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ResMed placed on ‘downside 90-day catalyst watch’ at Citi

Citi added a “downside 90-day catalyst watch” on shares of ResMed (RMD) while keeping a Buy rating on the name with an A$44 price target The growth in ResMed U.S. app downloads for the March quarter of up 4.1% year-over-year is tracking below the 7.2% U.S. devices sales growth consensus estimate for fiscal Q3, the analyst tells investors in a research note. The firm says U.S. devices account for one-third of ResMed revenue. Citi says the share price has historically reacted negatively to news flow on GLP-1s, and it opened the catalyst watch ahead of the Phase 3 readout for Orforglipron in type 2 diabetes, which is expected in Q2.

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