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RMDResMed

What Is RMD Fair Value?

ResMed (RMD) fair value estimate using multiple valuation models, updated daily.

As of July 16, 2026, ResMed (RMD) has a composite fair value estimate of $203.50 based on four valuation models: DCF (35% weight), Graham Number (25% weight), PEG (25% weight), and DDM (15% weight). The current market price is $198.57, suggesting the stock is fair value by 2.5%.

Data as of July 16, 2026 (today)

Composite Fair Value

Fair Value4 of 4 models

$203.50

vs. current price of $198.57(+2.5%)

Undervalued$203.50Overvalued
$198.57

How Is RMD Fair Value Calculated?

Four independent models estimate what RMD is worth. Each uses different inputs and assumptions. The composite blends them by weight.

RMD Intrinsic Value

Forward-looking models based on future cash flows

DCF (Discounted Cash Flow)

35% weight

Estimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →

$309.02

+55.6%

Undervalued

Inputs used

FCF: 1.4BGrowth: 12.5%Discount: 9%

DDM (Dividend Discount Model)

15% weight

If a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →

$101.08

-49.1%

Overvalued

Inputs used

Dividend: $2.40/yrReq. Return: 9%Growth: 6.2%

RMD Fair Value

Current fundamentals: earnings, assets, and growth rate

Graham Number (Value Investing)

25% weight

Created by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →

$105.76

-46.7%

Overvalued

Inputs used

EPS: $11.11Book Value: $44.76

PEG (Price/Earnings to Growth)

25% weight

Checks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.

$138.62

-30.2%

Overvalued

Inputs used

EPS: $11.11Growth: 12.5%

What If You Change the Assumptions?

Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.

Your DCF Fair Value

$309.02Undervalued

Current price $198.57 is 55.6% below this estimate

CheapFair ValueExpensive
12.5%
0.0%30.0%
8.6%
6.0%15.0%
2.5%
1.0%4.0%
15.0%
0.0%50.0%
View 10-year cash flow projections
YearProjected FCF (Free Cash Flow)Present Value
Year 1$1.63B$1.50B
Year 2$1.83B$1.55B
Year 3$2.06B$1.61B
Year 4$2.32B$1.66B
Year 5$2.60B$1.72B
Year 6$2.93B$1.78B
Year 7$3.30B$1.85B
Year 8$3.71B$1.91B
Year 9$4.17B$1.98B
Year 10$4.69B$2.05B
Terminal Value$78.47B$34.31B

What Are RMD's Key Financial Metrics?

Earnings & Growth

Current Price

$198.57

EPS (TTM)

$10.66

Forward P/E

16.5

Profit Margin

27.4%

Cash & Balance Sheet

Free Cash Flow

1.4B

EBITDA

2.1B

Book Value

$44.76

Total Debt

843.2M

What Do Analysts Say About RMD?

Low

$180.00

Average

$252.20

High

$325.00

Upside

+27.0%

Current $198.57Avg Target $252.20Buy15 analysts

RMD Fair Value FAQ

What is the fair value of RMD?

Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), RMD's estimated fair value is $203.50. The stock is currently trading at $198.57, which makes it fair value by our analysis.

How is RMD's fair value calculated?

We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.

Is RMD overvalued or undervalued?

Based on our analysis, RMD is fair value. The current price of $198.57 is 2.5% below our estimated fair value of $203.50.

What do Wall Street analysts say about RMD?

15 analysts cover ResMed with a consensus rating of "Buy." The average price target is $252.20, ranging from $180.00 to $325.00. This implies 27.0% upside from the current price.