Expert Outlook: DexCom Through The Eyes Of 11 Analysts

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Throughout the last three months, 11 analysts have evaluated DexCom DXCM, offering a diverse set of opinions from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 7 1 0 0
Last 30D 0 1 0 0 0
1M Ago 0 0 0 0 0
2M Ago 2 1 0 0 0
3M Ago 1 5 1 0 0

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $95.91, a high estimate of $115.00, and a low estimate of $85.00. This upward trend is evident, with the current average reflecting a 2.73% increase from the previous average price target of $93.36.

price target chart

Decoding Analyst Ratings: A Detailed Look

The perception of DexCom by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Jeff Johnson Baird Raises Outperform $104.00 $86.00
Joanne Wuensch Citigroup Raises Buy $91.00 $85.00
Larry Biegelsen Wells Fargo Raises Overweight $94.00 $90.00
William Plovanic Canaccord Genuity Raises Buy $99.00 $89.00
Lee Hambright Bernstein Raises Outperform $86.00 $82.00
Jayson Bedford Raymond James Lowers Strong Buy $99.00 $115.00
Shagun Singh RBC Capital Lowers Outperform $115.00 $120.00
Steven Lichtman Oppenheimer Lowers Outperform $105.00 $115.00
Robbie Marcus JP Morgan Raises Neutral $85.00 $75.00
Mike Kratky Leerink Partners Lowers Outperform $87.00 $90.00
Larry Biegelsen Wells Fargo Raises Overweight $90.00 $80.00

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.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of DexCom's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on DexCom analyst ratings.

All You Need to Know About DexCom

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.

Financial Insights: DexCom

Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.

Revenue Growth: Over the 3 months period, DexCom showcased positive performance, achieving a revenue growth rate of 1.97% as of 30 September, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Health Care sector.

Net Margin: DexCom's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 13.54%, the company may face hurdles in effective cost management.

Return on Equity (ROE): DexCom's ROE excels beyond industry benchmarks, reaching 6.1%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 2.05%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: With a high debt-to-equity ratio of 1.31, DexCom faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Basics of Analyst Ratings

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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

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