Stock Analysis
ResMed Inc.RMD
P/E 22.69×· 5Y range 17.61–93.62×· bottom 11% of history
Sector: Healthcare · Industry: Surgical & Medical Instruments & Apparatus
AnalystsHold27 analystsP/E 22.7× sits at the 11th percentile of its 5.086926762491444-year history.
Cash covers 178% of debt · FY 2026.
PMP Verdict
Strong business, attractive price
Strengths
- Financial Health100
- Quality97
High-quality business at an attractive price.
Bull Case
- ✓Piotroski F-Score 7/9 — high earnings quality
- ✓Altman Z 11.6 — safe-zone balance sheet
- ✓ROE 23.1% — efficient capital deployment
- ✓Revenue CAGR 12.1% — durable top-line growth
- ✓Interest coverage 44.4× — debt well covered
What's happening with RMD
Profile
Strong financial health, moat, earnings quality, profitability and growth.
How is each axis scored?
- Valuation69/100 · Moderate
- P/E vs own history (11th pct)25/25
- FCF yield (5.2%)20/25
- P/S (6.1x)12/25
- EV/EBIT (17.4x)12/25
- Growth80/100 · Strong
- Revenue CAGR (12.1%)20/25
- Net income CAGR (18.2%)20/25
- EPS CAGR 5Y (18.4%)20/25
- Fwd implied growth (25.9%)20/25
- Profitability95/100 · Strong
- ROIC (25.2%)25/25
- ROE (23.1%)20/25
- Net margin (27.4%)25/25
- Operating margin (34.2%)25/25
- Financial Health100/100 · Strong
- Altman Z (11.65)25/25
- Current ratio (3.10)25/25
- Interest coverage (44.4x)25/25
- Net cash / debt (Net cash)25/25
- Quality97/100 · Strong
- Piotroski F (7/9)22/25
- Beneish M (-2.54)25/25
- FCF conversion (115%)25/25
- Margin stability (σ 4.0%)25/25
- Moat100/100 · Strong
- ROIC >12% years (10/10 yrs)25/25
- Median gross margin (58.1%)25/25
- FCF-positive years (10/10 yrs)25/25
- Worst-year net margin (worst 13.5%)25/25
About ResMed Inc.
ResMed is one of the largest respiratory care device companies globally, primarily developing and supplying flow generators, masks, and accessories for the treatment of sleep apnea. Show more
Increasing diagnosis of sleep apnea, combined with aging populations and increasing prevalence of obesity, is resulting in a structurally growing market. The company earns roughly two-thirds of its revenue in the Americas and the balance across other regions dominated by Europe, Japan, and Australia. Recent developments and acquisitions have focused on digital health as ResMed is aiming to differentiate itself through the provision of clinical data for use by the patient, medical care advisor, and payer in the out-of-hospital setting.
Headquarters: SAN DIEGO, CA · Employees: 11,370 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
69BP/E (TTM)22.7xB
Grade B: FairPrice / TTM EPS (own statements) — vs own 5Y history: 17.6x–93.6x · 11th pct
P/FCF20.8xB
Grade B: FairPrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield5.2%A
Grade A: ValueTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 0.7%–6.6% · 88th pct
P/S (TTM)6.07xC
Grade C: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 4.5x–13.8x · 24th pct
EV/EBIT17.4xB
Grade B: FairEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 13.6x–48.8x · 11th pct
EV/Sales5.8xC
Grade C: ExpensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E18.0xB
Grade B: FairPrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio5.10xC
Grade C: ExpensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio2.38C
Grade C: ExpensiveFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield1.03%A
Grade A: PaysTTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio22.9%A
Grade A: SafeDividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
95A+ROIC25.2%A
Grade A: MoatNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE23.1%A
Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks
ROA17.6%A
Grade A: StrongReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin27.4%A
Grade A: HighNet Income / Revenue
Operating Margin34.2%A
Grade A: HighTTM EBIT / TTM Revenue
Gross Margin61.6%A
Grade A: PremiumGross Profit / Revenue
FCF Margin31.7%A
Grade A: HighFCF / Revenue
True FCF Margin29.8%A
Grade A: HighTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
80ARevenue CAGR12.1%C
Grade C: OkCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR18.2%A
Grade A: HighCompound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)18.4%A
Grade A: HighCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth25.9%C
Grade C: MedAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)-1.5%B
Grade B: FlatShare count change over 5Y
SBC / Net Income6.7%A
Grade A: LowStock-based comp/Net income. >30% = dilution risk
SBC / Revenue1.8%A
Grade A: LowTTM stock-based comp / TTM Revenue
Financial Health
100A+Altman Z-Score11.65A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio3.10xA
Grade A: HighCurrent Assets/Liabilities
Quick Ratio2.12xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage44.4xA
Grade A: StrongEBIT/Interest. >10 Strong
Debt RepaymentNet CashA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBITNet CashA
Grade A: LowLeverage. <2x Low, >4x High
Debt/Equity0.13xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt1.78xA
Grade A: CoveredCash covers how much of total debt. >1 = could repay all debt from cash
Quality
97A+Piotroski F-Score7/9A
Grade A: StrongFinancial strength 0–9. >7 Strong
Beneish M-Score-2.54A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion115.4%A
Grade A: StrongFCF / Net Income
Margin Stability4.0%A
Grade A: StableEBIT margin std deviation. Lower = stable
Capex / Revenue2.5%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.65xC
Grade C: AverageRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Farrell Michael J. Filed | Farrell Michael J. | Option exercise | -4991 | |
Farrell Michael J. Filed | Farrell Michael J. | SellOpen market sale | -4991 | |
Farrell Michael J. Filed | Farrell Michael J. | Option exercise | +5.0K | |
Farrell Michael J. Filed | Farrell Michael J. | Option exercise | -4991 | |
Farrell Michael J. Filed | Farrell Michael J. | SellOpen market sale | -4991 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Farrell Michael J. Filed | Farrell Michael J. | Option exercise | +5.0K | |
FARRELL PETER C Filed | FARRELL PETER C | SellOpen market sale | -970 | |
Bloomer Aaron Filed | Bloomer Aaron | Grant / award | +9.1K |
Option exercise (M) rows report a derivative leg, not an open-market sale — a paired negative entry is the option position being consumed.
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
100A+ROIC >12% Years10/10 yrsA
Grade A: DurableShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)58.1%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years10/10 yrsA
Grade A: DurableShare of completed fiscal years with positive free cash flow
Net Margin Floor13.5%A
Grade A: DurableWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$10.53
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$5.06
Cash & short-term investments per share (Finnhub)
Book Value / Share$22.70
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$825.92M
Total debt obligations (short + long term)
Cash & Equiv.$1.47B
Cash and short-term investments
Net Debt$-643.32MA
Grade A: Net CashTotal Debt minus Cash. Negative = Net Cash position
Total Equity$6.59B
Shareholders' equity (book value)
Asset / Liability3.77xA
Grade A: SolidTotal Assets / Total Liabilities
Market
Market Cap$33.61B
Current Market Capitalization
Beta0.78B
Grade B: DefensivePrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 17, 2026
Key Insights: ResMed Inc. (RMD)
RMD is down 1.35% at the last close. ResMed Inc. meets 7 of 9 Piotroski F-Score criteria, placing its fundamental strength in the top tier of US-listed stocks. Altman Z-Score of 11.65 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Beneish M-Score of -2.54 suggests a low likelihood of earnings manipulation.
- ResMed Inc. converts about 32% of revenue into free cash flow — strong cash generation.
- Company is effectively debt-free after netting cash.
- Return on equity of 23.1% is well above the market average.
See how RMD ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all RMD moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 15 | Regular | 242.58 | +3.10% | 2.77 |
| Oct 15 | After-hours | 240.81 | +2.35% | 2.07 |
| Oct 7 | Regular | 225.84 | +2.33% | 2.08 |
| Oct 7 | After-hours | 225.98 | +2.40% | 2.14 |
Frequently Asked Questions about RMD
What is the current ResMed Inc. (RMD) stock price?
RMD is trading at $238.97 at the last market close, down 1.35% on the session. PreMarketPrice tracks RMD pre-market, intraday and after-hours prices.
Is RMD stock a buy right now?
PreMarketPrice's quantitative model rates ResMed Inc.'s financial health at 100/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is RMD stock overvalued?
ResMed Inc. trades at a trailing P/E of 22.7 and our valuation score rates it 69/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does ResMed Inc. report earnings?
No confirmed earnings date is currently scheduled for RMD. The Earnings section lists recent reports and updates as dates are announced.
What sector does ResMed Inc. operate in?
ResMed Inc. operates in the Healthcare sector, within the Surgical & Medical Instruments & Apparatus industry. The Related Stocks section lists sector peers for comparison.
What does ResMed Inc. do?
ResMed is one of the largest respiratory care device companies globally, primarily developing and supplying flow generators, masks, and accessories for the treatment of sleep apnea.
About ResMed Inc. (RMD) Stock
ResMed Inc. (RMD) is a US-listed stock operating in the Healthcare sector, specifically the Surgical & Medical Instruments & Apparatus industry. As of the latest update, ResMed Inc. is trading at $238.97, down 1.35% on the day with a market capitalization of $33.6 billion. The financial health score for RMD is 100/100, which indicates excellent financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for RMD stock.
RMD Stock Analysis & Key Metrics
On PreMarketPrice, you can track ResMed Inc. (RMD) across multiple dimensions:
- Pre-market price & movement: Real-time RMD stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for RMD with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for ResMed Inc. across multiple reporting periods.
- Financial health score: A composite score of 100/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for RMD.
- Sector peers: Compare RMD against 6 other healthcare stocks on key financial metrics.
Is RMD a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate ResMed Inc. (RMD) as an investment. The financial health score of 100/100 suggests excellent financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.ResMed Inc. (RMD) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.