The ResMed Inc. (RMD) shares are trading at higher $179.11 and the avg recommendation for the stock is Moderate Buy. The current analyst price target stands at $172.40.
To add more color to this target, the company’s high over the last year is $177.99 and the low is $108.85. Over the last 52 weeks, RMD is up 0.63% while the S&P 500 is up 0.64%. The catalyst for this interesting swing was the company’s recent earnings report.
A Notable Earnings Report
In the last quarter, RMD reported a profit of $449.66 million. ResMed Inc. also saw revenues increase to $769.46 million. In addition, RMD has free cash flow of $394.63 million as of 03-2020 The company’s EBITDA came in at $263.96 million which compares well with its peers.
RMD booked profit margins of 17.70%, its Return on Equity (ROE) is 23.60%, and its Return on Assets is 12.00%. All told, it is clear that, RMD needs to be on your watchlist.
Find out when RMD reaches critical levels. Subscribe to OracleDispatch.com Right Now by entering your Email in the box below.
Of course, we must look beyond the financials and question how well those numbers represent the sustainable earnings power of the business. Investors need to know how sustainable this current run. RMD has a short ratio of 2.21 and outstanding shares of 144.64M.
RMD has seen increased volume after this news and investors are putting their support behind the value proposition. Furthermore, 10-day volume stands at 0.82 million and more growth is possible in the weeks ahead. Traders will also note the company’s earnings per share came in at 3.54. ResMed Inc. RMD also noted assets of $4.51 billion at the end of the last quarter. Investors should also keep an eye on sector updates as RMD has historically followed its peers on positive news.
All told, ResMed Inc. RMD has strung together solid data and demonstrated underlying fundamentals. At its current valuation, RMD represents an interesting risk/reward case. Traders should stay tuned to see if this recent report will push the stock to test recent resistance levels.
ResMed Inc. RMD is now commanding a market cap of 26.06B and a float of 143.53M. RMD is increasing its credibility in this sector and that could lead to more upside down the line. Sign-up for continuing coverage on shares of RMD stock, as well as other hot stock picks, get our free newsletter today and get our next breakout pick!
Disclosure: we hold no position in RMD, either long or short, and we have not been compensated for this article.