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DexCom (DXCM) Stock Moves -1.16%: What You Should Know

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DexCom (DXCM - Free Report) closed the latest trading day at $134.56, indicating a -1.16% change from the previous session's end. The stock's change was more than the S&P 500's daily loss of 1.2%. Meanwhile, the Dow lost 0.65%, and the Nasdaq, a tech-heavy index, lost 1.79%.

The medical device company's stock has climbed by 4.35% in the past month, exceeding the Medical sector's loss of 6.57% and the S&P 500's loss of 0.85%.

The upcoming earnings release of DexCom will be of great interest to investors. The company's earnings report is expected on April 25, 2024. On that day, DexCom is projected to report earnings of $0.27 per share, which would represent year-over-year growth of 58.82%. Meanwhile, our latest consensus estimate is calling for revenue of $911.2 million, up 22.89% from the prior-year quarter.

DXCM's full-year Zacks Consensus Estimates are calling for earnings of $1.76 per share and revenue of $4.32 billion. These results would represent year-over-year changes of +15.79% and +19.21%, respectively.

Any recent changes to analyst estimates for DexCom should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. DexCom is holding a Zacks Rank of #2 (Buy) right now.

Digging into valuation, DexCom currently has a Forward P/E ratio of 77.35. This denotes a premium relative to the industry's average Forward P/E of 25.63.

We can also see that DXCM currently has a PEG ratio of 2.34. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. DXCM's industry had an average PEG ratio of 2.34 as of yesterday's close.

The Medical - Instruments industry is part of the Medical sector. With its current Zacks Industry Rank of 99, this industry ranks in the top 40% of all industries, numbering over 250.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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