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DexCom (DXCM) Stock Sinks As Market Gains: What You Should Know
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DexCom (DXCM - Free Report) closed at $130.60 in the latest trading session, marking a -0.04% move from the prior day. This move lagged the S&P 500's daily gain of 0.03%. Meanwhile, the Dow gained 0.01%, and the Nasdaq, a tech-heavy index, lost 1.37%.
Prior to today's trading, shares of the medical device company had gained 3.26% over the past month. This has outpaced the Medical sector's gain of 0.82% and lagged the S&P 500's gain of 3.43% in that time.
DexCom will be looking to display strength as it nears its next earnings release, which is expected to be July 27, 2023. On that day, DexCom is projected to report earnings of $0.22 per share, which would represent year-over-year growth of 29.41%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $837 million, up 20.22% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.07 per share and revenue of $3.49 billion. These totals would mark changes of +22.99% and +20.08%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for DexCom. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.26% higher. DexCom is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that DexCom has a Forward P/E ratio of 122.42 right now. Its industry sports an average Forward P/E of 31.98, so we one might conclude that DexCom is trading at a premium comparatively.
Also, we should mention that DXCM has a PEG ratio of 3.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Medical - Instruments stocks are, on average, holding a PEG ratio of 2.68 based on yesterday's closing prices.
The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 100, putting it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DXCM in the coming trading sessions, be sure to utilize Zacks.com.
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DexCom (DXCM) Stock Sinks As Market Gains: What You Should Know
DexCom (DXCM - Free Report) closed at $130.60 in the latest trading session, marking a -0.04% move from the prior day. This move lagged the S&P 500's daily gain of 0.03%. Meanwhile, the Dow gained 0.01%, and the Nasdaq, a tech-heavy index, lost 1.37%.
Prior to today's trading, shares of the medical device company had gained 3.26% over the past month. This has outpaced the Medical sector's gain of 0.82% and lagged the S&P 500's gain of 3.43% in that time.
DexCom will be looking to display strength as it nears its next earnings release, which is expected to be July 27, 2023. On that day, DexCom is projected to report earnings of $0.22 per share, which would represent year-over-year growth of 29.41%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $837 million, up 20.22% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.07 per share and revenue of $3.49 billion. These totals would mark changes of +22.99% and +20.08%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for DexCom. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.26% higher. DexCom is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that DexCom has a Forward P/E ratio of 122.42 right now. Its industry sports an average Forward P/E of 31.98, so we one might conclude that DexCom is trading at a premium comparatively.
Also, we should mention that DXCM has a PEG ratio of 3.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Medical - Instruments stocks are, on average, holding a PEG ratio of 2.68 based on yesterday's closing prices.
The Medical - Instruments industry is part of the Medical sector. This group has a Zacks Industry Rank of 100, putting it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DXCM in the coming trading sessions, be sure to utilize Zacks.com.