ResMed Inc. (RMD) is listed on NYSE and operates in the Medical - Instruments & Supplies industry (Healthcare sector).
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 technologies to be applied in medical and consumer products, ventilation devices, diagnostic products, mask systems for use in the hospital and home, headgear and other accessories, dental devices, and cloud-based software informatics solutions to manage patient outcomes, as well as provides customer and business processes. The company also provides AirView, a cloud-based system that enables remote monitoring and changing of patients' device settings; myAir, a personalized therapy management application for patients with sleep apnea that provides support, education, and troubleshooting tools for increased patient engagement and improved compliance; U-Sleep, a compliance monitoring solution that enables home medical equipment (HME)to streamline their sleep programs; connectivity module and propeller solutions; and Propeller portal. It offers out-of-hospital software solution, such as Brightree business management software and service solutions to providers of HME, pharmacy, home infusion, orthotics, and prosthetics services; MatrixCare care management and related ancillary solutions to senior living, skilled nursing, life plan communities, home health, ho...
| Rating | Analysts |
|---|---|
| Strong Buy | 0 |
| Buy | 16 |
| Hold | 14 |
| Sell | 5 |
| Strong Sell | 0 |
ResMed Inc. specializes in developing, manufacturing, and distributing medical devices and cloud-based software for healthcare markets. The company operates in two segments: Sleep and Respiratory Care, and Software as a Service. It provides solutions for respiratory disorders, including ventilation devices, diagnostic products, mask systems, and dental devices. ResMed also offers cloud-based software for patient management, such as AirView for remote monitoring and myAir for sleep apnea therapy management. Additionally, it provides out-of-hospital software solutions like Brightree and MatrixCare for healthcare providers. ResMed's products are marketed to sleep clinics, home healthcare dealers, and hospitals in approximately 140 countries. Founded in 1989, ResMed is headquartered in San Diego, California.
Over the past three fiscal years, the company has demonstrated robust growth and improving financial health. Revenue consistently increased at a compound annual growth rate (CAGR) of 10.4%, rising from $4.22 billion in 2023 to $5.15 billion in 2025. This revenue growth was accompanied by significant profitability improvements, with the operating margin expanding by 5.9 percentage points from 26.8% to 32.7%, and the net margin increasing by 6.0 percentage points from 21.3% to 27.2%. Earnings per share (EPS) also saw a substantial rise, growing at a CAGR of 25.0% from $6.09 to $9.51. Cash generation strengthened markedly, with operating cash flow (OCF) and free cash flow (FCF) both more than doubling, reaching $1.75 billion and $1.66 billion respectively by 2025. The company's FCF margin improved by 19.0 percentage points to 32.3%, indicating strong cash conversion. Additionally, the company transitioned from a net debt position of $1.35 billion in 2023 to a net cash position of $357.6 million by 2025, reflecting a significant reduction in leverage. The return on invested capital (ROIC) consistently increased, reaching 24.97%, underscoring efficient capital utilization. Despite the absence of material share count changes, the company's financial performance has clearly enhanced shareholder value through operational excellence and effective cash management.
Recent developments for ResMed Inc. (RMD) highlight significant insider and institutional trading activity alongside analyst actions. On April 18, Lbp Am Sa increased its holdings in ResMed by acquiring 18,142 shares, bringing its total to 49,017 shares valued at $13,417,000. Concurrently, Nordea Investment Management AB expanded its position by 294,124 shares, now holding 1,084,996 shares worth $262,027,000. In contrast, CEO Michael Farrell sold 4,991 shares on April 11, valued at approximately $1,125,470, reducing his stake slightly. Analyst sentiment remains positive, with ResMed being upgraded to a 'Buy' on March 17, suggesting confidence in the company's future performance. Additionally, ResMed is anticipated to exceed earnings estimates again, as indicated by a Zacks Investment Research report on April 20. These transactions and analyst perspectives suggest a mixed but generally optimistic outlook for ResMed, with institutional investors showing increased interest despite some insider selling.