Key Takeaways for ResMed Stock as of August 2026
- Guidance Miss: ResMed stock fell 6% on August 7 after fiscal 2027 revenue guidance of $5.75 billion to $5.85 billion trailed the $5.92 billion Street estimate, even with a Q4 beat.
- Astral Fallout: The suspension carries a $75 million revenue hit and $0.15 EPS drag in fiscal 2027.
- Ratings Split: ResMed stock now carries 6 buys, 1 outperform, 11 holds, 1 no opinion, and 1 sell, and the Street’s $246 mean target sits just 6% above the $232 close.
- Model Divergence: TIKR’s mid-case model targets $396 for ResMed stock, implying 70% total return and 12% annualized by mid-2031.
See the full estimate history and analyst ratings breakdown for RMD stock on TIKR for free →
Why ResMed Stock Sank 6% Despite a Clean Fourth-Quarter Beat
ResMed (RMD) stock fell 6% on August 7, a day after the company posted a clean fourth-quarter beat, revenue up 9% to $1.46 billion and adjusted earnings of $2.95 a share against a $2.89 estimate, because the fiscal 2027 outlook undercut the market’s math. Management guided revenue to $5.75 billion to $5.85 billion for the year, below the $5.92 billion analysts had modeled, and non-GAAP earnings per share to $12.00 to $12.25.
The gap traces to a single line item. ResMed suspended sales of its Astral ventilators after a field safety notice, and the guidance assumes zero Astral revenue for all of fiscal 2027, a $75 million top-line hit worth about 130 basis points of growth. CFO Aaron Bloomer put a number on the earnings impact directly on the Q4 earnings call: “The $75 million top line headwind, it is about a $0.15 earnings per share headwind, and that is embedded in that 12% to 14% core EPS growth. And so kind of excluding that, our core EPS growth is actually a tick higher.” Strip the recall out and ResMed stock is priced off a business still compounding low-double-digit earnings growth on mid-single-digit revenue growth, the same algorithm that produced 17% EPS growth in fiscal 2026.
That distinction matters because the market priced in the headline number, not the underlying one. Sleep device revenue grew 8% in the Americas and 13% across the rest of the world in the same quarter, both ahead of the mid-single-digit market growth rate management has guided to for years. The selloff treated a regulatory setback as a demand problem, and the quarter’s own volume numbers argue otherwise.
ResMed Stock’s Price Targets Have Fallen as Shares Recovered
ResMed stock carries 6 buys, 1 outperform, 11 holds, 1 no opinion, and 1 sell from the 16 analysts publishing price targets, and the Street’s mean target of $246 sits just 6% above the $232 close.
That gap has narrowed sharply. At the end of March, the mean target of $297 sat 32% above a $224 close, the widest spread in the table. By June 30 the gap had widened again to 34%, with ResMed stock down at $195 and the target still at $261.
Every reading since has cut the target while the stock climbed off that low, and the two have now converged to a 6% gap, the tightest since June 2025. Buy ratings have slipped from 8 a year ago to 6 today, and holds have grown from 7 to 11 over the same stretch. That reads like a Street trimming into confirmation of the same conservative guidance that hit ResMed stock on August 7, not fighting the recovery.
TIKR Values ResMed Stock at $396, Well Above Where the Street Sits
TIKR’s mid-case model targets $396 for ResMed stock by mid-2031, implying 70% total return from the current $232 price, or 12% annualized over 4.8 years.
A 12% annualized return over nearly five years is the kind of setup investors normally associate with a stock still working through a valuation reset, not a franchise leader trading near all-time highs in its category.
The model’s premium to the Street’s $246 target treats the Astral suspension as a bounded, one-time item rather than a structural growth problem, echoing the distinction Bloomer drew between headline and core EPS growth on the call. Sleep device volume grew 8% in the Americas and 13% internationally in the same quarter that produced the guidance cut, evidence the demand engine has not slowed even as the ventilator business has.
Should You Invest in ResMed Inc.?
The only way to really know is to look at the numbers yourself. TIKR gives you free access to the same institutional-quality financial data that professional analysts use to answer exactly that question.
Pull up ResMed Inc. stock and you’ll see years of historical financials, what Wall Street analysts expect for revenue and earnings in the quarters ahead, how valuation multiples have moved over time, and whether price targets are trending up or down.
You can build a free watchlist to track ResMed Inc. alongside every other stock on your radar. No credit card required. Just the data you need to decide for yourself.
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Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
