RMD RMD

Name: RMD Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored March 19, 2026

Price at analysis: $227.65

Crucible Score

71.2

Quality × Value Composite

KQI — Quality

77.1

B+

Fundamental Quality Index

KVI — Value

63.9

C+

Valuation Attractiveness Index

Crucible Verdict — RMD

ResMed (RMD) presents a quality-value disconnect, with strong financial metrics (92 Financial Quality) and solid growth prospects offset by poor diversification (51) and a 14% discount to fair value. The medical device maker's concentrated business model creates vulnerability despite consistent execution under CEO Mike Farrell. Current pricing offers reasonable entry for investors comfortable with single-market exposure.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

91.6

Growth Profile

80.7

Moat Durability

71.3

Management Effectiveness

75.8

Diversification & Resilience⚠

51.0

Market Position

72.0

Weakest dimension: Diversification & Resilience (51.0)

◆ KVI Value Dimensions

DCF Margin of Safety

65.8

FCF Yield & Cash Returns

51.8

Relative Valuation

55.4

Growth-Adjusted Value

70.7

Historical Valuation

90.4

Macro Context

60.5

◆ DCF Valuation Scenarios

Bear Case

$178.42

Base Case

$258.73

Bull Case

$367.19

Price at Analysis

$227.65

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$178.42	7.0%	29.0%	9.3%
🟢 Base	$258.73	10.0%	32.0%	8.8%
🟢 Bull	$367.19	13.0%	35.0%	8.3%

Key Assumptions: Revenue growth anchored to 5-year CAGR of ~10% with RMD benefiting from secular sleep apnea treatment tailwinds; operating margins reflect recent expansion toward 32-33% but tempered in bear case by potential GLP-1 competition reducing CPAP demand. Tax rate normalized at 18% reflecting recent history excluding the anomalous 46% year, and capex intensity remains low at ~2% of revenue consistent with asset-light medical device model. WACC derived from CAPM with 5.25% ERP given healthcare sector stability and 0.89 beta.

◆ Financial Snapshot

Profitability

Gross Margin61.0%

Operating Margin33.8%

Net Margin27.5%

ROIC19.7%

ROE23.5%

Balance Sheet

Balance SheetD/E: 0.16*, CR: 3.06* (* = TTM)

Cash ConversionFCF/EPS: 1.20x

Capital IntensityCapex/Rev: 1.7%

Altman Z-Score12.17 (Safe)

Piotroski F-Score7/9 (Good)

Growth

Revenue CAGR12.6% CAGR

Earnings CAGR31.1% CAGR

Growth ConsistencyCV: 0.21

Segment Breadth2/2 growing (100%)

Quarterly TrendMargin↑

Earnings CredibilityTends to Beat

◆ Analyst Consensus & Leadership

Leadership & Governance

CEOMike Farrell · 4 years

CEO Ownership66.8%

Compensation80% performance-based

Insider ActivitySelling

Capital AllocationROIC 19.7% vs WACC 1.2%

Earnings Beat Rate73% (16/22)

◆ Related Companies in Our Universe

Other Unknown companies scored by the Crucible:

ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted March 19, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.