What's happened: Shares of ResMed Inc. (CHESS) (ASX: RMD) continued their remarkable run on Tuesday morning, climbing a further 8.46%, or 66 cents, to be trading at $8.46.
While they have now risen 17% since the beginning of last week, they've jumped an astonishing 69% over the last 12 months. This compares to the 7% jump from the S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) over the same time.
Why it's happened: ResMed, which develops and manufactures sleep treatment products, released its results for the quarter ending December 2014 on Friday. The company reported a 10% increase in revenue compared to the same quarter in 2013 (up 14% on a constant currency basis) as well as a 5% increase in net income to US$91.2 million.
Indeed, there was plenty to like from the report. Not only did the company announce a return to double-digit revenue growth in its core Americas market (as well as an 8% lift in European and Asia Pacific earnings, or 16% on a constant currency basis), but the results were also boosted by the continued roll out of various new products which should help drive growth in the years ahead.
The company said: "We are pleased to report strong double-digit revenue growth, demonstrating excellent progress with our new product launches… We achieved robust commercial performance across all regions, including double-digit growth in the Americas."
Today, Macquarie Group Ltd (ASX: MQG) reportedly announced that it had raised its target price for the shares by 19% to $8.00 per share.
What to do: Given the strength of the stock recently, investors who remain patient may be given a better buy-in price in the coming weeks or months. Until then, there are plenty of other compelling growth stocks trading at excellent prices.
NEW: The Motley Fool's top stock for 2015
