Is ResMed Inc. (RMD) Overvalued?
We dive into why ResMed Inc. (RMD) could be considered overvalued on 2026-07-17, based on AAII’s Value Score and Grade.Jenna Brashear
A+ Stock Grade Summary:
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COMPANY SUMMARY
ResMed Inc. develops, manufactures, distributes, and markets medical devices and cloud-based software applications to diagnose, treat, and manage respiratory disorders in the United States and internationally. The company operates in two segments, Sleep and Breathing Health, and Residential Care Software. It offers sleep recorders for the diagnosis and titration of sleep apnea in sleep clinics, hospitals, and at home, including ApneaLink Air, a portable diagnostic device that measures oximetry, respiratory effort, pulse, nasal flow, and snoring; NightOwl, a portable, cloud-connected, and disposable diagnostic device that measures AHI based on derived peripheral arterial tone, actigraphy, and oximetry; and EasyCare Tx, a sleep lab solution. The company also provides AirView, a cloud-based system that enables remote monitoring and changing of patients’ device settings; myAir, a personalized therapy management application for patients with sleep apnea that provides support, education, and troubleshooting tools for increased patient engagement and improved compliance; and connectivity module which provides a cellular connection between compatible ventilation devices and AirView system. In addition, the company offers Brightree solutions which are solutions and services for organizations in home medical equipment and pharmacy, orthotic and prosthetic, and home infusion; HEALTHCAREfirst solutions that offers electronic health record, software, billing and coding services, and advanced analytics that enables home health and hospice agencies to optimize clinical, financial and administrative processes; MatrixCare EHR software as a service solutions used by skilled nursing and senior living providers, life plan communities, and home health and hospice sectors; and MEDIFOX DAN software solutions that is used by residential care providers, such as home health and nursing home providers. ResMed Inc. was founded in 1989 and is headquartered in San Diego, California.
Commentary & Analysis
Why ResMed Inc.’s (RMD) Stock Is Down 5.03%
As of Wednesday, July 08, ResMed Inc.’s RMD share price has dipped by 5.03%, which has investors questioning if this is right time to buy.Cynthia McLaughlin
Why ResMed Inc.’s (RMD) Stock Is Down 5.95%
As of Friday, May 01, ResMed Inc.’s RMD share price has dipped by 5.95%, which has investors questioning if this is right time to buy.Cynthia McLaughlin
What You Need to Know About ResMed Inc.'s Q4 Earnings
ResMed Inc.'s fiscal Q4 earnings report was released on Thursday, April 30. Let's dive in to see if (RMD) missed or beat analyst's expectations.Tudor Pop
Which Is a Better Investment, ResMed Inc. or Solventum Corporation Stock?
Learn more about whether ResMed Inc. or Solventum Corporation is a better investment based on AAII's A+ Investor grades, which compare both companies' key financial metrics.Jenna Brashear
Financial Summary
| Share Statistics | RMD | Industry Median |
Percentile (All Stocks) |
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| Market Cap (Mil) | $30,431.7 | $337.2 | 90% |
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| Shares Out (Mil) | 145.7 | 41.9 | 71% |
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| Institutional Ownership | 99.3% | 77.8% | 87% |
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| Float (Mil) | 143.3 | 34.7 | 68% |
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| Beta | 0.78 | 0.85 | 46% |
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| Avg Daily Volume (000s) | 1,095 | 278 | 72% |
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| Price Change (52-week) |
(24.0%) | 58.7% | 28% |
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| Growth | RMD | Industry Median |
Percentile (All Stocks) |
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| Sales (5yr) | 11.7% | 11.8% | 64% |
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| Net Income (5yr) | 17.6% | (5.8%) | 69% |
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| EPS (5yr) | 17.4% | 11.4% | 63 |
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| Dividends (5yr) | 6.3% | 0.0% | 92% |
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| Cash Flow (5yr) | 24.8% | (16.3%) | 83% |
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| Estimates | Qtrly | Current Fiscal Year |
Next Fiscal Year |
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| # of Estimates | 9 | 12 | 6 | |
| Current EPS | $2.893 | $11.124 | $12.079 | |
| Month Ago EPS | $2.875 | $11.111 | $12.104 | |
| # Rev Up | 3 | 1 | 0 | |
| # Rev Down | 1 | 0 | 1 | |
| Three Months Ago EPS | $2.903 | $11.125 | $12.191 | |
| Year/Year Chg | 5.6% | 17.0% | 39.2% | |
| Financials | RMD | Industry Median |
Percentile (All Stocks) |
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| Sales (TTM) (Mil) | $5,538 | $152 | 76% |
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| Net Income (TTM) (Mil) | $1,520 | ($10) | 90% |
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| EPS (TTM) | $10.411 | ($0.500) | 95% |
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| Operating Cash Flow (TTM) (Mil) | $1,890 | ($2) | 87% |
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| Net Cash Flow (TTM) (Mil) | $728 | $1 | 93% |
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| Long-Term Debt (Q1) (Mil) | $554 | $22 | 60% |
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| Enterprise Value (Q1) (Mil) | $26,087 | $304 | 86% |
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| Valuation | RMD | Industry Median |
Percentile (All Stocks) |
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| P/B | 4.71 | 2.80 | 77% |
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| P/E | 20.3 | 31.1 | 51% |
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| Dividend Yield | 1.1% | 0.0% | 68% |
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| PEG (5yr hist) | 1.2 | 1.9 | 50% |
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| Ratios | RMD | Industry Median |
Percentile (All Stocks) |
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| Gross Margin | 62.2% | 59.1% | 75% |
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| Net Margin | 27.4% | (7.3%) | 86% |
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| ROA | 18.6% | (13.7%) | 96% |
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| ROE | 25.2% | (15.8%) | 85% |
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| Liabilities to Assets | 26.1% | 44.7% | 18% |
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| F-Score | 7 | 4 | 84% |
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Passing Stock Screens
As of 7/31/2026, from a list of 60 stock screening strategies,
GURU STRATEGY
Weiss Blue Chip Div Yield Screen
Factors: Yield, Value, Quality
A conservative, blue-chip investment style with a value approach that emphasizes selecting stocks with favorable dividend yields.
| Performance Since Inception: | 9.0% |
| +/- S&P 500: | +1.5 |
GURU STRATEGY
Templeton Screen
Factors: Value, Growth
Favorable margins, consistent earnings growth and price-earnings ratios below historical norms.
| Performance Since Inception: | 9.5% |
| +/- S&P 500: | +2.0 |
GURU STRATEGY
Buffett: Hagstrom Screen
Factors: Value, Quality, Growth
Hagstrom identifies 12 basic principles that a company should possess to be considered for purchase.
| Performance Since Inception: | 13.7% |
| +/- S&P 500: | +6.2 |
FACTOR STRATEGY
Dividend (High Relative Yield) Screen
Factors: Yield, Value, Growth
Using the dividend-yield approach to invest during volatile markets.
| Performance Since Inception: | 9.1% |
| +/- S&P 500: | +1.6 |
