In a report released today, Laura Sutcliffe from Citi maintained a Buy rating on Resmed, with a price target of $330.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 55% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Laura Sutcliffe’s rating is based on several key considerations. Firstly, she anticipates that Resmed’s gross margins will improve beyond current consensus estimates due to a product mix shift towards the AirSense 11 and management’s goals for annual margin enhancement through 2030. Additionally, while there is potential competition from Koninklijke Philips re-entering the US market, Sutcliffe believes that Resmed’s strong physician preference will sustain its sales growth.
Moreover, despite ongoing section 232 investigations in the US, Sutcliffe notes Resmed’s proactive efforts to enhance manufacturing, which could mitigate potential tariff impacts. She also acknowledges that while weight loss drugs might reduce the total addressable market in the long term, they currently drive more patients to seek care, benefiting Resmed. Finally, Sutcliffe expects any mergers or acquisitions to be minor and strategic, aligning with Resmed’s focus on expanding its patient base. Overall, these factors contribute to an expected share price return of 21.7%, supporting her Buy rating.
Sutcliffe covers the Healthcare sector, focusing on stocks such as CSL, Resmed, and Sonic Healthcare Limited. According to TipRanks, Sutcliffe has an average return of 4.2% and a 55.00% success rate on recommended stocks.
In another report released on September 26, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $306.00 price target.