RESMED INC (RMD) Fundamental Analysis & Valuation

NYSE:RMD • US7611521078

Current stock price

222.04 USD
+0.82 (+0.37%)
At close:
224.67 USD
+2.63 (+1.18%)
After Hours:

This RMD fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. RMD Profitability Analysis

1.1 Basic Checks

  • In the past year RMD was profitable.
  • RMD had a positive operating cash flow in the past year.
  • Each year in the past 5 years RMD has been profitable.
  • Each year in the past 5 years RMD had a positive operating cash flow.
RMD Yearly Net Income VS EBIT VS OCF VS FCFRMD Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

1.2 Ratios

  • RMD has a Return On Assets of 17.47%. This is amongst the best in the industry. RMD outperforms 96.26% of its industry peers.
  • With an excellent Return On Equity value of 23.51%, RMD belongs to the best of the industry, outperforming 95.19% of the companies in the same industry.
  • RMD has a better Return On Invested Capital (20.84%) than 97.86% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for RMD is significantly above the industry average of 9.12%.
  • The last Return On Invested Capital (20.84%) for RMD is above the 3 year average (18.06%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 17.47%
ROE 23.51%
ROIC 20.84%
ROA(3y)15.1%
ROA(5y)14.12%
ROE(3y)22.06%
ROE(5y)21.17%
ROIC(3y)18.06%
ROIC(5y)18.51%
RMD Yearly ROA, ROE, ROICRMD Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

1.3 Margins

  • With an excellent Profit Margin value of 27.53%, RMD belongs to the best of the industry, outperforming 97.33% of the companies in the same industry.
  • RMD's Profit Margin has improved in the last couple of years.
  • RMD's Operating Margin of 34.11% is amongst the best of the industry. RMD outperforms 99.47% of its industry peers.
  • RMD's Operating Margin has improved in the last couple of years.
  • Looking at the Gross Margin, with a value of 60.85%, RMD is in the better half of the industry, outperforming 62.03% of the companies in the same industry.
  • RMD's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 34.11%
PM (TTM) 27.53%
GM 60.85%
OM growth 3Y5.43%
OM growth 5Y3.67%
PM growth 3Y7.71%
PM growth 5Y5.3%
GM growth 3Y1.6%
GM growth 5Y0.42%
RMD Yearly Profit, Operating, Gross MarginsRMD Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

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8

2. RMD Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), RMD is creating value.
  • Compared to 1 year ago, RMD has less shares outstanding
  • Compared to 5 years ago, RMD has more shares outstanding
  • Compared to 1 year ago, RMD has an improved debt to assets ratio.
RMD Yearly Shares OutstandingRMD Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M
RMD Yearly Total Debt VS Total AssetsRMD Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.2 Solvency

  • RMD has an Altman-Z score of 11.67. This indicates that RMD is financially healthy and has little risk of bankruptcy at the moment.
  • RMD has a Altman-Z score of 11.67. This is amongst the best in the industry. RMD outperforms 90.91% of its industry peers.
  • RMD has a debt to FCF ratio of 0.37. This is a very positive value and a sign of high solvency as it would only need 0.37 years to pay back of all of its debts.
  • The Debt to FCF ratio of RMD (0.37) is better than 91.44% of its industry peers.
  • A Debt/Equity ratio of 0.06 indicates that RMD is not too dependend on debt financing.
  • RMD has a better Debt to Equity ratio (0.06) than 67.91% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 0.37
Altman-Z 11.67
ROIC/WACC2.36
WACC8.82%
RMD Yearly LT Debt VS Equity VS FCFRMD Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B 5B

2.3 Liquidity

  • RMD has a Current Ratio of 3.06. This indicates that RMD is financially healthy and has no problem in meeting its short term obligations.
  • RMD has a Current ratio (3.06) which is comparable to the rest of the industry.
  • RMD has a Quick Ratio of 2.32. This indicates that RMD is financially healthy and has no problem in meeting its short term obligations.
  • RMD's Quick ratio of 2.32 is in line compared to the rest of the industry. RMD outperforms 56.15% of its industry peers.
Industry RankSector Rank
Current Ratio 3.06
Quick Ratio 2.32
RMD Yearly Current Assets VS Current LiabilitesRMD Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. RMD Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an nice 16.29% over the past year.
  • Measured over the past years, RMD shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.94% on average per year.
  • RMD shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.57%.
  • The Revenue has been growing by 11.72% on average over the past years. This is quite good.
EPS 1Y (TTM)16.29%
EPS 3Y18.15%
EPS 5Y14.94%
EPS Q2Q%15.64%
Revenue 1Y (TTM)9.57%
Revenue growth 3Y12.88%
Revenue growth 5Y11.72%
Sales Q2Q%10.98%

3.2 Future

  • RMD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.77% yearly.
  • Based on estimates for the next years, RMD will show a quite strong growth in Revenue. The Revenue will grow by 8.40% on average per year.
EPS Next Y16.35%
EPS Next 2Y13.39%
EPS Next 3Y11.65%
EPS Next 5Y10.77%
Revenue Next Year9.99%
Revenue Next 2Y8.69%
Revenue Next 3Y8.02%
Revenue Next 5Y8.4%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
RMD Yearly Revenue VS EstimatesRMD Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2B 4B 6B
RMD Yearly EPS VS EstimatesRMD Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 5 10 15

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6

4. RMD Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 21.60, the valuation of RMD can be described as rather expensive.
  • Based on the Price/Earnings ratio, RMD is valued a bit cheaper than the industry average as 79.14% of the companies are valued more expensively.
  • RMD's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.79.
  • The Price/Forward Earnings ratio is 18.08, which indicates a rather expensive current valuation of RMD.
  • Based on the Price/Forward Earnings ratio, RMD is valued cheaply inside the industry as 83.42% of the companies are valued more expensively.
  • The average S&P500 Price/Forward Earnings ratio is at 38.88. RMD is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 21.6
Fwd PE 18.08
RMD Price Earnings VS Forward Price EarningsRMD Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, RMD is valued a bit cheaper than 77.01% of the companies in the same industry.
  • 91.98% of the companies in the same industry are more expensive than RMD, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 18.21
EV/EBITDA 15.38
RMD Per share dataRMD EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • RMD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The excellent profitability rating of RMD may justify a higher PE ratio.
PEG (NY)1.32
PEG (5Y)1.45
EPS Next 2Y13.39%
EPS Next 3Y11.65%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

7

5. RMD Dividend Analysis

5.1 Amount

  • RMD has a Yearly Dividend Yield of 1.07%.
  • RMD's Dividend Yield is rather good when compared to the industry average which is at 0.25. RMD pays more dividend than 93.58% of the companies in the same industry.
  • With a Dividend Yield of 1.07, RMD pays less dividend than the S&P500 average, which is at 1.81.
Industry RankSector Rank
Dividend Yield 1.07%

5.2 History

  • The dividend of RMD is nicely growing with an annual growth rate of 6.33%!
  • RMD has paid a dividend for at least 10 years, which is a reliable track record.
  • RMD has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.33%
Div Incr Years13
Div Non Decr Years13
RMD Yearly Dividends per shareRMD Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5 2

5.3 Sustainability

  • RMD pays out 22.25% of its income as dividend. This is a sustainable payout ratio.
  • RMD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP22.25%
EPS Next 2Y13.39%
EPS Next 3Y11.65%
RMD Yearly Income VS Free CF VS DividendRMD Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B
RMD Dividend Payout.RMD Dividend Payout, showing the Payout Ratio.RMD Dividend Payout.PayoutRetained Earnings

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RMD Fundamentals: All Metrics, Ratios and Statistics

RESMED INC

NYSE:RMD (4/22/2026, 8:04:00 PM)

After market: 224.67 +2.63 (+1.18%)

222.04

+0.82 (+0.37%)

Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)01-29
Earnings (Next)04-30
Inst Owners68.64%
Inst Owner Change0%
Ins Owners0.49%
Ins Owner Change-0.41%
Market Cap32.35B
Revenue(TTM)5.40B
Net Income(TTM)1.49B
Analysts73.6
Price Target302.49 (36.23%)
Short Float %8.2%
Short Ratio10.62
Dividend
Industry RankSector Rank
Dividend Yield 1.07%
Yearly Dividend2.12
Dividend Growth(5Y)6.33%
DP22.25%
Div Incr Years13
Div Non Decr Years13
Ex-Date02-12
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.49%
Min EPS beat(2)-1.16%
Max EPS beat(2)2.15%
EPS beat(4)2
Avg EPS beat(4)0.54%
Min EPS beat(4)-1.16%
Max EPS beat(4)2.15%
EPS beat(8)5
Avg EPS beat(8)2.85%
EPS beat(12)8
Avg EPS beat(12)2.12%
EPS beat(16)10
Avg EPS beat(16)1.2%
Revenue beat(2)1
Avg Revenue beat(2)0.14%
Min Revenue beat(2)-0.62%
Max Revenue beat(2)0.91%
Revenue beat(4)2
Avg Revenue beat(4)0.12%
Min Revenue beat(4)-0.62%
Max Revenue beat(4)0.91%
Revenue beat(8)5
Avg Revenue beat(8)0.55%
Revenue beat(12)7
Avg Revenue beat(12)0.61%
Revenue beat(16)8
Avg Revenue beat(16)0.24%
PT rev (1m)-0.31%
PT rev (3m)1.36%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)1.05%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)1.17%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)0.7%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)0.69%
Valuation
Industry RankSector Rank
PE 21.6
Fwd PE 18.08
P/S 5.99
P/FCF 18.21
P/OCF 16.9
P/B 5.12
P/tB 11.36
EV/EBITDA 15.38
EPS(TTM)10.28
EY4.63%
EPS(NY)12.28
Fwd EY5.53%
FCF(TTM)12.2
FCFY5.49%
OCF(TTM)13.14
OCFY5.92%
SpS37.05
BVpS43.39
TBVpS19.54
PEG (NY)1.32
PEG (5Y)1.45
Graham Number100.179 (-54.88%)
Profitability
Industry RankSector Rank
ROA 17.47%
ROE 23.51%
ROCE 25.38%
ROIC 20.84%
ROICexc 25.9%
ROICexgc 63.96%
OM 34.11%
PM (TTM) 27.53%
GM 60.85%
FCFM 32.91%
ROA(3y)15.1%
ROA(5y)14.12%
ROE(3y)22.06%
ROE(5y)21.17%
ROIC(3y)18.06%
ROIC(5y)18.51%
ROICexc(3y)19.85%
ROICexc(5y)20.16%
ROICexgc(3y)47.68%
ROICexgc(5y)50.03%
ROCE(3y)22%
ROCE(5y)22.55%
ROICexgc growth 3Y8.61%
ROICexgc growth 5Y0.25%
ROICexc growth 3Y5.42%
ROICexc growth 5Y4.3%
OM growth 3Y5.43%
OM growth 5Y3.67%
PM growth 3Y7.71%
PM growth 5Y5.3%
GM growth 3Y1.6%
GM growth 5Y0.42%
F-Score6
Asset Turnover0.63
Health
Industry RankSector Rank
Debt/Equity 0.06
Debt/FCF 0.37
Debt/EBITDA 0.2
Cap/Depr 67.31%
Cap/Sales 2.55%
Interest Coverage 53.22
Cash Conversion 93.57%
Profit Quality 119.57%
Current Ratio 3.06
Quick Ratio 2.32
Altman-Z 11.67
F-Score6
WACC8.82%
ROIC/WACC2.36
Cap/Depr(3y)65.59%
Cap/Depr(5y)70.36%
Cap/Sales(3y)2.53%
Cap/Sales(5y)3.12%
Profit Quality(3y)102.06%
Profit Quality(5y)92.37%
High Growth Momentum
Growth
EPS 1Y (TTM)16.29%
EPS 3Y18.15%
EPS 5Y14.94%
EPS Q2Q%15.64%
EPS Next Y16.35%
EPS Next 2Y13.39%
EPS Next 3Y11.65%
EPS Next 5Y10.77%
Revenue 1Y (TTM)9.57%
Revenue growth 3Y12.88%
Revenue growth 5Y11.72%
Sales Q2Q%10.98%
Revenue Next Year9.99%
Revenue Next 2Y8.69%
Revenue Next 3Y8.02%
Revenue Next 5Y8.4%
EBIT growth 1Y18%
EBIT growth 3Y19.01%
EBIT growth 5Y15.82%
EBIT Next Year26.85%
EBIT Next 3Y14.35%
EBIT Next 5Y11.01%
FCF growth 1Y88.25%
FCF growth 3Y103.78%
FCF growth 5Y18.84%
OCF growth 1Y77.41%
OCF growth 3Y70.86%
OCF growth 5Y16.9%

RESMED INC / RMD Fundamental Analysis FAQ

What is the ChartMill fundamental rating of RESMED INC (RMD) stock?

ChartMill assigns a fundamental rating of 8 / 10 to RMD.


What is the valuation status of RESMED INC (RMD) stock?

ChartMill assigns a valuation rating of 6 / 10 to RESMED INC (RMD). This can be considered as Fairly Valued.


How profitable is RESMED INC (RMD) stock?

RESMED INC (RMD) has a profitability rating of 9 / 10.


What is the expected EPS growth for RESMED INC (RMD) stock?

The Earnings per Share (EPS) of RESMED INC (RMD) is expected to grow by 16.35% in the next year.


Is the dividend of RESMED INC sustainable?

The dividend rating of RESMED INC (RMD) is 7 / 10 and the dividend payout ratio is 22.25%.