KeyBanc reiterates ResMed stock rating, cites limited CPAP innovation

Published 17/06/2025, 12:54
KeyBanc reiterates ResMed stock rating, cites limited CPAP innovation

KeyBanc Capital Markets maintained its Overweight rating and $274.00 price target on ResMed (NYSE:RMD) stock following industry observations. The target aligns with broader analyst expectations, with targets ranging from $200 to $295. According to InvestingPro data, ResMed currently trades near its 52-week high of $263.05, having delivered a 20.72% return over the past year.

The firm noted that key takeaways for legacy CPAP companies were limited at a recent industry event, with the most significant innovation coming from competitor React Health rather than ResMed.

ResMed’s exhibition booth primarily showcased its newer product launches, including updated masks and at-home diagnostic platforms such as the Night Owl device.

KeyBanc observed that the overall presence from established CPAP manufacturers including ResMed, Philips, and Fisher & Paykel Healthcare was more limited than in previous years, with all three companies participating in the exhibition hall but without notable events or management presence.

React Health’s upcoming Luna G3X CPAP generator received specific mention as it is expected to become the first foam-free device in the U.S. market in the second half of 2025, representing a potential competitive development in the space.

In other recent news, ResMed’s financial performance and strategic developments have drawn attention from several analyst firms. Citi analysts have increased their price target for ResMed to AUD45.00, maintaining a Buy rating, following the company’s third-quarter results that aligned with expectations and led to an upgraded earnings outlook for fiscal years 2025 to 2027. UBS also reaffirmed a Buy rating with a $285.00 price target, noting promising trial outcomes from Apnimed’s new obstructive sleep apnea treatment, which could influence ResMed’s market position. Stifel analysts, however, maintained a Hold rating with a $240.00 target after ResMed’s fiscal third-quarter results showed mixed performance in device and mask sales, leading to a 9% growth in constant currency. RBC Capital Markets raised its price target to $255.00, citing robust growth in revenue and earnings, along with the positive impact of U.S. import tariff exemptions. These recent developments highlight ResMed’s ongoing financial health and strategic positioning in the face of market uncertainties, including potential impacts from GLP-1 medications and future regulatory changes.

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