Uncovering Dividend Opportunities with NYSE:RMD.

RESMED INC (NYSE:RMD) is a hidden gem unveiled by our stock screening tool, featuring a promising dividend outlook alongside solid fundamentals. NYSE:RMD demonstrates decent financial health and profitability while ensuring a sustainable dividend. Let's break it down further.

Unpacking NYSE:RMD's Dividend Rating

ChartMill assigns a Dividend Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing various dividend elements, such as yield, historical performance, dividend growth, and sustainability. NYSE:RMD has been awarded a 7 for its dividend quality:

• RMD's Dividend Yield is rather good when compared to the industry average which is at 1.48. RMD pays more dividend than 94.95% of the companies in the same industry.
• RMD has been paying a dividend for at least 10 years, so it has a reliable track record.
• RMD has not decreased their dividend for at least 10 years, which is a reliable track record.
• 30.39% of the earnings are spent on dividend by RMD. This is a low number and sustainable payout ratio.
• The dividend of RMD is growing, but earnings are growing more, so the dividend growth is sustainable.

Looking at the Health

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:RMD has achieved a 7 out of 10:

• RMD has an Altman-Z score of 9.16. This indicates that RMD is financially healthy and has little risk of bankruptcy at the moment.
• Looking at the Altman-Z score, with a value of 9.16, RMD belongs to the top of the industry, outperforming 90.40% of the companies in the same industry.
• The Debt to FCF ratio of RMD is 1.30, which is an excellent value as it means it would take RMD, only 1.30 years of fcf income to pay off all of its debts.
• With an excellent Debt to FCF ratio value of 1.30, RMD belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
• A Debt/Equity ratio of 0.27 indicates that RMD is not too dependend on debt financing.
• A Current Ratio of 3.11 indicates that RMD has no problem at all paying its short term obligations.

Looking at the Profitability

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:RMD was assigned a score of 8 for profitability:

• RMD has a better Return On Assets (12.89%) than 95.45% of its industry peers.
• RMD has a Return On Equity of 19.87%. This is amongst the best in the industry. RMD outperforms 94.95% of its industry peers.
• RMD has a better Return On Invested Capital (16.09%) than 96.46% of its industry peers.
• RMD has a Profit Margin of 19.77%. This is amongst the best in the industry. RMD outperforms 94.95% of its industry peers.
• RMD's Profit Margin has improved in the last couple of years.
• RMD has a better Operating Margin (26.98%) than 96.97% of its industry peers.
• In the last couple of years the Operating Margin of RMD has grown nicely.

More Best Dividend stocks can be found in our Best Dividend screener.

Check the latest full fundamental report of RMD for a complete fundamental analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.