DEXCOM INC (DXCM) Stock Fundamental Analysis
NASDAQ:DXCM - US2521311074 - Common Stock
78.9 USD
-1.61 (-2%)
DXCM gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 190 industry peers in the Health Care Equipment & Supplies industry. DXCM scores excellent on profitability, but there are some minor concerns on its financial health. DXCM is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make DXCM a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
DXCM had positive earnings in the past year.
In the past year DXCM had a positive cash flow from operations.
DXCM had positive earnings in each of the past 5 years.
In the past 5 years DXCM always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of DXCM (7.80%) is better than 90.00% of its industry peers.
DXCM has a Return On Equity of 22.21%. This is amongst the best in the industry. DXCM outperforms 94.21% of its industry peers.
DXCM's Return On Invested Capital of 14.52% is amongst the best of the industry. DXCM outperforms 94.74% of its industry peers.
DXCM had an Average Return On Invested Capital over the past 3 years of 11.25%. This is above the industry average of 8.46%.
The last Return On Invested Capital (14.52%) for DXCM is above the 3 year average (11.25%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.8% | ||
| ROE | 22.21% | ||
| ROIC | 14.52% |
ROA(3y)7.95%
ROA(5y)8.21%
ROE(3y)23.2%
ROE(5y)22.06%
ROIC(3y)11.25%
ROIC(5y)9.23%
1.3 Margins
DXCM has a Profit Margin of 13.29%. This is amongst the best in the industry. DXCM outperforms 88.95% of its industry peers.
DXCM's Profit Margin has improved in the last couple of years.
The Operating Margin of DXCM (17.22%) is better than 87.37% of its industry peers.
DXCM's Operating Margin has improved in the last couple of years.
DXCM has a Gross Margin of 60.01%. This is in the better half of the industry: DXCM outperforms 60.53% of its industry peers.
In the last couple of years the Gross Margin of DXCM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.22% | ||
| PM (TTM) | 13.29% | ||
| GM | 60.01% |
OM growth 3Y10.52%
OM growth 5Y8.87%
PM growth 3Y17.27%
PM growth 5Y15.84%
GM growth 3Y-3.98%
GM growth 5Y-0.72%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DXCM is still creating some value.
DXCM has more shares outstanding than it did 1 year ago.
DXCM has more shares outstanding than it did 5 years ago.
DXCM has a better debt/assets ratio than last year.
2.2 Solvency
DXCM has an Altman-Z score of 5.55. This indicates that DXCM is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 5.55, DXCM belongs to the best of the industry, outperforming 82.63% of the companies in the same industry.
The Debt to FCF ratio of DXCM is 4.38, which is a neutral value as it means it would take DXCM, 4.38 years of fcf income to pay off all of its debts.
DXCM has a Debt to FCF ratio of 4.38. This is amongst the best in the industry. DXCM outperforms 81.58% of its industry peers.
DXCM has a Debt/Equity ratio of 0.50. This is a neutral value indicating DXCM is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.50, DXCM is not doing good in the industry: 60.53% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 4.38 | ||
| Altman-Z | 5.55 |
ROIC/WACC1.79
WACC8.11%
2.3 Liquidity
A Current Ratio of 1.52 indicates that DXCM should not have too much problems paying its short term obligations.
The Current ratio of DXCM (1.52) is worse than 74.74% of its industry peers.
A Quick Ratio of 1.35 indicates that DXCM should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.35, DXCM is doing worse than 63.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.35 |
3. Growth
3.1 Past
DXCM shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.86%.
Measured over the past years, DXCM shows a very strong growth in Earnings Per Share. The EPS has been growing by 29.25% on average per year.
DXCM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.30%.
Measured over the past years, DXCM shows a very strong growth in Revenue. The Revenue has been growing by 22.27% on average per year.
EPS 1Y (TTM)-2.86%
EPS 3Y35.38%
EPS 5Y29.25%
EPS Q2Q%11.63%
Revenue 1Y (TTM)9.3%
Revenue growth 3Y18.1%
Revenue growth 5Y22.27%
Sales Q2Q%15.21%
3.2 Future
Based on estimates for the next years, DXCM will show a very strong growth in Earnings Per Share. The EPS will grow by 23.00% on average per year.
DXCM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.08% yearly.
EPS Next Y26.67%
EPS Next 2Y25.95%
EPS Next 3Y24.52%
EPS Next 5Y23%
Revenue Next Year15.01%
Revenue Next 2Y15.3%
Revenue Next 3Y14.94%
Revenue Next 5Y14.08%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 46.41 indicates a quite expensive valuation of DXCM.
Based on the Price/Earnings ratio, DXCM is valued a bit cheaper than the industry average as 69.47% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.02, DXCM is valued quite expensively.
Based on the Price/Forward Earnings ratio of 30.15, the valuation of DXCM can be described as expensive.
DXCM's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. DXCM is cheaper than 72.63% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.66. DXCM is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.41 | ||
| Fwd PE | 30.15 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DXCM is valued a bit cheaper than 71.58% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DXCM indicates a somewhat cheap valuation: DXCM is cheaper than 75.26% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54.21 | ||
| EV/EBITDA | 30.07 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of DXCM may justify a higher PE ratio.
A more expensive valuation may be justified as DXCM's earnings are expected to grow with 24.52% in the coming years.
PEG (NY)1.74
PEG (5Y)1.59
EPS Next 2Y25.95%
EPS Next 3Y24.52%
5. Dividend
5.1 Amount
No dividends for DXCM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:DXCM (9/8/2025, 12:21:08 PM)
78.9
-1.61 (-2%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.5%
Inst Owner Change0.88%
Ins Owners0.26%
Ins Owner Change10.65%
Market Cap30.94B
Analysts85.71
Price Target105.4 (33.59%)
Short Float %2.54%
Short Ratio2.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.34%
Min EPS beat(2)-4.09%
Max EPS beat(2)6.77%
EPS beat(4)2
Avg EPS beat(4)-1.87%
Min EPS beat(4)-11.66%
Max EPS beat(4)6.77%
EPS beat(8)6
Avg EPS beat(8)9.43%
EPS beat(12)10
Avg EPS beat(12)14.38%
EPS beat(16)11
Avg EPS beat(16)8.49%
Revenue beat(2)1
Avg Revenue beat(2)0.34%
Min Revenue beat(2)-0.19%
Max Revenue beat(2)0.88%
Revenue beat(4)1
Avg Revenue beat(4)-0.54%
Min Revenue beat(4)-1.66%
Max Revenue beat(4)0.88%
Revenue beat(8)2
Avg Revenue beat(8)-0.78%
Revenue beat(12)5
Avg Revenue beat(12)-0.39%
Revenue beat(16)6
Avg Revenue beat(16)-0.42%
PT rev (1m)-0.08%
PT rev (3m)3.61%
EPS NQ rev (1m)-0.44%
EPS NQ rev (3m)2.46%
EPS NY rev (1m)0.93%
EPS NY rev (3m)1.11%
Revenue NQ rev (1m)-0.08%
Revenue NQ rev (3m)0.25%
Revenue NY rev (1m)0.25%
Revenue NY rev (3m)0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.41 | ||
| Fwd PE | 30.15 | ||
| P/S | 7.19 | ||
| P/FCF | 54.21 | ||
| P/OCF | 31.33 | ||
| P/B | 12.02 | ||
| P/tB | 12.57 | ||
| EV/EBITDA | 30.07 |
EPS(TTM)1.7
EY2.15%
EPS(NY)2.62
Fwd EY3.32%
FCF(TTM)1.46
FCFY1.84%
OCF(TTM)2.52
OCFY3.19%
SpS10.97
BVpS6.56
TBVpS6.28
PEG (NY)1.74
PEG (5Y)1.59
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.8% | ||
| ROE | 22.21% | ||
| ROCE | 18.43% | ||
| ROIC | 14.52% | ||
| ROICexc | 53.56% | ||
| ROICexgc | 59.66% | ||
| OM | 17.22% | ||
| PM (TTM) | 13.29% | ||
| GM | 60.01% | ||
| FCFM | 13.27% |
ROA(3y)7.95%
ROA(5y)8.21%
ROE(3y)23.2%
ROE(5y)22.06%
ROIC(3y)11.25%
ROIC(5y)9.23%
ROICexc(3y)35.45%
ROICexc(5y)29.66%
ROICexgc(3y)40.94%
ROICexgc(5y)33.19%
ROCE(3y)14.28%
ROCE(5y)11.73%
ROICexcg growth 3Y55.18%
ROICexcg growth 5Y18.96%
ROICexc growth 3Y50.14%
ROICexc growth 5Y16.58%
OM growth 3Y10.52%
OM growth 5Y8.87%
PM growth 3Y17.27%
PM growth 5Y15.84%
GM growth 3Y-3.98%
GM growth 5Y-0.72%
F-Score6
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 4.38 | ||
| Debt/EBITDA | 1.33 | ||
| Cap/Depr | 176.58% | ||
| Cap/Sales | 9.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 101.12% | ||
| Profit Quality | 99.88% | ||
| Current Ratio | 1.52 | ||
| Quick Ratio | 1.35 | ||
| Altman-Z | 5.55 |
F-Score6
WACC8.11%
ROIC/WACC1.79
Cap/Depr(3y)175.34%
Cap/Depr(5y)240.83%
Cap/Sales(3y)9.32%
Cap/Sales(5y)10.84%
Profit Quality(3y)97.76%
Profit Quality(5y)73.64%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.86%
EPS 3Y35.38%
EPS 5Y29.25%
EPS Q2Q%11.63%
EPS Next Y26.67%
EPS Next 2Y25.95%
EPS Next 3Y24.52%
EPS Next 5Y23%
Revenue 1Y (TTM)9.3%
Revenue growth 3Y18.1%
Revenue growth 5Y22.27%
Sales Q2Q%15.21%
Revenue Next Year15.01%
Revenue Next 2Y15.3%
Revenue Next 3Y14.94%
Revenue Next 5Y14.08%
EBIT growth 1Y6.1%
EBIT growth 3Y30.52%
EBIT growth 5Y33.11%
EBIT Next Year76.6%
EBIT Next 3Y38.89%
EBIT Next 5Y31.85%
FCF growth 1Y22.49%
FCF growth 3Y127.88%
FCF growth 5Y36.21%
OCF growth 1Y28.04%
OCF growth 3Y30.77%
OCF growth 5Y25.76%