ResMed Surpasses Earnings and Revenue Estimates with Growth Outlook
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 30 2026
0mins
Should l Buy RMD?
Source: Newsfilter
- Earnings Beat: ResMed reported an 11% year-over-year sales increase, surpassing analyst expectations, indicating strong performance and sustained demand in the medical device market.
- Margin Expansion: The growth in sales has led to improved profit margins, which not only enhances the company's financial health but also provides additional funding for future investments and R&D initiatives.
- Analyst Support: Despite competitive pressures, analysts remain optimistic about ResMed's long-term growth prospects, raising price targets, which reflects market confidence in its business model.
- Competitive Landscape: In the context of increasing competition, ResMed's ongoing growth and profitability will be crucial for maintaining its leading position in the industry, particularly through investments in innovation and product development.
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Analyst Views on RMD
Wall Street analysts forecast RMD stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for RMD is 294.00 USD with a low forecast of 260.00 USD and a high forecast of 345.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
11 Analyst Rating
6 Buy
5 Hold
0 Sell
Moderate Buy
Current: 267.050
Low
260.00
Averages
294.00
High
345.00
Current: 267.050
Low
260.00
Averages
294.00
High
345.00
About RMD
ResMed Inc. is a holding company. The Company, through its subsidiaries, in the development, manufacturing, distribution and marketing of medical devices and cloud-based software applications that diagnose, treat and manage respiratory disorders, including sleep disordered breathing (SDB), chronic obstructive pulmonary disease, neuromuscular disease and other chronic diseases. Its segments include Sleep and Breathing Health segment and the Residential Care Software segment. It also operates a Software as a Service (SaaS) business in the United States and Germany that includes out-of-hospital software platforms designed to support the professionals and caregivers who help people stay healthy in the home or care setting of their choice. Its products and solutions are designed to improve patients' quality of life and reduce the impact of chronic disease. Its cloud-based digital health software applications, along with its devices, are designed to provide connected care.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
ResMed Q2 Earnings Beat Expectations with Strong Sales Growth
- Earnings Beat: ResMed reported adjusted earnings of $2.81 for Q2 FY2026, exceeding the consensus estimate of $2.72, indicating a robust performance in profitability.
- Significant Sales Growth: Quarterly sales rose 11% year-over-year to $1.42 billion, surpassing the consensus of $1.396 billion, reflecting strong demand for sleep devices and accessories.
- Smart Comfort Device Approval: The FDA cleared ResMed's Personalized Therapy Comfort Settings (PTCS) for marketing as Smart Comfort, set to launch in early 2026, showcasing the company's innovation in obstructive sleep apnea treatment.
- Margin Improvement: Gross margin increased by 320 basis points to 61.8%, driven by manufacturing and logistics efficiencies, highlighting successful cost management strategies.
See More
ResMed Surpasses Earnings and Revenue Estimates with Growth Outlook
- Earnings Beat: ResMed reported an 11% year-over-year sales increase, surpassing analyst expectations, indicating strong performance and sustained demand in the medical device market.
- Margin Expansion: The growth in sales has led to improved profit margins, which not only enhances the company's financial health but also provides additional funding for future investments and R&D initiatives.
- Analyst Support: Despite competitive pressures, analysts remain optimistic about ResMed's long-term growth prospects, raising price targets, which reflects market confidence in its business model.
- Competitive Landscape: In the context of increasing competition, ResMed's ongoing growth and profitability will be crucial for maintaining its leading position in the industry, particularly through investments in innovation and product development.
See More
ResMed Declares Quarterly Dividend of $0.60 per Share
- Quarterly Dividend Announcement: ResMed has declared a quarterly dividend of $0.60 per share, consistent with previous distributions, indicating the company's stable cash flow and profitability, which is likely to attract more investor interest.
- Dividend Yield: The forward yield of 0.93% reflects the company's appeal in the current market environment, potentially boosting shareholder confidence and encouraging long-term stock holding.
- Payment Schedule: The dividend is set to be paid on March 19, with a record date of February 12 and an ex-dividend date also on February 12, providing investors with a clear timeline to inform their investment decisions.
- Financial Outlook: In the upcoming Q2 2026 earnings report, ResMed is targeting a gross margin of 62%-63%, alongside double-digit growth in key segments, showcasing the company's strong performance in the market and future growth potential.
See More
ResMed Reports Strong Q2 2026 Earnings with 11% Revenue Growth
- Significant Revenue Growth: ResMed reported total revenue of $1.42 billion for Q2, reflecting an 11% year-over-year increase and 9% growth in constant currency, showcasing strong performance across its device and mask portfolio, thereby reinforcing its leadership in the medical device market.
- Margin Improvement: The company's gross margin reached 32.3% in the December quarter, up 110 basis points year-over-year, with operating profit increasing by 19%, which not only reflects successful cost control but also lays a solid foundation for future profitability.
- Innovative Product Launch: ResMed introduced the F30i Comfort and F30i Clear mask ranges, described as the first compact full-face fabric masks, expected to attract more customers and enhance market share, further driving the company's technological leadership in respiratory therapy.
- Increased Shareholder Returns: In Q2, ResMed returned $263 million to shareholders, including a quarterly dividend of $0.60 per share and $175 million in share repurchases, demonstrating the company's commitment to creating value for shareholders while sustaining growth.
See More
ResMed Q2 Earnings Exceed Expectations
- Earnings Beat: ResMed reported a Q2 non-GAAP EPS of $2.81, exceeding expectations by $0.09, indicating a robust profitability trend that may boost investor confidence.
- Stable Revenue Growth: The company achieved $1.4 billion in revenue for Q2, reflecting a 9.4% year-over-year increase, aligning with market expectations and demonstrating resilience in the medical device sector.
- Margin Improvement: Gross margin increased by 320 basis points to 61.8%, with non-GAAP gross margin rising by 310 basis points to 62.3%, showcasing successful cost control and product mix optimization, thereby enhancing profitability.
- Operational Income Growth: Income from operations rose by 18%, with non-GAAP operational income up 19%, indicating positive progress in operational efficiency and profitability, potentially supporting future investments.
See More
ResMed Q2 Earnings Announcement Scheduled
- Earnings Release Date: ResMed (RMD) is set to announce its Q2 earnings on January 29th after market close, with a consensus EPS estimate of $2.72, reflecting an 11.9% year-over-year increase, which could further solidify its market position in the medical device sector.
- Revenue Expectations: The consensus revenue estimate stands at $1.4 billion, representing a 9.4% year-over-year growth, and achieving this would demonstrate the company's sustained growth potential in the medical device market, especially amid increasing economic uncertainty.
- Historical Performance: Over the past two years, ResMed has beaten EPS estimates 100% of the time and revenue estimates 75% of the time, which enhances investor confidence and may attract more institutional interest in the stock.
- Estimate Revision Dynamics: In the last three months, EPS estimates have seen 9 upward revisions and 3 downward revisions, while revenue estimates have experienced 6 upward and 10 downward revisions, indicating market divergence regarding ResMed's future performance, which could impact short-term stock price volatility.
See More
ResMed Q2 Earnings Beat Expectations with Strong Sales Growth
- Earnings Beat: ResMed reported adjusted earnings of $2.81 for Q2 FY2026, exceeding the consensus estimate of $2.72, indicating a robust performance in profitability.
- Significant Sales Growth: Quarterly sales rose 11% year-over-year to $1.42 billion, surpassing the consensus of $1.396 billion, reflecting strong demand for sleep devices and accessories.
- Smart Comfort Device Approval: The FDA cleared ResMed's Personalized Therapy Comfort Settings (PTCS) for marketing as Smart Comfort, set to launch in early 2026, showcasing the company's innovation in obstructive sleep apnea treatment.
- Margin Improvement: Gross margin increased by 320 basis points to 61.8%, driven by manufacturing and logistics efficiencies, highlighting successful cost management strategies.
See More
ResMed Surpasses Earnings and Revenue Estimates with Growth Outlook
- Earnings Beat: ResMed reported an 11% year-over-year sales increase, surpassing analyst expectations, indicating strong performance and sustained demand in the medical device market.
- Margin Expansion: The growth in sales has led to improved profit margins, which not only enhances the company's financial health but also provides additional funding for future investments and R&D initiatives.
- Analyst Support: Despite competitive pressures, analysts remain optimistic about ResMed's long-term growth prospects, raising price targets, which reflects market confidence in its business model.
- Competitive Landscape: In the context of increasing competition, ResMed's ongoing growth and profitability will be crucial for maintaining its leading position in the industry, particularly through investments in innovation and product development.
See More
ResMed Declares Quarterly Dividend of $0.60 per Share
- Quarterly Dividend Announcement: ResMed has declared a quarterly dividend of $0.60 per share, consistent with previous distributions, indicating the company's stable cash flow and profitability, which is likely to attract more investor interest.
- Dividend Yield: The forward yield of 0.93% reflects the company's appeal in the current market environment, potentially boosting shareholder confidence and encouraging long-term stock holding.
- Payment Schedule: The dividend is set to be paid on March 19, with a record date of February 12 and an ex-dividend date also on February 12, providing investors with a clear timeline to inform their investment decisions.
- Financial Outlook: In the upcoming Q2 2026 earnings report, ResMed is targeting a gross margin of 62%-63%, alongside double-digit growth in key segments, showcasing the company's strong performance in the market and future growth potential.
See More
ResMed Reports Strong Q2 2026 Earnings with 11% Revenue Growth
- Significant Revenue Growth: ResMed reported total revenue of $1.42 billion for Q2, reflecting an 11% year-over-year increase and 9% growth in constant currency, showcasing strong performance across its device and mask portfolio, thereby reinforcing its leadership in the medical device market.
- Margin Improvement: The company's gross margin reached 32.3% in the December quarter, up 110 basis points year-over-year, with operating profit increasing by 19%, which not only reflects successful cost control but also lays a solid foundation for future profitability.
- Innovative Product Launch: ResMed introduced the F30i Comfort and F30i Clear mask ranges, described as the first compact full-face fabric masks, expected to attract more customers and enhance market share, further driving the company's technological leadership in respiratory therapy.
- Increased Shareholder Returns: In Q2, ResMed returned $263 million to shareholders, including a quarterly dividend of $0.60 per share and $175 million in share repurchases, demonstrating the company's commitment to creating value for shareholders while sustaining growth.
See More
ResMed Q2 Earnings Exceed Expectations
- Earnings Beat: ResMed reported a Q2 non-GAAP EPS of $2.81, exceeding expectations by $0.09, indicating a robust profitability trend that may boost investor confidence.
- Stable Revenue Growth: The company achieved $1.4 billion in revenue for Q2, reflecting a 9.4% year-over-year increase, aligning with market expectations and demonstrating resilience in the medical device sector.
- Margin Improvement: Gross margin increased by 320 basis points to 61.8%, with non-GAAP gross margin rising by 310 basis points to 62.3%, showcasing successful cost control and product mix optimization, thereby enhancing profitability.
- Operational Income Growth: Income from operations rose by 18%, with non-GAAP operational income up 19%, indicating positive progress in operational efficiency and profitability, potentially supporting future investments.
See More
ResMed Q2 Earnings Announcement Scheduled
- Earnings Release Date: ResMed (RMD) is set to announce its Q2 earnings on January 29th after market close, with a consensus EPS estimate of $2.72, reflecting an 11.9% year-over-year increase, which could further solidify its market position in the medical device sector.
- Revenue Expectations: The consensus revenue estimate stands at $1.4 billion, representing a 9.4% year-over-year growth, and achieving this would demonstrate the company's sustained growth potential in the medical device market, especially amid increasing economic uncertainty.
- Historical Performance: Over the past two years, ResMed has beaten EPS estimates 100% of the time and revenue estimates 75% of the time, which enhances investor confidence and may attract more institutional interest in the stock.
- Estimate Revision Dynamics: In the last three months, EPS estimates have seen 9 upward revisions and 3 downward revisions, while revenue estimates have experienced 6 upward and 10 downward revisions, indicating market divergence regarding ResMed's future performance, which could impact short-term stock price volatility.
See More
