ResMed price target lowered to $248 from $260 at Piper Sandler

Piper Sandler lowered the firm’s price target on ResMed (RMD) to $248 from $260 and keeps a Neutral rating on the shares. The firm notes the company reported Q3 results that came in-line with estimates on the top-line and missed slightly on the bottom-line. Revenue of $1.29B was in line with Street estimates driven by strong Masks & Other revenue of $454M vs. the Street’s $449M estimate offsetting some weakness in Devices revenue. Q3 adjusted EPS of $2.37 missed consensus by a penny. However, ResMed saw strong gross margin performance in the quarter driven by efficiency initiatives taking hold, and gave encouraging commentary around minimal impacts expected from tariffs, Piper adds.