- RMD has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $41.2 million.
- RMD has traded 2.5 million shares today.
- RMD is trading at 41.59 times the normal volume for the stock at this time of day.
- RMD is trading at a new low 14.03% below yesterday's close.
'Weak on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as material stock news, analyst downgrades, insider selling, selling from 'superinvestors,' or that hedge funds and traders are piling out of a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize (or avoid losses by trimming weak positions). In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success. EXCLUSIVE OFFER: Get the inside scoop on opportunities in RMD with the Ticky from Trade-Ideas. See the FREE profile for RMD NOW at Trade-Ideas More details on RMD: ResMed Inc. develops, manufactures, distributes, and markets medical equipment for the diagnosis, treatment, and management of respiratory disorders, with a focus on sleep-disordered breathing. The stock currently has a dividend yield of 1.7%. RMD has a PE ratio of 27. Currently there are 6 analysts that rate ResMed a buy, 1 analyst rates it a sell, and 3 rate it a hold. The average volume for ResMed has been 840,200 shares per day over the past 30 days. ResMed has a market cap of $9.2 billion and is part of the health care sector and health services industry. The stock has a beta of 0.62 and a short float of 10.9% with 19.53 days to cover. Shares are up 17% year-to-date as of the close of trading on Tuesday. EXCLUSIVE OFFER: See inside Jim Cramer's multi-million dollar charitable trust portfolio to see the stocks he thinks could be potential winners. Click here to see his holdings for 14-days FREE. TheStreetRatings.com Analysis: TheStreet Quant 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, solid stock price performance and growth in earnings per share. We feel its strengths outweigh the fact that the company shows weak operating cash flow. Highlights from the ratings report include:
- RMD's revenue growth has slightly outpaced the industry average of 1.1%. Since the same quarter one year prior, revenues slightly increased by 6.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- RMD's debt-to-equity ratio is very low at 0.30 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 4.73, which clearly demonstrates the ability to cover short-term cash needs.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. Compared to other companies in the Health Care Equipment & Supplies industry and the overall market, RESMED INC's return on equity exceeds that of both the industry average and the S&P 500.
- Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 30.41% over the past year, a rise that has exceeded that of the S&P 500 Index. Regarding the stock's future course, although almost any stock can fall in a broad market decline, RMD should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- RESMED INC's earnings per share improvement from the most recent quarter was slightly positive. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, RESMED INC increased its bottom line by earning $2.40 versus $2.10 in the prior year. This year, the market expects an improvement in earnings ($2.54 versus $2.40).
- You can view the full ResMed Ratings Report.
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