Oppenheimer Starts ResMed (RMD) at Perform

Oppenheimer analyst Suraj Kalia initiates coverage on ResMed (NYSE: RMD) with a Perform rating.

The analyst comments "ResMed markets continuous positive airway pressure (CPAP) solutions for obstructive sleep apnea (OSA), a condition characterized by upper airway collapse in humans during sleep. OSA's acute effects include daytime sleepiness and fatigue, but if left untreated, OSA can lead to chronic effects like hypertension, arrhythmias, heart failure, etc. Approximately 80% of sleep apnea is either undiagnosed or untreated, leading to a vicious cause-effect cycle. ResMed currently is annualizing ~$2.6B in the $5B-plus sleep apnea space, which is growing at a CAGR of 5–6%. The biggest headwind in the space is the price erosion unleashed by competitive bidding, and ResMed, we contend, continues to do well to manage these omnipresent headwinds."

For an analyst ratings summary and ratings history on ResMed click here. For more ratings news on ResMed click here.

Shares of ResMed closed at $156.27 yesterday.

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