ResMed Shares Dip 0.36 as $380M Trading Volume Surges 61.7% Amid CEO Sales and Analyst Upgrades Highlighting Top 500 Rank

Generated by AI AgentAinvest Market Brief
Tuesday, Aug 12, 2025 7:55 pm ET1min read
RMD--
Aime RobotAime Summary

- ResMed shares fell 0.36% to $283.29 on August 12 amid a 61.7% surge in $380M trading volume and CEO Michael Farrell's $2.24M share sale.

- Q4 FY2025 results showed 10.2% revenue growth to $1.35B and $2.55 EPS, exceeding estimates by $0.08 despite insider sales.

- Analysts raised price targets (UBS to $325) and William Blair assigned "strong-buy" as the firm increased quarterly dividends to $0.60/share.

- Institutional ownership at 54.98% remains strong with 7.4% monthly decline in short interest, while a top-500 volume-based strategy showed $2,300 gains (2022-present) with -15.7% max drawdown.

ResMed Inc. (RMD) closed August 12 with a 0.36% decline to $283.29, despite a 61.7% surge in trading volume to $380 million. The stock’s recent performance coincided with insider activity as CEO Michael J. Farrell sold 8,009 shares worth $2.24 million, reducing his ownership by 1.73%. This follows the company’s Q4 fiscal 2025 earnings report, which showed a 10.2% year-over-year revenue increase to $1.35 billion and an EPS of $2.55, exceeding analyst estimates by $0.08.

Analysts remain cautiously optimistic, with UBS GroupUBS-- raising its price target to $325 and William Blair assigning a “strong-buy” rating. The firm also announced a quarterly dividend hike to $0.60 per share, a 13% annualized yield. Institutional ownership remains strong, with 54.98% of shares held by institutions, though short interest has declined by 7.4% month-over-month, signaling improving sentiment.

The strategy of buying the top 500 stocks by daily trading volume and holding for one day yielded a $2,300 profit from 2022 to the present, with a maximum drawdown of -15.7% recorded in early 2023. This highlights the strategy’s moderate risk-reward profile during the period.

Market Watch column provides a thorough analysis of stock market fluctuations and expert ratings.

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