Is ResMed Stock Underperforming the S&P 500?

Core Insights - ResMed Inc. has a market capitalization of $37.4 billion and specializes in medical devices and cloud-based software for respiratory disorders [1] - The company operates in two segments: Sleep and Breathing Health, and Residential Care Software, providing a range of solutions from sleep diagnostics to healthcare software platforms [1][2] Financial Performance - ResMed reported Q1 2026 results with a 9% revenue growth to $1.34 billion, a 280 basis points adjusted gross-margin expansion, and a 16% adjusted EPS growth to $2.55 [5] - The company generated $457 million in operating cash flow and continued share repurchases and dividends, indicating strong operational strength and investor confidence [5] Stock Performance - ResMed's stock has decreased by 12.7% from its 52-week high of $293.81 and has declined 7.4% over the past three months, underperforming the S&P 500 Index, which increased by 6% in the same period [3][4] - Year-to-date, RMD stock is up 12.2%, lagging behind the S&P 500's 16.8% gain, and has increased 7.2% over the past 52 weeks compared to the S&P 500's 13.1% return [4] Market Position - ResMed's stock has a consensus rating of "Moderate Buy" from 19 analysts, with a mean price target of $291.31, representing a 13.5% premium to current levels [6] - The company has outperformed its competitor, Intuitive Surgical, Inc., which has gained 5.1% over the past 52 weeks and 10.2% year-to-date [6]