UPDATE: Feltl & Company Downgrades ResMed to Buy
Feltl & Company lowers its rating on ResMed (NYSE: RMD) to Buy from Strong Buy, and maintains its price target at #33.15 a share following IRS's proposal to skip medical device excise tax on ResMed.
Feltl & Company notes, "Based upon our reading of the release, it appears that ResMed's products will be exempted from the tax. ...We believe that the IRS' proposed regulations defining what shall fall under the retail exemption, “(i) the device is regularly available for purchase and use by individual consumers who are not medical professionals, and (ii) the device's design demonstrates that it is not primarily intended for use in a medical institution or office, or by medical professionals”, excludes ResMed's products."
RMD closed at $29.60 a share on Friday.
