ResMed Inc. (RMD): Today's Featured Health Services Laggard

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ResMed ( RMD) pushed the Health Services industry lower today making it today's featured Health Services laggard. The industry as a whole closed the day up 0.4%. By the end of trading, ResMed fell $0.83 (-1.9%) to $43.82 on heavy volume. Throughout the day, 2,087,544 shares of ResMed exchanged hands as compared to its average daily volume of 1,234,600 shares. The stock ranged in price between $43.62-$44.76 after having opened the day at $44.64 as compared to the previous trading day's close of $44.65. Other companies within the Health Services industry that declined today were: Stereotaxis ( STXS), down 11.4%, Digirad Corporation ( DRAD), down 7.8%, InfuSystems Holdings ( INFU), down 7.2% and NeuroMetrix ( NURO), down 6.1%.

ResMed Inc., through its subsidiaries, engages in the development, manufacture, and distribution of medical equipment for treating, diagnosing, and managing sleep-disordered breathing and other respiratory disorders. ResMed has a market cap of $6.6 billion and is part of the health care sector. Shares are down 5.2% year to date as of the close of trading on Tuesday. Currently there are 5 analysts that rate ResMed a buy, no analysts rate it a sell, and 6 rate it a hold.

TheStreet Ratings rates ResMed as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, reasonable valuation levels and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

On the positive front, Baxano Surgical ( BAXS), up 14.6%, IsoRay ( ISR), up 11.8%, Foundation Medicine ( FMI), up 11.2% and BG Medicine ( BGMD), up 7.8% , were all gainers within the health services industry with HCA Holdings ( HCA) being today's featured health services industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the health services industry could consider Health Care Select Sector SPDR ( XLV) while those bearish on the health services industry could consider ProShares Ultra Short Health Care ( RXD).

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