ResMed (RMD) stock surged by nearly 9% after the California-based medical equipment company posted better-than-expected results for its second quarter.
Adjusted earnings per share were $1.88, ahead of the average analyst estimate of $1.79 and marked an increase from $1.66 year-over-year.
The company also reported strong revenue of $1.16 billion, reflecting a 12% year-over-year growth, and just ahead of the estimated $1.15 billion.
Device growth of +11% was +2% above consensus. Analysts at Jefferies said the results “were positive.”
The analysts lifted the price target by $6 to $164 per share, but remains Hold-rated.
“We are increasing our estimates to reflect higher Americas FG sales growth and higher GM and OM progression vs our prior update.,” the analysts said.