Baxter International Inc (BAX)vsResMed Inc (RMD)
BAX
Baxter International Inc
$25.74
-2.28%
HEALTHCARE · Cap: $13.67B
RMD
ResMed Inc
$238.89
+0.15%
HEALTHCARE · Cap: $32.93B
Smart Verdict
WallStSmart Research — data-driven comparison
Baxter International Inc generates 103% more annual revenue ($11.61B vs $5.73B). RMD leads profitability with a 27.8% profit margin vs -6.2%. RMD appears more attractively valued with a PEG of 1.26. RMD earns a higher WallStSmart Score of 72/100 (B).
BAX
Hold50
out of 100
Grade: D+
RMD
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+51.0%
Fair Value
$45.47
Current Price
$25.74
$19.73 discount
Margin of Safety
-19.5%
Fair Value
$217.23
Current Price
$238.89
$21.66 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Earnings expanding 36.8% YoY
Strong operational efficiency at 34.8%
Safe zone — low bankruptcy risk
Every $100 of equity generates 27 in profit
Keeps 28 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Earnings expanding 23.2% YoY
Areas to Watch
Grey zone — moderate risk
Elevated debt levels
Expensive relative to growth rate
ROE of -11.1% — below average capital efficiency
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : BAX
The strongest argument for BAX centers on Price/Book, EPS Growth.
Bull Case : RMD
The strongest argument for RMD centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 27.8% and operating margin at 34.8%. PEG of 1.26 suggests the stock is reasonably priced for its growth.
Bear Case : BAX
The primary concerns for BAX are Altman Z-Score, Debt/Equity, PEG Ratio.
Bear Case : RMD
No major red flags identified for RMD, but monitor valuation.
Key Dynamics to Monitor
BAX profiles as a turnaround stock while RMD is a mature play — different risk/reward profiles.
RMD carries more volatility with a beta of 0.76 — expect wider price swings.
RMD is growing revenue faster at 5.9% — sustainability is the question.
BAX generates stronger free cash flow (448M), providing more financial flexibility.
Bottom Line
RMD scores higher overall (72/100 vs 50/100), backed by strong 27.8% margins. BAX offers better value entry with a 51.0% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Baxter International Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
Baxter International Inc. is an American multinational health care company with headquarters in Deerfield, Illinois. The company primarily focuses on products to treat hemophilia, kidney disease, immune disorders and other chronic and acute medical conditions.
Visit Website →ResMed Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
ResMed is a San Diego, California-based medical equipment company. It primarily provides cloud-connectable medical devices for the treatment of sleep apnea (such as CPAP devices and masks), chronic obstructive pulmonary disease (COPD), and other respiratory conditions.
Visit Website →Compare with Other MEDICAL INSTRUMENTS & SUPPLIES Stocks
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