an up to date view of the financial situation of ResMed, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual ResMed TTM sales up to were $1,863.01 and earnings were $340.19 M dollars. When comparing this TTM figures with the last reported annuality, we can review ResMed business evolution since June 2018: Annual revenues up to , compared to lastest yearly report, plummed a scary -20.39%. Regarding profit margin, ResMed raised 4.77% to 13.49%
|2013||$1,510 M||-||$307 M20.3%||-|
|2014||$1,550 M||2.65%||$345 M22.3%||12.42%|
|2015||$1,679 M||8.32%||$353 M21.0%||2.21%|
|2016||$1,839 M||9.52%||$352 M19.2%||-0.14%|
|2017||$2,067 M||12.40%||$342 M16.6%||-2.87%|
|2018||$2,340 M||13.23%||$316 M13.5%||-7.80%|
|TTM||$1,863 M||-20.39%||$340 M18.3%||7.79%|
Quarterly financial resultsResMed reported M in sales for 2019-Q1, a -100.00% less compared to previous quarter. Reported quarter earnings marked million with a profit margin of . Profit margin remained constant a 0.00% compared to previous quarter when profit margin was 19.14%. When comparing sales to same quarter last year, ResMed sales marked a bloodcurdling decrease and plunged a -100.00%.
|2017-Q1||$514 M||-||$88 M17.1%||-|
|2017-Q2||$557 M||8.26%||$102 M18.3%||15.70%|
|2017-Q3||$524 M||-5.93%||$86 M16.4%||-15.23%|
|2017-Q4||$601 M||14.82%||$10 M1.6%||-88.94%|
|2018-Q1||$592 M||-1.60%||$110 M18.6%||1,055.93%|
|2018-Q2||$624 M||5.41%||$110 M17.6%||-0.29%|
|2018-Q3||$588 M||-5.67%||$106 M18.0%||-3.71%|
|2018-Q4||$651 M||10.68%||$125 M19.1%||17.88%|
ResMed ownershipWhen you are planning to invest in a company, it's always worth to review its ownership structure.
ResMed shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 1.21% of all shares.
In case of ResMed stock, 71.01% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for RMD stock account 0.00%, no big difference from last month.
For a better context understanding, the following table shows ownership data compared to other related stocks:
|Market cap||$18.9 B||$6.1 M||$44.8 M||$980.7 M||$15.1 M|
|Total shares||143.4 M||4.0 M||8.4 M||21.9 M||17.8 M|
|Float shares||142.4 M||3.4 M||6.8 M||18.2 M||3.0 M|
|- Institutional holdings (%)||71.0%||11.2%||25.9%||109.7%||0.7%|
|- Insider holdings (%)||1.2%||62.9%||18.5%||1.2%||75.1%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, August 23rd, 2019|
|Day range||$131.35 - $136.18|
|Average true range||$2.75|
|50d mov avg||$126.12|
|100d mov avg||$117.28|
|200d mov avg||$110.76|
ResMed performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. For ResMed, the benchmark is made against Allied Healthcare Products, Electromed, Inogen, Lianluo Smart, Masimo, Medtronic, Koninklijke Philips and Thermo Fisher Scientific.
|TMOThermo Fisher Sci...||2.41%||10.49%||18.85%|
ResMed competitorsOne check before investing in any stock is to have a look a list of its competitors, in this case for ResMed. We picked 8 companies as ResMed competitors as they are in the same industry or have similar market objectives.
- Allied Healthcare Products (AHPI)
- Electromed (ELMD)
- Inogen (INGN)
- Lianluo Smart (LLIT)
- Masimo (MASI)
- Medtronic (MDT)
- Koninklijke Philips (PHG)
- Thermo Fisher Scientific (TMO)
Latest ResMed stock news
- Seeking AlphaProbing ResMed For A Swing TradeMarch 27, 2019
- Seeking AlphaResMed: Positioned For GrowthMarch 26, 2019
- InvestorPlaceResMed Earnings: RMD Stock Plunges on Q2 Revenue MissJanuary 25, 2019