Fundamental analysis · SEC EDGAR · as of 30/06/2026

Fundamental analysis of Resmed Inc

RMD · NYSE · Healthcare

Fundamental quality

EXCELLENT

90

out of 100

Resmed Inc fits the profile of a quality compounder: it pairs high return on capital (ROE 23.1%) with wide margins (net margin 26.9%) and a business that keeps growing (12.1% a year). On fundamental quality it scores 90 out of 100, profiling it as a company with solid fundamentals. Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

ResMed dominates sleep-apnea devices: the CPAP machines and masks millions of people use every night to breathe properly while they sleep, plus software connecting patient and doctor. A recurring, quietly growing healthcare business.

What will shape its future

  • Underdiagnosed apnea: most sufferers don't know it yet — that is future market.
  • Replacement masks and consumables, its high-margin recurring stream.
  • Weight-loss drugs: the market debates whether they will shrink apnea or bring more patients into treatment.

Breakdown by area

I.Growth
82

EPS growth: 26.3% · Revenue growth: 12.1%

II.Profitability
91

Net margin: 26.9% · ROE: 23.1% · ROIC: 25.9%

III.Financial health
95

Net debt/EBITDA: -0.39x · FCF: 29.2%

Source: SEC EDGAR · as of 30/06/2026

The score includes +1 for dividend strength: 5 consecutive years of increases. Keeping that streak demands growing cash generation and balance-sheet discipline.

The score combines growth, profitability and financial strength, and here its pillars hold up evenly.

Versus its sector

Percentile against the other 57 Healthcare companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 91%
ROEbeats 75%
Growthbeats 77%
Cash generationbeats 94%
Less debtbeats 88%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Resmed Inc strengths

  • Excellent free-cash-flow generation (FCF margin of 29.2%): profit turns into real cash.
  • High gross margin (61.1%), pointing to pricing power.
  • Expanding margins: net margin has risen from 15% to 27% in recent years.
  • Exceptional net margin (26.9%), high even for its sector: the business is clearly profitable.

Resmed Inc risks and weaknesses

  • No clear weaknesses in the recent fundamentals, though the system doesn't assess qualitative factors (competition, regulation, management).

Resmed Inc historical evolution

YearRevenueNet incomeFree cash flowNet debt
20213,197475634360
20223,578779216502
20234,2238985741,213
20244,6851,0211,302469
20255,1461,4011,662-541
20265,6531,5231,650-810

Between 2021 and 2026, revenue went from $3,197M to $5,653M (+77%) and net income went from $475M to $1,523M (+221%). Meanwhile, its margins have widened (from 15% to 27%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

What changed with the June 30, 2026 results

Compared with the previous close (March 31, 2026), this is what moved in its accounts:

  • Quality score8790
  • Net margin27.4%26.9%
  • FCF margin31.7%29.2%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$2.4

per share, yearly

23% of earnings

Payout

5 straight years raising it

Growth

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

Advertising

Want to invest in Resmed Inc?

Open your account in minutes with regulated brokers and buy U.S. and European stocks from small amounts. No paperwork.

Interactive BrokersGlobal markets

The serious investor's standard

Open free account →
WebullCommission-free

Popular in the U.S.

Open free account →

Investing carries risk of loss.

Is Resmed Inc cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

Compute the valuation →

Frequently asked questions

Is Resmed Inc a good company to invest in?

In terms of business quality, Resmed Inc scores 90 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Resmed Inc a profitable company?

Very. Resmed Inc shows a net margin of 26.9% and an ROE of 23.1%, typical of a highly profitable business.

Does Resmed Inc have a lot of debt?

No. Resmed Inc has a net cash position: more cash than debt.

Is Resmed Inc growing?

Its revenue has grown 12.1% annualized in recent years and its earnings per share 26.3%, and without interruption since 2021.

Does Resmed Inc generate cash?

Yes. It converts about 29.2% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

Was this page helpful?