DexCom (NASDAQ:DXCM) Announces Earnings Results, Beats Estimates By $0.03 EPS

Key Points

• DexCom reported earnings of $0.48 per share for the quarter, surpassing analysts' expectations of $0.45 by $0.03.
• Despite the positive earnings, shares fell by 0.3% to $89.06 during midday trading.
• Institutional investors and hedge funds own approximately 97.75% of DexCom's stock, indicating strong support from large market players.

DexCom (NASDAQ:DXCM - Get Free Report) announced its earnings results on Wednesday. The medical device company reported $0.48 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.45 by $0.03, Zacks reports. DexCom had a return on equity of 32.05% and a net margin of 13.29%. The company had revenue of $1.16 billion for the quarter, compared to analyst estimates of $1.13 billion. During the same period in the prior year, the company posted $0.43 EPS. DexCom's quarterly revenue was up 15.2% on a year-over-year basis. DexCom updated its FY 2025 guidance to EPS.

DexCom Stock Performance

NASDAQ DXCM traded down $1.18 on Friday, hitting $79.59. The stock had a trading volume of 2,516,274 shares, compared to its average volume of 3,868,844. The company's 50-day moving average is $84.67 and its two-hundred day moving average is $80.62. DexCom has a one year low of $57.52 and a one year high of $93.25. The stock has a market cap of $31.21 billion, a price-to-earnings ratio of 55.21, a P/E/G ratio of 1.90 and a beta of 1.44. The company has a quick ratio of 1.32, a current ratio of 1.50 and a debt-to-equity ratio of 0.55.

Wall Street Analyst Weigh In

DXCM has been the topic of several recent analyst reports. UBS Group upped their price target on shares of DexCom from $105.00 to $106.00 and gave the company a "buy" rating in a report on Thursday. Oppenheimer upped their target price on shares of DexCom from $95.00 to $102.00 and gave the company an "outperform" rating in a research note on Thursday. Morgan Stanley increased their price target on shares of DexCom from $82.00 to $89.00 and gave the stock an "equal weight" rating in a research report on Tuesday, July 15th. Barclays lifted their price target on DexCom from $93.00 to $98.00 and gave the stock an "equal weight" rating in a research note on Wednesday. Finally, Citigroup restated a "buy" rating and set a $102.00 price objective (up previously from $82.00) on shares of DexCom in a research note on Thursday, May 22nd. Four equities research analysts have rated the stock with a hold rating, sixteen have given a buy rating and two have issued a strong buy rating to the stock. According to data from MarketBeat, DexCom presently has a consensus rating of "Moderate Buy" and an average price target of $99.89.

Insiders Place Their Bets

In other DexCom news, Director Nicholas Augustinos sold 3,672 shares of DexCom stock in a transaction on Monday, June 16th. The stock was sold at an average price of $82.80, for a total transaction of $304,041.60. Following the sale, the director owned 33,411 shares of the company's stock, valued at $2,766,430.80. The trade was a 9.90% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Mark G. Foletta sold 2,750 shares of the stock in a transaction on Monday, June 16th. The stock was sold at an average price of $83.13, for a total value of $228,607.50. Following the completion of the transaction, the director directly owned 56,621 shares of the company's stock, valued at approximately $4,706,903.73. The trade was a 4.63% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 28,656 shares of company stock worth $2,412,191. 0.32% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On DexCom

Several institutional investors have recently bought and sold shares of DXCM. Brighton Jones LLC raised its position in shares of DexCom by 257.7% during the 4th quarter. Brighton Jones LLC now owns 16,582 shares of the medical device company's stock worth $1,290,000 after buying an additional 11,946 shares in the last quarter. Empowered Funds LLC raised its holdings in DexCom by 5.4% during the first quarter. Empowered Funds LLC now owns 8,446 shares of the medical device company's stock worth $577,000 after purchasing an additional 436 shares in the last quarter. Focus Partners Wealth lifted its position in DexCom by 13.2% in the first quarter. Focus Partners Wealth now owns 7,218 shares of the medical device company's stock worth $493,000 after purchasing an additional 841 shares during the period. Finally, Integrated Wealth Concepts LLC boosted its stake in DexCom by 6.3% during the 1st quarter. Integrated Wealth Concepts LLC now owns 3,329 shares of the medical device company's stock valued at $227,000 after purchasing an additional 196 shares in the last quarter. Institutional investors and hedge funds own 97.75% of the company's stock.

About DexCom

DexCom, Inc, a medical device company, focuses on the design, development, and commercialization of continuous glucose monitoring (CGM) systems in the United States and internationally. The company provides its systems for use by people with diabetes, as well as for use by healthcare providers. Its products include Dexcom G6 and Dexcom G7, integrated CGM systems for diabetes management; Dexcom Share, a remote monitoring system; Dexcom Real-Time API, which enables authorized third-party software developers to integrate real-time CGM data into their digital health apps and devices; and Dexcom ONE, that is designed to replace finger stick blood glucose testing for diabetes treatment decisions.