
ResMed (RMD) Stock Forecast & Price Target
ResMed (RMD) Analyst Ratings
Bulls say
ResMed is a leader in the respiratory care device market, and its increasing focus on digital health positions it well for future growth. Strong margin performance and a potential uptick in demand for its CPAP technology due to disruptions in the GLP-1 market are promising factors for the company's success. The recent acquisition of VirtuOx and management's plans for share repurchases also demonstrate its commitment to driving shareholder value. Overall, the company's strategic initiatives and positive earnings report justify a positive outlook on its stock. Financial metrics also support this, with a strong gross margin of 62.3% and an increase in its gross margin guidance for FY26. However, potential risks to achieving the target price include competition and market dynamics, as well as potential setbacks with the utilization of its CPAP technology. Given these factors, it may be prudent to remain on the sidelines for now and monitor the company's performance closely.
Bears say
ResMed is facing challenges in its growth in both its core market and its digital health initiatives. Despite strong revenue growth in certain segments, slower growth in key areas and a reliance on acquisitions for revenue growth suggest potential inefficiencies in the company's operations. An increase in competition, particularly from GLP-1 drugs and expanded OSA indications, is also expected to negatively impact PAP volumes in the medium-term. This, coupled with the company's current valuation and potential negative impacts from its shift towards digital health, lead us to maintain a Hold rating on the stock.
This aggregate rating is based on analysts' research of ResMed and is not a guaranteed prediction by Public.com or investment advice.
ResMed (RMD) Analyst Forecast & Price Prediction
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