(RMD) ResMed - Overview
Sleep apnea devices, Ventilators, Home care software, SaaS dashboards
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 0.89% |
| Yield on Cost 5y | 1.16% |
| Yield CAGR 5y | 8.68% |
| Payout Consistency | 100.0% |
| Payout Ratio | 22.8% |
| Risk 5d forecast | |
|---|---|
| Volatility | 32.4% |
| Relative Tail Risk | -23.2% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.12 |
| Alpha | -10.31 |
| Character TTM | |
|---|---|
| Beta | 0.624 |
| Beta Downside | 0.483 |
| Drawdowns 3y | |
|---|---|
| Max DD | 43.87% |
| CAGR/Max DD | 0.11 |
Description: RMD ResMed January 28, 2026
ResMed Inc. (NYSE:RMD) designs, manufactures, and markets medical-device hardware and cloud-based software for diagnosing, treating, and managing respiratory disorders. The business is split between a Sleep & Breathing Health segment-offering home- and clinic-based sleep-apnea diagnostics (e.g., ApneaLink Air, NightOwl) and connected therapy platforms (AirView, myAir)-and a Residential Care Software segment that supplies EHR, billing and analytics solutions (Brightree, HEALTHCAREfirst, MatrixCare, MEDIFOX DAN) to home-health, hospice and senior-living providers.
In its most recent fiscal year (2023), ResMed reported revenue of $3.22 billion, up ≈ 9 % year-over-year, with operating income of $483 million (≈ 15 % margin). Cloud-based subscription revenue grew 18 % YoY, reflecting expanding adoption of AirView and myAir, while device shipments rose 12 % driven by the NightOwl portable diagnostic. The company’s R&D spend remained steady at ~ $380 million (≈ 12 % of revenue), underscoring continued investment in connected-care technology.
Key growth catalysts include the aging U.S. population (the 65+ cohort is projected to reach 21 % of the population by 2035) and the high prevalence of sleep-apnea-estimated at 26 % of adults-fueling demand for home-based diagnostics and remote-monitoring solutions. Macro-level drivers such as expanding telehealth reimbursement, favorable Medicare policies for home-use devices, and broader healthcare-equipment spending trends also support ResMed’s outlook. However, potential headwinds remain: tighter reimbursement rates or regulatory changes could compress margins, and competitive pressure from emerging low-cost diagnostic entrants could affect market share.
For a deeper quantitative assessment of RMD’s valuation and risk profile, consider reviewing the analytics on ValueRay.
Piotroski VR‑10 (Strict, 0-10) 8.0
| Net Income: 1.44b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.21 > 0.02 and ΔFCF/TA 2.60 > 1.0 |
| NWC/Revenue: 45.08% < 20% (prev 36.13%; Δ 8.95% < -1%) |
| CFO/TA 0.23 > 3% & CFO 1.88b > Net Income 1.44b |
| Net Debt (-537.5m) to EBITDA (1.98b): -0.27 < 3 |
| Current Ratio: 2.89 > 1.5 & < 3 |
| Outstanding Shares: last quarter (147.0m) vs 12m ago -0.38% < -2% |
| Gross Margin: 60.08% > 18% (prev 0.58%; Δ 5950 % > 0.5%) |
| Asset Turnover: 67.70% > 50% (prev 66.56%; Δ 1.14% > 0%) |
| Interest Coverage Ratio: 87.15 > 6 (EBITDA TTM 1.98b / Interest Expense TTM 20.1m) |
Altman Z'' 8.89
| A: 0.29 (Total Current Assets 3.63b - Total Current Liabilities 1.26b) / Total Assets 8.31b |
| B: 0.76 (Retained Earnings 6.34b / Total Assets 8.31b) |
| C: 0.23 (EBIT TTM 1.75b / Avg Total Assets 7.77b) |
| D: 2.87 (Book Value of Equity 6.28b / Total Liabilities 2.19b) |
| Altman-Z'' Score: 8.89 = AAA |
Beneish M -3.05
| DSRI: 1.08 (Receivables 958.4m/811.2m, Revenue 5.26b/4.81b) |
| GMI: 0.96 (GM 60.08% / 57.67%) |
| AQI: 0.89 (AQ_t 0.48 / AQ_t-1 0.54) |
| SGI: 1.09 (Revenue 5.26b / 4.81b) |
| TATA: -0.05 (NI 1.44b - CFO 1.88b) / TA 8.31b) |
| Beneish M-Score: -3.05 (Cap -4..+1) = AA |
What is the price of RMD shares?
Over the past week, the price has changed by -0.60%, over one month by +6.12%, over three months by +0.69% and over the past year by +4.03%.
Is RMD a buy, sell or hold?
- StrongBuy: 8
- Buy: 4
- Hold: 6
- Sell: 0
- StrongSell: 1
What are the forecasts/targets for the RMD price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 292.3 | 13.4% |
| Analysts Target Price | 292.3 | 13.4% |
| ValueRay Target Price | 263.8 | 2.4% |
RMD Fundamental Data Overview January 25, 2026
P/E Forward = 23.2019
P/S = 7.0071
P/B = 6.0182
P/EG = 1.6293
Revenue TTM = 5.26b USD
EBIT TTM = 1.75b USD
EBITDA TTM = 1.98b USD
Long Term Debt = 408.7m USD (from longTermDebt, last quarter)
Short Term Debt = 289.9m USD (from shortTermDebt, last quarter)
Debt = 846.4m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -537.5m USD (from netDebt column, last quarter)
Enterprise Value = 36.30b USD (36.84b + Debt 846.4m - CCE 1.38b)
Interest Coverage Ratio = 87.15 (Ebit TTM 1.75b / Interest Expense TTM 20.1m)
EV/FCF = 20.54x (Enterprise Value 36.30b / FCF TTM 1.77b)
FCF Yield = 4.87% (FCF TTM 1.77b / Enterprise Value 36.30b)
FCF Margin = 33.61% (FCF TTM 1.77b / Revenue TTM 5.26b)
Net Margin = 27.35% (Net Income TTM 1.44b / Revenue TTM 5.26b)
Gross Margin = 60.08% ((Revenue TTM 5.26b - Cost of Revenue TTM 2.10b) / Revenue TTM)
Gross Margin QoQ = 61.46% (prev 60.84%)
Tobins Q-Ratio = 4.37 (Enterprise Value 36.30b / Total Assets 8.31b)
Interest Expense / Debt = 1.04% (Interest Expense 8.79m / Debt 846.4m)
Taxrate = 21.99% (98.3m / 446.8m)
NOPAT = 1.37b (EBIT 1.75b * (1 - 21.99%))
Current Ratio = 2.89 (Total Current Assets 3.63b / Total Current Liabilities 1.26b)
Debt / Equity = 0.14 (Debt 846.4m / totalStockholderEquity, last quarter 6.12b)
Debt / EBITDA = -0.27 (Net Debt -537.5m / EBITDA 1.98b)
Debt / FCF = -0.30 (Net Debt -537.5m / FCF TTM 1.77b)
Total Stockholder Equity = 5.72b (last 4 quarters mean from totalStockholderEquity)
RoA = 18.52% (Net Income 1.44b / Total Assets 8.31b)
RoE = 25.13% (Net Income TTM 1.44b / Total Stockholder Equity 5.72b)
RoCE = 28.62% (EBIT 1.75b / Capital Employed (Equity 5.72b + L.T.Debt 408.7m))
RoIC = 21.41% (NOPAT 1.37b / Invested Capital 6.39b)
WACC = 8.05% (E(36.84b)/V(37.69b) * Re(8.22%) + D(846.4m)/V(37.69b) * Rd(1.04%) * (1-Tc(0.22)))
Discount Rate = 8.22% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -33.33 | Cagr: -0.17%
[DCF Debug] Terminal Value 81.08% ; FCFF base≈1.60b ; Y1≈1.97b ; Y5≈3.36b
Fair Price DCF = 388.6 (EV 56.18b - Net Debt -537.5m = Equity 56.72b / Shares 146.0m; r=8.05% [WACC]; 5y FCF grow 25.0% → 2.90% )
EPS Correlation: 4.01 | EPS CAGR: -43.34% | SUE: -4.0 | # QB: 0
Revenue Correlation: 96.85 | Revenue CAGR: 11.27% | SUE: 0.20 | # QB: 0
EPS next Quarter (2026-03-31): EPS=2.77 | Chg30d=+0.003 | Revisions Net=+1 | Analysts=13
EPS current Year (2026-06-30): EPS=10.92 | Chg30d=+0.010 | Revisions Net=+1 | Growth EPS=+14.3% | Growth Revenue=+8.9%
EPS next Year (2027-06-30): EPS=12.04 | Chg30d=+0.014 | Revisions Net=+2 | Growth EPS=+10.3% | Growth Revenue=+7.5%