ResMed CEO exercises options, sells 4,991 shares
ResMed Inc.’s Chairman and CEO Michael J. Farrell reported a same-day option exercise and share sale in ResMed common stock.
Rhea-AI Filing Summary
ResMed Inc.’s Chairman and CEO Michael J. Farrell reported a same-day option exercise and share sale in ResMed common stock. He exercised options to acquire 4,991 shares at $146.34 per share, then sold 4,991 shares in an open-market transaction at a weighted average price of $207.8206 per share.
After the sale, Farrell directly holds 466,223 ResMed shares and indirectly holds 2,090 shares through the Lisette and Michael Farrell Family Trust. The transactions were conducted on May 7, 2026 under a pre-arranged Rule 10b5-1 trading plan adopted on October 31, 2024, indicating a scheduled, routine disposition rather than ad hoc trading.
Positive
- None.
Negative
- None.
Insider Trade Summary 10b5-1
Exercise and Sale: 4,991 shares ($307K approx. pre-tax spread)
Exercise and Sale
4 txns
Insider
Farrell Michael J.
Role
Chairman and CEO
Sold
4,991 shs ($1.04M)
Approx. gross sale proceeds
$1.04M
Approx. exercise cost
$730K
Approx. pre-tax spread
$307K
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | ResMed Common Stock Options | 4,991 | $0.00 | $0.00 |
| Exercise | ResMed Common Stock | 4,991 | $146.34 | $730K |
| Sale | ResMed Common Stock | 4,991 | $207.8206 | $1.04M |
| holding | ResMed Common Stock | -- | -- | -- |
Holdings After Transaction:
ResMed Common Stock Options — 29,948 contracts (Direct);
ResMed Common Stock — 466,223 shares (Direct);
ResMed Common Stock — 2,090 shares (Indirect, Lisette and Michael Farrell Family Trust)
Footnotes (3)
- F1. The transaction was conducted under a Rule 10b5-1 plan adopted October 31, 2024.
- F2. This transaction was executed in multiple trades at prices ranging from $206.45 - $210.47. The price reported above reflects the weighted average sale price.
- F3. Represents date options first become exercisable. Options vest 1/3 per year.
Key Figures
Shares sold: 4,991 shares
Sale price (weighted average): $207.8206 per share
Exercise price: $146.34 per share
+5 more
8 metrics
Shares sold
4,991 shares
Open-market sale of ResMed Common Stock on May 7, 2026
Sale price (weighted average)
$207.8206 per share
ResMed Common Stock sale; trades ranged $206.45–$210.47
Exercise price
$146.34 per share
Option exercise for 4,991 ResMed shares
Direct holdings after transaction
466,223 shares
ResMed Common Stock directly owned by Michael Farrell post-trade
Indirect holdings after transaction
2,090 shares
Held via Lisette and Michael Farrell Family Trust
Remaining options
29,948 options
ResMed Common Stock Options following 4,991-option exercise
Option expiration date
November 21, 2026
Expiration for exercised ResMed Common Stock Options grant
10b5-1 adoption date
October 31, 2024
Date CEO’s Rule 10b5-1 trading plan was adopted
Key Terms
Rule 10b5-1 plan, open-market sale, derivative exercise/conversion, ResMed Common Stock Options, +1 more
5 terms
Rule 10b5-1 plan regulatory
"The transaction was conducted under a Rule 10b5-1 plan adopted October 31, 2024."
A Rule 10b5-1 plan is a prearranged, written schedule that lets corporate insiders buy or sell company stock at set times or amounts, even if they later learn material nonpublic information. Think of it like setting an automatic thermostat for trades: it creates a clear record that trades were planned in advance, reducing the risk of insider-trading accusations and helping investors trust that insider transactions are routine rather than based on secret information.
open-market sale financial
"transaction_action: open-market sale"
An open-market sale is when a shareholder sells existing shares directly on a public exchange to any willing buyer, rather than through a private deal. Think of it like putting goods on a busy market stall where price is set by supply and demand; for investors it matters because such sales increase available supply, can put short-term downward pressure on the stock price, and signal changes in liquidity or investor confidence.
derivative exercise/conversion financial
"transaction_action: derivative exercise/conversion"
ResMed Common Stock Options financial
"security_title: ResMed Common Stock Options"
weighted average sale price financial
"The price reported above reflects the weighted average sale price."
FAQ
What insider transactions did ResMed (RMD) CEO Michael Farrell report?
Michael Farrell exercised options for 4,991 ResMed shares at $146.34 and sold 4,991 shares at a weighted average of $207.8206 on May 7, 2026. These filings reflect a routine exercise-and-sell pattern common in executive compensation.
What prices were involved in Michael Farrell’s ResMed (RMD) Form 4 trades?
The option exercise occurred at an exercise price of $146.34 per ResMed share. The subsequent open-market sale of 4,991 shares reported a weighted average sale price of $207.8206, with individual trades executed between $206.45 and $210.47 during the transaction window.
What happened to Michael Farrell’s ResMed (RMD) stock options in this filing?
Farrell exercised 4,991 ResMed common stock options, reducing his remaining option position to 29,948 options. The exercised options had a $146.34 exercise price, first became exercisable on November 11, 2020, and were scheduled to expire on November 21, 2026 if unexercised.
How large is the ResMed (RMD) CEO’s reported sale relative to his holdings?
The filing shows a sale of 4,991 shares against post-transaction direct holdings of 466,223 shares. This indicates the disposition represents only a small fraction of his overall direct ownership, consistent with a routine liquidity event rather than a major position change.
AI-generated analysis. How Rhea-AI works. Not financial advice.
