What is Resmed Inc worth?
With the base-case assumptions below, a discounted cash flow model on Resmed Inc's reported free cash flow gives $315.79 per share. The share price was $222.10 on September 28, 2026, 30% below that value.
Inputs from the filings
Three sets of assumptions
| Case | Growth yrs 1-5 | Discount rate | Value per share | Value vs price |
|---|---|---|---|---|
| Bear | 7.0% | 10.0% | $198.65 | -11% |
| Base | 12.0% | 9.0% | $315.79 | +42% |
| Bull | 17.0% | 8.0% | $549.16 | +147% |
Sensitivity: base case value per share
| 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | |
|---|---|---|---|---|---|
| 7.0% | $405.07 | $432.68 | $466.42 | $508.60 | $562.84 |
| 8.0% | $338.18 | $356.08 | $377.24 | $402.63 | $433.67 |
| 9.0% | $289.43 | $301.67 | $315.79 | $332.27 | $351.75 |
| 10.0% | $252.39 | $261.10 | $270.96 | $282.24 | $295.25 |
| 11.0% | $223.36 | $229.74 | $236.87 | $244.90 | $253.99 |
Where the presets come from
Base: years 1 to 5 grow at Resmed Inc's revenue growth rate over the last 5 fiscal years (12.1% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.
Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.
Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.
This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.
Adjust the assumptions
Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.
Adjust the assumptions