ResMed (RMD) CEO Michael Farrell sells 4,991 shares under 10b5-1 plan
Filing Impact
Filing Sentiment
Form Type
4
Rhea-AI Filing Summary
ResMed Inc Chairman and CEO Michael J. Farrell exercised stock options and sold shares in a pre-planned transaction. He exercised options for 4,991 shares of ResMed common stock at an exercise price of $146.3400 per share, then sold 4,991 shares in open-market trades at a weighted average price of $218.5475 per share.
The sales were executed in multiple trades at prices ranging from $216.772 to $219.700 under a Rule 10b5-1 plan adopted on October 31, 2024. Following the transactions, Farrell directly holds 466,223 shares of ResMed common stock and indirectly holds 2,090 shares through the Lisette and Michael Farrell Family Trust, and 19,966 stock options remain outstanding.
Positive
- None.
Negative
- None.
Insider Trade Summary 10b5-1
Net Seller: 4,991 shares ($1,090,771)
Net Sell
4 txns
Insider
Farrell Michael J.
Role
Chairman and CEO
Sold
4,991 shs ($1.09M)
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Exercise | ResMed Common Stock Options | 4,991 | $0.00 | -- |
| Exercise | ResMed Common Stock | 4,991 | $146.34 | $730K |
| Sale | ResMed Common Stock | 4,991 | $218.5475 | $1.09M |
| holding | ResMed Common Stock | -- | -- | -- |
Holdings After Transaction:
ResMed Common Stock Options — 19,966 shares (Direct);
ResMed Common Stock — 471,214 shares (Direct);
ResMed Common Stock — 2,090 shares (Indirect, Lisette and Michael Farrell Family Trust)
Footnotes (1)
- The transaction was conducted under a Rule 10b5-1 plan adopted October 31, 2024. This transaction was executed in multiple trades at prices ranging from $216.772 - $219.700. The price reported above reflects the weighted average sale price. Represents date options first become exercisable. Options vest 1/3 per year.
Key Figures
Shares sold: 4,991 shares
Weighted average sale price: $218.5475 per share
Sale price range: $216.772–$219.700 per share
+5 more
8 metrics
Shares sold
4,991 shares
Open-market sale of ResMed Common Stock
Weighted average sale price
$218.5475 per share
Open-market sale on July 7, 2026
Sale price range
$216.772–$219.700 per share
Multiple trades on transaction date
Option exercise price
$146.3400 per share
ResMed Common Stock Options exercised
Direct holdings after transaction
466,223 shares
ResMed Common Stock directly owned by CEO
Indirect holdings after transaction
2,090 shares
Held via Lisette and Michael Farrell Family Trust
Options remaining
19,966 options
ResMed Common Stock Options outstanding
Rule 10b5-1 plan adoption date
October 31, 2024
Plan governing the reported sale
Key Terms
Rule 10b5-1 plan, weighted average sale price, ResMed Common Stock Options, open-market sale
4 terms
Rule 10b5-1 plan financial
"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.
weighted average sale price financial
"The price reported above reflects the weighted average sale price."
ResMed Common Stock Options financial
"Security title is listed as ResMed Common Stock Options with underlying ResMed Common Stock."
open-market sale financial
"Transaction action is described as an 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.
FAQ
What insider transaction did ResMed (RMD) CEO Michael Farrell report?
Michael J. Farrell reported exercising options for 4,991 ResMed shares at $146.3400 and selling 4,991 shares at a weighted average price of $218.5475. The sale was an open-market transaction executed under a pre-arranged Rule 10b5-1 trading plan.
What was the exercise price of Michael Farrell’s ResMed (RMD) stock options?
The exercised stock options covered 4,991 ResMed shares at an exercise price of $146.3400 per share. These options relate to ResMed Common Stock Options that first became exercisable on November 11, 2020, with vesting at one-third per year, as described in the footnotes.
Was the ResMed (RMD) CEO’s stock sale part of a Rule 10b5-1 plan?
Yes. The filing states that Michael J. Farrell’s transaction was conducted under a Rule 10b5-1 trading plan adopted on October 31, 2024. Such pre-arranged plans allow insiders to schedule trades in advance, reducing discretion over the timing of sales.
How many ResMed (RMD) stock options remain after Michael Farrell’s exercise?
Following the option exercise for 4,991 shares, the filing shows 19,966 ResMed Common Stock Options remaining outstanding for Michael J. Farrell. These options are associated with an original grant that vests in thirds annually and has an expiration date of November 21, 2026.