Dexcom Inc (NASDAQ: DXCM)’s stock price has soared by 16.17 in relation to previous closing price of 70.26. Nevertheless, the company has seen a gain of 13.90% in its stock price over the last five trading days. seekingalpha.com reported 2025-05-05 that I initially rated DexCom’s stock as sell due to competition and GLP-1 threats, but surprising 1Q25 growth prompts an upgrade to hold. DXCM posted better than expected growth figures in 1Q25, establishing a reaccelerating trend in growth for the company. However, DXCM’s competitor product, Abbott’s Libre Freestyle, has been growing faster despite larger sales.
Is It Worth Investing in Dexcom Inc (NASDAQ: DXCM) Right Now?
Dexcom Inc (NASDAQ: DXCM) has a price-to-earnings ratio of 61.27x that is above its average ratio. Additionally, the 36-month beta value for DXCM is 1.42. There are mixed opinions on the stock, with 18 analysts rating it as a “buy,” 5 rating it as “overweight,” 3 rating it as “hold,” and 0 rating it as “sell.”
The public float for DXCM is 386.62M and currently, short sellers hold a 2.75% ratio of that float. The average trading volume of DXCM on May 05, 2025 was 4.41M shares.
DXCM’s Market Performance
The stock of Dexcom Inc (DXCM) has seen a 13.90% increase in the past week, with a 19.78% rise in the past month, and a -6.00% fall in the past quarter. The volatility ratio for the week is 3.85%, and the volatility levels for the past 30 days are at 5.08% for DXCM.. The simple moving average for the past 20 days is 19.69% for DXCM’s stock, with a 7.30% simple moving average for the past 200 days.
Analysts’ Opinion of DXCM
Many brokerage firms have already submitted their reports for DXCM stocks, with Mizuho repeating the rating for DXCM by listing it as a “Outperform.” The predicted price for DXCM in the upcoming period, according to Mizuho is $85 based on the research report published on April 10, 2025 of the current year 2025.
Redburn Atlantic, on the other hand, stated in their research note that they expect to see DXCM reach a price target of $115, previously predicting the price at $85. The rating they have provided for DXCM stocks is “Buy” according to the report published on February 03rd, 2025.
Robert W. Baird gave a rating of “Outperform” to DXCM, setting the target price at $104 in the report published on January 16th of the current year.
DXCM Trading at 11.98% from the 50-Day Moving Average
After a stumble in the market that brought DXCM to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -38.29% of loss for the given period.
Volatility was left at 5.08%, however, over the last 30 days, the volatility rate increased by 3.85%, as shares surge +32.07% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -8.64% lower at present.
During the last 5 trading sessions, DXCM rose by +13.90%, which changed the moving average for the period of 200-days by -29.67% in comparison to the 20-day moving average, which settled at $68.19. In addition, Dexcom Inc saw 4.95% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at DXCM starting from Heller Bridgette P, who sale 352 shares at the price of $70.33 back on Mar 17 ’25. After this action, Heller Bridgette P now owns 22,997 shares of Dexcom Inc, valued at $24,756 using the latest closing price.
Heller Bridgette P, the Director of Dexcom Inc, proposed sale 352 shares at $70.33 during a trade that took place back on Mar 17 ’25, which means that Heller Bridgette P is holding shares at $24,756 based on the most recent closing price.
Stock Fundamentals for DXCM
Current profitability levels for the company are sitting at:
- 0.15 for the present operating margin
- 0.59 for the gross margin
The net margin for Dexcom Inc stands at 0.13. The total capital return value is set at 0.17. Equity return is now at value 23.72, with 8.09 for asset returns.
Based on Dexcom Inc (DXCM), the company’s capital structure generated 0.53 points at debt to capital in total, while cash flow to debt ratio is standing at 0.37. The debt to equity ratio resting at 1.14. The interest coverage ratio of the stock is 43.93.
Currently, EBITDA for the company is 945.7 million with net debt to EBITDA at 1.89. When we switch over and look at the enterprise to sales, we see a ratio of 8.12. The receivables turnover for the company is 3.59for trailing twelve months and the total asset turnover is 0.61. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.50.
Conclusion
In conclusion, Dexcom Inc (DXCM) has seen mixed performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
