Why Is RESMED INC (RMD) Stock Down Today?

ResMed Inc (RMD) shares fell 6.58% to $208.56 in early trading on Friday after the company reported fourth-quarter revenue that missed expectations and issued conservative fiscal 2027 guidance. The stock opened with an 8.2% gap down from the previous close and traded in a wide range throughout the session. Analysts responded by adjusting their price targets downward, contributing to the sharp sell-off.

What Happened

ResMed reported adjusted earnings per share of $2.95 for the quarter, exceeding estimates, but revenue of $1.464 billion fell short of the $1.459 billion forecast. The company also provided a cautious revenue outlook for fiscal 2027, projecting $5.75 billion to $5.85 billion, and guided for non-GAAP earnings per share of $12 to $12.25. These figures, combined with ongoing headwinds from the Astral product line, prompted analysts to revise their price targets lower. Baird cut its price target to $213 from $217, while Wells Fargo reduced its target to $215 from $225. KeyBanc also lowered its target to $255 from $260. Meanwhile, RBC Capital raised its target to $244 from $234, the only firm to increase its outlook.

What The Data Shows

The stock opened at $205.00 and reached an intraday low of $197.99 before recovering slightly to close the session at $208.33. Volume stood at 0.5 million shares, which is 0.3 times the 3-month daily average. Over the past eight trading sessions, the stock had risen 7.7% from $208.96 to $225.13. Recent insider transactions show four sales totaling $4.9 million, with the most recent filing on August 6. Congressional trades include three sales and six buys by former President Donald J. Trump, with the latest trade disclosed on July 21.

What To Watch

Investors should monitor the company’s upcoming earnings call for further details on its strategic moves and margin outlook. Coverage from analysts remains active, with multiple firms adjusting their price targets in the last 36 hours.