DexCom, Inc. (DXCM)

In the past six months (January 2025 - June 2025), DexCom's stock has been influenced by several events. DexCom reported Q4 2024 revenue of $1.114 billion, an 8% year-over-year increase, slightly exceeding analyst expectations, but adjusted earnings per share (EPS) of $0.45, a 10% year-over-year decrease, missed estimates. DXCM stock experienced a decline of 1.39% amidst a broader market downturn. The company reported revenue growth of 12% year-over-year to $1.036 billion (14% on an organic basis) for Q1 2025 and announced a $750 million share repurchase program. Piper Sandler decreased its target price from $100.00 to $90.00 on May 2, 2025, while maintaining an "overweight" rating; Barclays raised its price objective from $90.00 to $93.00 on May 5, 2025, with an "equal weight" rating; and Truist Securities initiated coverage with a "Buy" rating on June 16, 2025. The Dexcom G7 15-day CGM system received FDA clearance, and DexCom advanced pump connectivity by integrating its G7 system with Insulet's Omnipod 5 Automated Insulin Delivery System and Tandem Diabetes Care's Mobi insulin pump. Sadie Stern, EVP of DexCom, sold 1,466 shares of the company's stock.

DexCom's products generally experience consistent demand, driven by the ongoing need for diabetes management. The company has reported consistent revenue growth fueled by strong U.S. and international demand. Q4 2024 revenue growth was specifically attributed to increased demand for its CGM systems, particularly the Dexcom G7. In Q1 2025, DexCom saw a record acceleration in demand from new customers. Historically, DexCom's stock has shown a favorable seasonal trend during the summer months. Over the past 10 years, the period from May 23 to August 26 has seen shares rise by an average of almost 33%, with a 100% winning streak since 2013. This trend is linked to increased outdoor activities during warmer weather, which makes consistent glucose monitoring even more critical for individuals with diabetes. The stock's seasonality going into June also indicates a higher chance of a positive month, with 71.43% of previous Junes closing higher than May. While the company noted "certain unique items impacting 2024 seasonality" when providing Q3 2024 revenue guidance, the overall trend suggests a positive seasonal influence during the summer.

DexCom, Inc. is an American healthcare company specializing in the design, development, manufacturing, production, and distribution of continuous glucose monitoring (CGM) systems for diabetes management. The company operates within the Healthcare sector and the Medical Devices/Medical Equipment industry. DexCom's major products include the Dexcom G6 CGM system, Dexcom G7 CGM system, Stelo, Dexcom Share remote monitoring system, Dexcom Real-Time API, and Dexcom ONE CGM system.

DexCom, Inc. is headquartered in San Diego, California, U.S. The company has manufacturing facilities in Mesa, Arizona; Batu Kawan, Malaysia; and Athenry, Ireland. DexCom distributes its products directly in the U.S., Austria, Canada, Germany, Switzerland, and the UK. Additionally, it utilizes a network of distributors in Australia, New Zealand, and other countries across Asia, Europe, Africa, Latin America, and the Middle East. International expansion is a key strategic initiative, particularly in markets with lower CGM adoption rates. Over the past three years, DexCom has expanded reimbursed access to its CGM technology for more than 4 million people internationally. The company's first European manufacturing facility in Athenry, Ireland, aims to support product flow throughout Europe, the Middle East, and Africa (EMEA).

In the past year, DexCom has maintained a strong brand reputation, recognized for its innovative technology and customer focus. Forbes listed DexCom at #8 for Best Customer Service in Medical Devices & Products for 2025. The company emphasizes listening to its customers and addressing their needs, with a commitment to continuous improvement and compliance with evolving standards, as evidenced by its MDSAP certification for Australia, Canada, Japan, and the United States. DexCom also prioritizes strategic partnerships with insulin delivery companies to offer patient choice and open architecture platforms. Positive events contributing to its reputation include the launch of Stelo, the successful launches of Dexcom G7 in Australia and Dexcom ONE+ in France, FDA clearance for the Dexcom G7 15-day CGM system, enhanced pump connectivity through integration of Dexcom G7 with Insulet's Omnipod 5 and Tandem Diabetes Care's Mobi insulin pump, and unveiling a new report on Type 2 Diabetes Management in the U.S. at ADA 2025. Challenges have been noted, such as the Q4 2024 adjusted EPS miss, which raised concerns about profitability, and manufacturing and inventory challenges for its G7 system, leading to supply disruptions in certain markets.

DexCom, Inc. has a significant institutional ownership, with approximately 94.73% of its shares held by institutional investors. There are over 1,800 institutional owners and shareholders. The largest institutional shareholders include Vanguard Group Inc., BlackRock, Inc., State Street Corp., Baillie Gifford & Co., Capital Research Global Investors, Jennison Associates Llc, Sands Capital Management, Llc, and Geode Capital Management, Llc. Among individual owners, Lucas is noted as the largest individual Dexcom shareholder, holding 2.95 million shares, which represents 0.75% of the company.