Why Quality-Oriented Investors Should Consider NYSE:RMD.

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if RESMED INC (NYSE:RMD) is suited for quality investing. Investors should of course do their own research, but we spotted RESMED INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Some of the quality metrics of NYSE:RMD highlighted

• RESMED INC has shown strong performance in revenue growth over the past 5 years, with a 12.44% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
• RESMED INC demonstrates impressive performance in terms of ROIC excluding cash and goodwill, with a 46.86% ratio. This highlights the company's efficient utilization of capital and its focus on maximizing returns for investors.
• RESMED INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.55, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
• With a favorable Profit Quality (5-year) ratio of 91.2%, RESMED INC showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
• RESMED INC has demonstrated consistent growth in EBIT over the past 5 years, with a strong 16.83%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
• RESMED INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Fundamental Analysis Observations

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to RMD. RMD was compared to 191 industry peers in the Health Care Equipment & Supplies industry. RMD gets an excellent profitability rating and is at the same time showing great financial health properties. RMD has a decent growth rate and is not valued too expensively. With these ratings, RMD could be worth investigating further for quality investing!.

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

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.