RMD Relative Valuation
RMD's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, RMD is overvalued; if below, it's undervalued.
Historical Valuation
Resmed Inc (RMD) is now in the Fair zone, suggesting that its current forward PE ratio of 22.46 is considered Fairly compared with the five-year average of 29.71. The fair price of Resmed Inc (RMD) is between 246.30 to 410.47 according to relative valuation methord.
Relative Value
Fair Zone
246.30-410.47
Current Price：251.51
Fair
22.46
PE
1Y
3Y
5Y
Trailing
Forward
15.99
EV/EBITDA
Resmed Inc. (RMD) has a current EV/EBITDA of 15.99. The 5-year average EV/EBITDA is 22.21. The thresholds are as follows: Strongly Undervalued below 12.02, Undervalued between 12.02 and 17.12, Fairly Valued between 27.31 and 17.12, Overvalued between 27.31 and 32.40, and Strongly Overvalued above 32.40. The current Forward EV/EBITDA of 15.99 falls within the Undervalued range.
17.29
EV/EBIT
Resmed Inc. (RMD) has a current EV/EBIT of 17.29. The 5-year average EV/EBIT is 24.99. The thresholds are as follows: Strongly Undervalued below 11.42, Undervalued between 11.42 and 18.20, Fairly Valued between 31.77 and 18.20, Overvalued between 31.77 and 38.55, and Strongly Overvalued above 38.55. The current Forward EV/EBIT of 17.29 falls within the Undervalued range.
6.43
PS
Resmed Inc. (RMD) has a current PS of 6.43. The 5-year average PS is 7.46. The thresholds are as follows: Strongly Undervalued below 4.27, Undervalued between 4.27 and 5.87, Fairly Valued between 9.05 and 5.87, Overvalued between 9.05 and 10.64, and Strongly Overvalued above 10.64. The current Forward PS of 6.43 falls within the Historic Trend Line -Fairly Valued range.
21.18
P/OCF
Resmed Inc. (RMD) has a current P/OCF of 21.18. The 5-year average P/OCF is 30.73. The thresholds are as follows: Strongly Undervalued below 7.04, Undervalued between 7.04 and 18.89, Fairly Valued between 42.58 and 18.89, Overvalued between 42.58 and 54.43, and Strongly Overvalued above 54.43. The current Forward P/OCF of 21.18 falls within the Historic Trend Line -Fairly Valued range.
22.83
P/FCF
Resmed Inc. (RMD) has a current P/FCF of 22.83. The 5-year average P/FCF is 34.41. The thresholds are as follows: Strongly Undervalued below 8.08, Undervalued between 8.08 and 21.24, Fairly Valued between 47.57 and 21.24, Overvalued between 47.57 and 60.73, and Strongly Overvalued above 60.73. The current Forward P/FCF of 22.83 falls within the Historic Trend Line -Fairly Valued range.
Resmed Inc (RMD) has a current Price-to-Book (P/B) ratio of 6.00. Compared to its 3-year average P/B ratio of 6.44 , the current P/B ratio is approximately -6.87% higher. Relative to its 5-year average P/B ratio of 8.30, the current P/B ratio is about -27.75% higher. Resmed Inc (RMD) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 3.27%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 2.57% , the current FCF yield is about -100.00% lower.
6.00
P/B
Median3y
6.44
Median5y
8.30
4.83
FCF Yield
Median3y
3.27
Median5y
2.57
Competitors Valuation Multiple
The average P/S ratio for RMD's competitors is 3.57, providing a benchmark for relative valuation. Resmed Inc Corp (RMD) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 9.07%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of RMD increased by 9.98% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 1.22B to 1.34B.
The secondary factor is the Margin Expansion, contributed 2.63%to the performance.
Overall, the performance of RMD in the past 1 year is driven by Revenue Growth. Which is more sustainable.
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FAQ
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