The Analyst Verdict: DexCom In The Eyes Of 4 Experts

4 analysts have shared their evaluations of DexCom DXCM during the recent three months, expressing a mix of bullish and bearish perspectives.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for DexCom, revealing an average target of $160.0, a high estimate of $165.00, and a low estimate of $151.00. This upward trend is evident, with the current average reflecting a 7.15% increase from the previous average price target of $149.33.

Diving into Analyst Ratings: An In-Depth Exploration

The analysis of recent analyst actions sheds light on the perception of DexCom by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to DexCom. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of DexCom compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of DexCom's stock. This analysis reveals shifts in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of DexCom's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on DexCom analyst ratings.

Discovering DexCom: A Closer Look

Dexcom designs and commercializes continuous glucose monitoring systems for diabetic patients. CGM systems serve as an alternative to the traditional blood glucose meter process, and the company is evolving its CGM systems to provide integration with insulin pumps from Insulet and Tandem for automatic insulin delivery.

Unraveling the Financial Story of DexCom

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Revenue Growth: DexCom's remarkable performance in 3 months is evident. As of 31 December, 2023, the company achieved an impressive revenue growth rate of 26.9%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Health Care sector.

Net Margin: DexCom's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 24.78%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): DexCom's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 11.82% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): DexCom's ROA excels beyond industry benchmarks, reaching 3.99%. This signifies efficient management of assets and strong financial health.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 1.25, caution is advised due to increased financial risk.

How Are Analyst Ratings Determined?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

This article was generated by Benzinga's automated content engine and reviewed by an editor.