ResMed Acquires Noctrix Health to Expand Product Line
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 02 2026
0mins
Source: NASDAQ.COM
- Acquisition Completed: ResMed has finalized its acquisition of Noctrix Health, a company focused on developing wearable therapeutics for chronic neurological disorders, which will enhance ResMed's clinical sleep health portfolio.
- New Therapy Introduction: By incorporating Noctrix's Nidra Tonic Motor Activation (TOMAC) therapy, ResMed will be able to treat Restless Legs Syndrome (RLS), a common sleep disorder, which is expected to significantly improve patients' quality of life.
- Technology Integration Plan: ResMed plans to integrate Noctrix's technology into its connected devices and digital health solutions, thereby improving patient care pathways and outcomes while enhancing accessibility to healthcare services.
- Strategic Importance: This acquisition is viewed as a crucial step in ResMed's 2030 strategy, aimed at enhancing market competitiveness and addressing the growing demand for sleep health solutions.
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Analyst Views on RMD
Wall Street analysts forecast RMD stock price to rise
11 Analyst Rating
6 Buy
5 Hold
0 Sell
Moderate Buy
Current: 186.290
Low
260.00
Averages
294.00
High
345.00
Current: 186.290
Low
260.00
Averages
294.00
High
345.00
About RMD
ResMed Inc. is a holding company. The Company, through its subsidiaries, in the development, manufacturing, distribution and marketing of medical devices and cloud-based software applications that diagnose, treat and manage respiratory disorders, including sleep disordered breathing (SDB), chronic obstructive pulmonary disease, neuromuscular disease and other chronic diseases. Its segments include Sleep and Breathing Health segment and the Residential Care Software segment. It also operates a Software as a Service (SaaS) business in the United States and Germany that includes out-of-hospital software platforms designed to support the professionals and caregivers who help people stay healthy in the home or care setting of their choice. Its products and solutions are designed to improve patients' quality of life and reduce the impact of chronic disease. Its cloud-based digital health software applications, along with its devices, are designed to provide connected care.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Oil Price Decline Affects Market Sentiment: The agreement between the U.S. and Iran to reopen the Strait of Hormuz has led to crude oil prices dropping to a 3.5-month low, enhancing risk-on sentiment in the markets and contributing to stock gains.
- FOMC Meeting in Focus: Market participants are closely watching the outcome of the FOMC meeting, where interest rates are expected to remain unchanged, but the guidance from new Chair Kevin Warsh will significantly impact market sentiment.
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- Increased Market Competition: Eli Lilly's weight-loss therapy Zepbound has been approved for treating obese patients with obstructive sleep apnea, a market that ResMed's CPAP devices serve, indicating heightened competitive risks for the company.
- Earnings Growth Forecast Cut: The analyst projects ResMed's net profit growth at approximately 5% YoY for fiscal 2027, lower than the consensus estimate of 4%, contrasting with the company's three-year EPS growth of 19% as of March 2026, highlighting a slowdown in earnings growth.
- Price Target Reduction: The analyst lowered ResMed's price target from $286 to $230 per share, indicating that despite strong free cash flow and a solid balance sheet, the company is expected to face constraints on near-term earnings growth, reflecting a cautious market outlook on its future performance.
See More
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See More
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- Price Correction Trend: ResMed's shares have already fallen over 30% from their 2025 peak, and Tobin believes that as consensus estimates come under pressure, the market will continue to seek a new, lower valuation level, further impacting share performance.
- Obesity Rate Impact: Tobin cautioned that rising obesity rates have quietly been a tailwind for ResMed over the past two decades, but the proliferation of GLP-1 drugs is now shrinking its potential customer base, particularly among overweight and obese populations.
- Short Selling Pressure: ResMed has a short interest of 9.4%, reflecting market concerns about its future performance, and investors should closely monitor the upcoming Q3 2026 earnings report to assess the company's ability to navigate these market challenges.
See More
