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3 clusters · 10 sources · 9 days · First seen · Last updated

ResMed earnings and stock outlook

Overview

In early August, ResMed’s shares had fallen about 30% from a year earlier, trading at the lowest forward‑earnings multiple in more than a decade. The decline was linked to concerns over emerging GLP‑1 weight‑loss drugs, new U.S. healthcare tariffs and upcoming competition from Philips, yet the company posted solid FY26 third‑quarter results – revenue up 11%, higher gross margins and a 21% rise in non‑GAAP EPS – and announced a dividend and a share‑repurchase program, prompting a buy rating from analysts. A week later, ResMed reported record fourth‑quarter revenue of US$1.5 billion and a 10% increase in its quarterly dividend, but its FY2027 revenue guidance fell short of analyst expectations. The weaker outlook triggered a roughly 6% drop in the stock price. The company also disclosed a suspension of Astral ventilator sales after an FDA‑linked recall that caused serious injuries, estimating a US$75 million impact, and said it would raise product prices in FY2027 to offset higher component and freight costs. On 6 August, the share decline repeated, with the stock slipping about 6% after ResMed projected FY2027 revenue of $5.75‑$5.85 billion, below the $5.92 billion consensus. The guidance reflected the ongoing suspension of Astral ventilator sales and the $75 million recall impact. The firm announced price increases for 2027 to counter rising component and freight costs and noted competitive pressure from Eli Lilly’s Zepbound weight‑loss drug and Apple Watch sleep‑apnea detection. Despite the softer outlook, Q4 adjusted earnings were $2.95 per share, beating estimates, and revenue rose 9% YoY to $1.46 billion. Analyst houses cut price targets, lowering the average target to $232, and the stock closed at $209.51. By 10 August, ResMed reported record quarterly revenue of US$1.461 billion and a 14% rise in net profit to US$429 million.

Entities

Mick Farrell · Philips · Jarden · Aaron Bloomer · Eli Lilly

Claims

What the coverage asserts, and how well corroborated each claim is across sources.

Timeline

  1. 4 days ago

    [BUSINESS] 2 sources
    ResMed reports record revenue amid ventilator recall and cautious guidance

    ResMed reported record quarterly revenue of US$1.461 billion, but shares faced pressure due to conservative sales guidance and a recall of 168,000 Astral ventilators.

  2. 7 days ago

    [BUSINESS] 7 sources
    ResMed shares drop 6% after weak 2027 revenue outlook and ventilator recall

    ResMed shares fell 6% as FY2027 revenue guidance missed expectations, Astral ventilator sales were suspended after a recall, and analysts cut price targets.

  3. 12 days ago

    [BUSINESS] 2 sources
    ResMed stock reaches cheapest multiple in a decade amid analyst optimism

    ResMed shares have dropped about 30% year‑on‑year, now trading at the lowest forward‑earnings multiple in over a decade, with analysts citing solid FY26 results and a $41.72 price target despite sector concerns

Sources

fool.com.au · hsx.com · kfgo.com · levisonenterprises.com · raskmedia.com.au · stockhead.com.au · stocknews.com · wkzo.com · wtvbam.com · wvfm1065.com

This summary has been updated 2 times: see revision history