Health Care · Health Care Equipment · US stock · price as of 22 Oct 2026
Key indicators
Price
$253.06
52-week range
$180.27 – $277.67
Market cap
$37.0B
P/E (trailing)
24.3×
EV / EBITDA
17.3×
Free-cash-flow yield
4.5%
Dividend yield
1.0%
Revenue (last 12 months)
$5.7B
Revenue growth (3y a year)
10.2%
Operating margin
33.4%
Return on invested capital
25.2%
Net debt / EBITDA
-0.3×
Fair value
Fair value (average of valid models)$259.75 middle half of models $241 – $298
Versus priceFair+3% to fair value
P/E multiple
$261.20
P/B multiple
$273.34
P/S multiple
$264.03
EV/EBITDA multiple
$273.36
EV/EBIT multiple
$298.54
EV/revenue multiple
$261.68
10-year DCF, EBITDA exit
$300.48
5-year DCF, EBITDA exit
$299.33
10-year DCF, revenue exit
$299.73
5-year DCF, revenue exit
$297.04
10-year DCF, growth exit
$224.81
5-year DCF, growth exit
$210.16
Dividend discount, stable
$151.04
Dividend discount, multi-stage
$255.63
Earnings power value
$225.84
Model uncertainty
Medium
X-Ray Score
70/ 100 · High confidence · ahead of 93% of sector peers
Valuation62
Growth75
Profitability69
Financial health79
Dividends67
Five-year price chart navy: price · brown: 200-day average · blue band: fair value range
Executive summary
ResMed makes devices and software that treat sleep apnea and other respiratory conditions, including masks, flow generators and cloud-connected monitoring tools. It sells to home medical equipment suppliers, hospitals and healthcare systems worldwide. Revenue comes from the initial sale of devices and from recurring replacement of masks and accessories, which helps connect its results to patient numbers and reimbursement policies.
Revenue at Resmed Inc was $5.7 billion across the last twelve months. Across three years, sales expanded by 10.2% a year. Operating profit was 33.4% of revenue. It earned a return on invested capital of 25%. Net debt to EBITDA is -0.3 times, which means the company holds more cash than debt. Shareholders receive a dividend yielding 1.0%.
StocksXray gives Resmed Inc an X-Ray Score of 70 out of 100 (high confidence), ahead of 93% of the S&P 500 stocks in its sector. Its strongest lens is financial health (79) and its weakest is valuation (62).
Our fair value (the average of the valid models) is $259.75 (range $240.73 to $297.79). At $253.06 the stock trades 3% below that value, so the label is "Fair" with medium model uncertainty. Fair value is a range, not a price target.
XStocksXray
Resmed Inc (RMD)
Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months
FY2022
FY2023
FY2024
FY2025
FY2026
Now
Price
$201.43
$211.59
$187.34
$254.77
$194.32
$253.06
Market cap
$29.6B
$31.2B
$27.6B
$37.5B
$28.4B
$37.0B
P/E
38.0×
34.7×
27.1×
26.8×
18.6×
24.3×
EV / revenue
8.4×
7.7×
6.0×
7.2×
4.9×
6.4×
EV / EBITDA
26.0×
25.0×
18.8×
19.6×
13.2×
17.3×
Price / free cash flow
136.9×
54.4×
21.2×
22.6×
17.2×
22.4×
Free-cash-flow yield
0.7%
1.8%
4.7%
4.4%
5.8%
4.5%
Price / book
8.8×
7.6×
5.7×
6.3×
4.3×
5.6×
Dividend yield
0.83%
0.83%
1.02%
0.83%
1.24%
0.97%
Fundamentals checklist ● 12 Good · ● 4 Average · ● 0 Bad · each check graded against the sector
Cash quality
Earnings backed by cash−3.2%Average
Free-cash-flow yield4.5%Average
Risk models
Altman Z score9.1×Good
Piotroski F-Score7 of 9Average
Growth
EPS growth (3y)19.6%Good
Free-cash-flow growth (3y)42.2%Good
Revenue growth (3y)10.2%Good
Growth consistency100%Good
Balance sheet
Current ratio3.1×Good
Net debt / EBITDA-0.3×Good
Interest coverno interest costGood
Valuation
Fair value vs price1.0×Average
EBIT / EV yield5.2%Good
Profitability
Return on invested capital25.2%Good
Operating margin33.4%Good
Gross profitability38.5%Good
XStocksXray
Resmed Inc (RMD)
Financials US$ millions, from SEC filings; last column is the last twelve months
Income statement
FY22
FY23
FY24
FY25
FY26
LTM
Revenue
3,578
4,223
4,685
5,146
5,653
5,653
Gross profit
2,024
2,356
2,655
3,055
3,452
3,452
Operating income
1,000
1,132
1,320
1,685
1,887
1,887
Net income
779
898
1,021
1,401
1,523
1,523
Diluted EPS ($)
5.30
6.09
6.92
9.51
10.43
10.41
Free cash flow
216
574
1,302
1,662
1,650
1,650
Gross margin
56.6%
55.8%
56.7%
59.4%
61.1%
61.1%
Operating margin
28.0%
26.8%
28.2%
32.7%
33.4%
33.4%
Net margin
21.8%
21.3%
21.8%
27.2%
26.9%
26.9%
Balance sheet
FY22
FY23
FY24
FY25
FY26
LTM
Total assets
5,096
6,752
6,872
8,174
8,966
8,966
Cash
274
228
238
1,209
1,469
1,469
Total debt
775
1,441
707
668
659
659
Equity
3,361
4,130
4,864
5,968
6,585
6,585
Dividend per share ($)
1.68
1.76
1.92
2.12
2.40
2.40
Revenue and net income US$ billions: navy revenue, teal net income
Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value is the average of up to 15 valuation models, most of them anchored to the company's own multiples, so it stays near the price and should be read as a range, not a point. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.
