At a glance
ResMed Inc is worth $32.76B, about 22 times its fiscal 2026 earnings. Revenue grew 9.9% to $5.65B in fiscal 2026, with 26.9% kept as profit; over 5 years it has grown 12.1% a year. It pays a 1.06% dividend yield, raised every year for at least 5 years, and returned $2.60B to shareholders in dividends and buybacks over FY2022–FY2026. The stock returned −4.6% over the past year with dividends reinvested and −1.5% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 35.3% in the 2020 crash (S&P 500: 33.7%) and 26.6% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 3 months and 29 months after the lows.
The business in plain English
ResMed makes devices and software for people with sleep apnea and other breathing disorders. In obstructive sleep apnea, the upper airway repeatedly collapses during sleep, interrupting breathing. Its core product is CPAP, short for continuous positive airway pressure: a bedside machine that pushes air through a mask to keep the airway open. It also sells masks, ventilators, diagnostic products and dental devices, plus cloud-connected apps that help clinicians track patients and help patients stick with therapy.
Its customers include home medical equipment dealers, sleep clinics and physicians, many of whom are paid by government and private insurers. In the fiscal year ended June 30, 2026, the Sleep and Breathing Health segment brought in $4.98 billion, or 88% of $5.65 billion in revenue. ResMed sells in more than 140 countries, but the United States supplied 63% of revenue.
The other 12% came from Residential Care Software, which earns fees for cloud services, licenses and support. Its brands include Brightree for US home medical equipment suppliers and MEDIFOX DAN for care providers in Germany. On June 30, 2026, ResMed agreed to sell its MatrixCare senior-care software for $490 million in cash to focus on sleep and breathing. It acquired VirtuOx, an in-home testing business, in 2025 and Noctrix Health, maker of a restless legs syndrome device, in June 2026.
Price history
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RMD -4.6% over the year to Nov 2, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Sleep and Breathing Health | $4.98B | 88% |
| Residential Care Software | $675.8M | 12% |
By business segment
| Sleep and Breathing Health | $4.98B | 88% |
| Residential Care Software | $675.8M | 12% |
By geography
| United States | $3.56B | 63% |
| Rest of the World | $2.09B | 37% |
Latest results
- In Q1 FY2027 (ended Sep 30, 2026), revenue was $1.41B, up 5.9% from a year earlier, and net income was $418.4M (+20.0%).
- For fiscal 2026, revenue was $5.65B (+9.9% year over year; +12.1% a year from FY2021 to FY2026) with a 26.9% net margin.
Financial health check
| Revenue growth a year (FY2021–FY2026) | +12.1% good |
|---|---|
| Operating margin | 33.4% good |
| Free cash flow margin | 29.2% good |
| Return on equity (FY2026) | 23.1% good |
| Return on assets (FY2026) | 17% good |
| Net cash (cash minus debt) | $601.1M good |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $3.20B | $474.5M | $634.0M |
| FY2022 | $3.58B | $779.4M | $216.3M |
| FY2023 | $4.22B | $897.6M | $573.6M |
| FY2024 | $4.69B | $1.02B | $1.30B |
| FY2025 | $5.15B | $1.40B | $1.66B |
| FY2026 | $5.65B | $1.52B | $1.65B |
Valuation snapshot
| Market value | $32.76B |
|---|---|
| P/E ratio | 22.3 |
| Dividend yield | 1.06% |
Rank among 1514 US companies
Market value at each year end
ResMed’s market value went from $8.75B at the end of 2016 to $32.76B on Nov 2, 2026, about 3.7 times as much; since the end of 2025 it is down 7%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Nov 2, 2026 | $32.76B | -6.8% |
| 2025 | $35.16B | +4.7% |
| 2024 | $33.57B | +32.7% |
| 2023 | $25.30B | -17.0% |
| 2022 | $30.49B | -19.7% |
| 2021 | $37.96B | +23.2% |
| 2020 | $30.80B | +38.2% |
| 2019 | $22.28B | +37.3% |
| 2018 | $16.23B | +35.0% |
| 2017 | $12.02B | +37.4% |
| 2016 | $8.75B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| RMD price data to Nov 2, 2026 | -2.5% | -4.6% | +16.9% | -1.5% | +16.3% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -2.5% |
| 2025 | +6.3% |
| 2024 | +34.2% |
| 2023 | -16.5% |
| 2022 | -19.5% |
| 2021 | +23.4% |
| 2020 | +38.3% |
| 2019 | +37.9% |
| 2018 | +36.4% |
| 2017 | +39.1% |
| 2016 | +18.0% |
| 2015 | -2.3% |
| 2014 | +21.6% |
| 2013 | +15.2% |
| 2012 | +65.1% |
| 2011 | -26.7% |
| 2010 | +32.5% |
| 2009 | +39.5% |
| 2008 | -28.6% |
| 2007 | +6.7% |
| 2006 | +28.5% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 16.1% over that stretch · deepest drop along the way 43.8%, back to its old high 15 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 31.3% over that stretch · deepest drop along the way 35.3%, back to its old high 3.1 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 18.6% over that stretch · deepest drop along the way 26.6%, back to its old high 29.3 months after the low |
Insider activity
Form 4 filings from 2025-10-31 to 2026-10-31 (25 read): 0 open-market purchases and 19 sales ($14.5M), 19 of them under pre-arranged 10b5-1 trading plans.
| Date | Insider | Type | Value |
|---|---|---|---|
| Aug 5, 2026 | Peter C Farrell Director | sell (plan) | $1.8M |
| Feb 9, 2026 | Michael J. Farrell Chairman and CEO, Director | sell (plan) | $1.4M |
| Mar 9, 2026 | Michael J. Farrell Chairman and CEO, Director | sell (plan) | $1.3M |
| Oct 7, 2026 | Michael J. Farrell Chairman and CEO, Director | sell (plan) | $1.1M |
| Apr 7, 2026 | Michael J. Farrell Chairman and CEO, Director | sell (plan) | $1.1M |
Who owns it
Large shareholders (13G filings)
| Vanguard Capital Management | 8.21% | Mar 31, 2026 |
| AustralianSuper Pty Ltd | 5.7% | Jun 30, 2026 |
| Vanguard Portfolio Management | 5.41% | Mar 31, 2026 |
ETFs with the most weight in RMD
| EKG First Trust Nasdaq Lux Digital Health Solutions ETF | 8.57% |
| LGHT Langar Global HealthTech ETF | 7.03% |
| FCTE SMI 3Fourteen Full-Cycle Trend ETF | 5.13% |
| PINK Simplify Health Care ETF | 4.82% |
| IHI iShares U.S. Medical Devices ETF | 3.98% |
| HEAL Global X HealthTech ETF | 3.93% |
| PTH Invesco Dorsey Wright Healthcare Momentum ETF | 3.23% |
| RISN Inspire Tactical Balanced ETF | 2.84% |
What could go wrong
- Insurers could pay less for its products. ResMed's customers rely on reimbursement from government and private insurers. Cuts in coverage or payment rates could lower its sales or selling prices. Consolidation among healthcare buyers could add pricing pressure.
- Competing technologies could win patients. Rival devices or newer technologies could draw patients away. With 88% of fiscal 2026 revenue from sleep and breathing products, ResMed depends heavily on this one market.
- Unfavorable study results could hurt demand. Studies by ResMed, competitors or others could produce results that are unfavorable, or seen that way, for its therapies. Doubts about benefits could weaken demand.
- Acquisitions bring new oversight and liability. The VirtuOx and Noctrix deals bring new direct federal healthcare oversight, and VirtuOx's testing service adds exposure to professional liability claims that could exceed insurance. Integrating purchases and completing the MatrixCare sale could also stumble.
- Regulation, quality and product liability. Its devices need FDA and foreign regulatory sign-off and must meet strict manufacturing quality standards. Delays or quality failures could hold up new products and hurt sales, and product liability claims could exceed insurance.
- Tariffs, currency swings and supply problems. With 37% of fiscal 2026 revenue from outside the United States, a stronger dollar can shrink reported sales. Tariffs, inflation and shortages of components from suppliers could raise costs or limit production.
Recent events
- Quarterly results released; Other company announcement
- Other company announcement
- Change of auditor; Executive or board change; Investor presentation or announcement
- Quarterly results released; Other company announcement
- Quarterly results released; Investor presentation or announcement
- Executive or board change
- Quarterly results released; Other company announcement
- Quarterly results released; Other company announcement
- Executive or board change; Shareholder vote results
For income and retirement investors
ResMed pays a small but growing dividend. Regular dividends per share rose each year from $1.56 in fiscal 2021 to $2.40 in fiscal 2026, about 9% a year. That used 23% of earnings and about 21% of free cash flow, the cash left after running the business and investing in equipment. The yield was 0.98% as of October 28, 2026, so the dividend alone provides little income. Buybacks grew from $150 million in fiscal 2024 to $700 million in fiscal 2026. Both are set by the board and are not guaranteed.
The stock has fallen hard in sell-offs. It dropped about 44% between December 2007 and October 2008 and regained its high about 15 months after the low. In the 2020 COVID crash it fell 35% and recovered within about three months. After a 27% drop in 2022, recovery took about 29 months, to October 2024. As with any single stock, ResMed carries more risk than a diversified fund.
Questions investors ask
How does ResMed make money?
ResMed makes most of its money selling sleep apnea devices, masks and related products. Its Sleep and Breathing Health segment brought in $4.98 billion, or 88% of the $5.65 billion in revenue for the fiscal year ended June 30, 2026. The remaining 12% came from Residential Care Software, which charges care providers for cloud services, licenses and support. The United States accounted for 63% of revenue. Its net profit margin was 26.9%.
Does ResMed raise its dividend every year?
Yes, it raised its regular dividend in each of the five fiscal years through June 30, 2026. Dividends per share rose from $1.56 in fiscal 2021 to $2.40 in fiscal 2026, about 9% a year. That payout used 23% of earnings and about 21% of free cash flow. The yield was 0.98% as of October 28, 2026, so the dividend is small compared with the share price. The 10-K notes that dividends are subject to board discretion.
How has ResMed stock performed over the long term?
Strongly over ten years, but roughly flat over five. As of October 28, 2026, the stock lost about 0.5% a year over five years, or 3% in total, and gained about 16.6% a year over ten years, or 363% in total. Calendar-year results swung widely: a 19.5% loss in 2022, a 16.5% loss in 2023, then gains of 34.2% in 2024 and 6.3% in 2025. At that date the stock traded at about 24 times fiscal 2026 earnings.
Does ResMed have a lot of debt?
No. As of June 30, 2026, ResMed held $1.47 billion in cash and investments against $659 million in total debt, leaving about $810 million in net cash. It generated $1.65 billion of free cash flow in fiscal 2026, the cash left after running the business and investing in equipment. Its 10-K still lists leverage and debt payments among its risks.
Why is ResMed selling MatrixCare?
ResMed says the sale sharpens its focus on sleep, breathing and connected home-based healthcare. On June 30, 2026, it agreed to sell MatrixCare, its US software for senior living, skilled nursing, home health and hospice providers, for $490 million in cash, subject to adjustments. The 10-K, filed August 13, 2026, said the deal was expected to close in the first quarter of fiscal 2027. The sale does not include its Brightree and MEDIFOX DAN software businesses.