ResMed CEO Michael Farrell sells $1.95m in stock

Published 05/09/2025, 11:16 PM
ResMed CEO Michael Farrell sells $1.95m in stock

On May 7, 2025, Michael J. Farrell, the Chief Executive Officer of ResMed Inc . (NYSE:RMD), a healthcare company with a market capitalization of $35.79 billion and strong financial health according to InvestingPro metrics, executed several transactions involving the company’s common stock, according to a recent SEC filing.

Farrell sold a total of 8,009 shares at a weighted average price of $243.23, amounting to approximately $1.95 million. These sales were part of a pre-arranged trading plan under Rule 10b5-1, adopted on October 31, 2024. The transaction occurred as ResMed trades at a P/E ratio of 27.35, with InvestingPro analysis suggesting the stock is currently undervalued.

In addition to the stock sales, Farrell exercised stock options to acquire 8,009 shares at a price of $101.64 per share, totaling approximately $814,034. After these transactions, Farrell holds 455,503 shares directly and 2,090 shares indirectly through the Lisette and Michael Farrell Family Trust. The company has maintained consistent dividend payments for 14 consecutive years, with a 10.42% dividend growth in the last twelve months. Discover more insights about ResMed’s performance and potential in the comprehensive Pro Research Report, available exclusively on InvestingPro.

In other recent news, ResMed’s third-quarter fiscal year 2025 results have drawn attention from several analyst firms, each adjusting their price targets and maintaining varied ratings on the stock. ResMed reported a revenue of $1.29 billion, marking a 9% year-over-year increase, and an earnings per share (EPS) of $2.37, slightly below the consensus estimate of $2.39. Stifel analysts maintained a Hold rating with a $240 price target, noting concerns over GLP-1 challenges, while RBC Capital raised its price target to $255, citing robust growth and tariff exemptions as positive factors. Piper Sandler, however, cut its price target to $248, maintaining a Neutral rating due to mixed quarterly results despite improved gross margins.

KeyBanc Capital Markets expressed optimism by raising its price target to $274 and maintaining an Overweight rating, highlighting strong performance in the Masks & Accessories segment and favorable tariff impacts. Mizuho (NYSE:MFG) Securities also adjusted its price target to $250, maintaining an Outperform rating, emphasizing ResMed’s strategic positioning against tariff impacts and the successful CPAP re-supply revenue. ResMed’s management provided positive updates on tariffs, confirming exemptions under the Nairobi Protocol, which are expected to minimize financial repercussions. These recent developments indicate a mixed but generally positive outlook for ResMed, with analysts focusing on the company’s ability to navigate economic challenges and maintain growth momentum.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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