• In the past few days, Wall Street analysts have projected that ResMed will report quarterly earnings of $2.90 per share on US$1.46 billion in revenue, implying year-over-year growth in both profit and sales.
• These projections also highlight expected expansion in key segments such as Total Sleep and Breathing Health and Residential Care Software, which together underpin analysts’ more optimistic view of ResMed’s near-term performance.
• Next, we’ll examine how these higher earnings and revenue expectations, particularly in Sleep and Breathing Health, may influence ResMed’s broader investment narrative.

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ResMed Investment Narrative Recap

To own ResMed, you need to believe in sustained demand for sleep and breathing care and the company’s ability to pair devices with software and data. The latest analyst projections of US$2.90 EPS on US$1.46 billion in revenue reinforce Sleep and Breathing Health as the key near term catalyst, but do not materially change the biggest risk right now: potential pricing and reimbursement pressure if payers tighten funding or competitive bidding returns in a more aggressive form.

Against this backdrop, ResMed’s April 2026 results, with Q3 sales of US$1,431.41 million and basic EPS of US$2.74, are an important reference point. They show how the business was performing just before analysts lifted their near term expectations for Total Sleep and Breathing Health and Residential Care Software, and they frame how any upcoming earnings surprise could either bolster or weaken confidence in these segments as the main driver of the story.

Yet even with upbeat earnings projections, investors should be aware of the risk that reimbursement shifts or payer behavior could...

ResMed's narrative projects $6.5 billion revenue and $1.8 billion earnings by 2029.

Uncover how ResMed's forecasts yield a $247.93 fair value, a 11% upside to its current price.

Exploring Other Perspectives

Some of the most optimistic analysts were already assuming ResMed could reach about US$6.8 billion in revenue and US$1.8 billion in earnings by 2029, so this new earnings news may either reinforce their view or force a rethink, especially if reimbursement or funding constraints on higher priced products start to bite more quickly than expected.

Explore 5 other fair value estimates on ResMed - why the stock might be worth just $224.10!

Form Your Own Verdict

Don't just follow the ticker - dig into the data and build a conviction that's truly your own.

• A great starting point for your ResMed research is our analysis highlighting 4 key rewards that could impact your investment decision.
• Our free ResMed research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate ResMed's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.