Dexcom Inc (DXCM)
Health Care · Health Care Equipment · US stock · S&P 500 component
$78.32
▼ -1.94 (2.42%)
Fair valueUndervalued
$95 +21.8% to fair value
$48fair band $81–$116$143
Day's range
$77.11 – $80.49
52-week range
$54.11 – $92.59
About Dexcom Inc
Dexcom develops and sells continuous glucose monitoring systems for people with diabetes. A small sensor worn on the body sends glucose readings to a smartphone or receiver, helping users and clinicians track levels without frequent finger pricks. Revenue comes from selling sensors and related hardware through pharmacies and distributors, and it depends on insurance coverage and reimbursement.
The company reported revenue of $5.0 billion for the last twelve months at Dexcom Inc. Revenue growth over the past three years averaged 17.0% a year. It kept an operating margin of 22.9%. The return on invested capital reached 59%, a measure of profit earned on the money invested in the business. The company does not pay a dividend. On the site's X-Ray Score, it rates 78 out of 100.
Price chart
52-wk range $54.11 – $92.59Volume 10,793,124Daily, split-adjusted
Vitals
Market cap$30.6B
52-week range$54.11 – $92.59
Volume (last day)10,793,124
P/E (TTM)31.3
EBIT / EV yield3.9%
Free-cash-flow yield4.6%
Dividend yieldNo dividend
Revenue (TTM)$5.0B
Net income (TTM)$1,000M
Operating margin22.9%
Return on capital58.7%
Debt incl. leasesData missing
Cash & securities$1.1B
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$95middle half of models $94 – $106
Undervalued
+21.8% to fair value
Average of the 13 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is High, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Peak-cycle earnings: the current operating margin is more than 1.5x its 7-year average, so multiples applied to today's profit may overstate value; model uncertainty is set to High
Price $78
Undervalued < $81Fair $81 – $116Overvalued > $116
P/E multiple
$103
P/B multiple
$100
P/S multiple
$101
EV/EBITDA multiple
$102
EV/EBIT multiple
$145
EV/revenue multiple
$94
10-year DCF, EBITDA exit
$113
5-year DCF, EBITDA exit
$119
10-year DCF, revenue exit
$104
5-year DCF, revenue exit
$106
10-year DCF, growth exit
$55
5-year DCF, growth exit
$52
Earnings power value
$47
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Strong business at an attractive price
Our models put fair value above today's price, but models can be wrong, so check the business first. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Health Care peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Fair
67/100
Priced about in line with its sector.
See the numbers →
EBIT / EV yield3.9%
Free-cash-flow yield4.6%
Fair value vs price1.2×
Growth
Strong
87/100
Growing faster than most of its sector.
See the numbers →
Revenue growth (3y)17.0%
EPS growth (3y)36.6%
Growth consistency100%
Profitability
Strong
80/100
Earns high returns on the capital it uses.
See the numbers →
Return on invested capital58.7%
Operating margin22.9%
Gross profitability48.1%
Financial health
Strong
83/100
Balance sheet looks strong: debt is well covered.
See the numbers →
Piotroski F-Score8 / 9
Interest coverNo interest cost
Dividends
None
–/100
Pays no dividend.
See the numbers →
Quarterly results: last 6 quarters
+12.5%
Mar '25
+15.2%
Jun '25
+21.6%
Sep '25
+13.1%
Dec '25
+15.0%
Mar '26
+13.1%
Jun '26
Revenue against the same quarter a year earlier. Latest quarter revenue $1.3B, diluted EPS $0.64.
Compare with peers
PODD Insulet Corp72 RMD Resmed Inc70 BSX Boston Scientific Corp67 IDXX Idexx Laboratories Inc66Other Health Care Equipment companies by X-Ray Score.
SWOT analysis: Dexcom Inc
Strengthsinside the company
- Return on invested capital is 58.7%, against a median of 10.1% for industry peers.
- Revenue has grown 17.0% a year over three years (median 8.5% for industry peers).
- Earnings per share have compounded at 36.6% a year over three years.
- Operating profit covers interest 76x, so debt costs are a small drag.
Weaknessesinside the company
- No clear weakness in the figures we track.
Opportunitiesvaluation and setting
- The price is 22% below our fair value estimate, with the gap larger than the margin we allow for error.
Threatsvaluation and setting
- Valuation uncertainty is high: the models give widely different values, so the fair value range is wide.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare DXCM with peers and sector
Medians of 15 Health Care Equipment peers and of 59 Health Care stocks in our universe.
Largest peers (X-Ray Score): ABT 41, ISRG 62, MDT 57, SYK 56, BSX 67, BDX 47.
| Metric | DXCM | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 78 | 56 | 49 |
| Valuation | 67 | 57 | 52 |
| Growth | 87 | 66 | 47 |
| Profitability | 80 | 49 | 49 |
| Financial health | 83 | 55 | 48 |
| Dividends | – | 46 | 51 |
Sector leaders: highest X-Ray Score in Health Care
DXCM ranks #2 of 60 in Health Care and #1 of 16 in Health Care Equipment by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for DXCM
Each factor is rated by where DXCM stands among the 60 Health Care stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 12 Good · 7 Average · 3 Bad of 22
Growth: 3 · 0 · 0
Profitability: 4 · 1 · 0
Financial strength: 2 · 1 · 0
Valuation: 0 · 3 · 2
Cash flow: 3 · 1 · 0
Efficiency: 0 · 1 · 1
| Factor | DXCM | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +17.0% | Good beats 94% | +5.5% | – | – |
| Revenue growth, last year | +15.6% | Good beats 88% | +7.1% | +18.8% | ▼ Worse |
| EPS growth, 3 years a year | +36.6% | Good beats 86% | +5.0% | – | – |
| Profitability | |||||
| Gross margin | 62.5% | Average beats 47% | 65.0% | 63.2% | ≈ In line |
| Operating margin | 22.9% | Good beats 74% | 16.4% | 14.9% | ▲ Better |
| Net margin | 20.1% | Good beats 78% | 11.1% | 14.3% | ▲ Better |
| Return on invested capital | 58.7% | Good beats 94% | 12.2% | – | – |
| Return on equity | 38.1% | Good beats 86% | 13.7% | 26.2% | ▲ Better |
| Financial strength | |||||
| Interest cover | 75.9x | Good beats 96% | 9.4x | 29.4x | ▲ Better |
| Current ratio | 1.73 | Average beats 61% | 1.52 | 1.99 | ▼ Worse |
| Piotroski F-score | 8 / 9 | Good beats 85% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 30.6x | Average beats 46% | 28.2x | 97.5x | ▲ Better |
| Price / book | 11.7x | Bad beats 15% | 3.7x | 22.7x | ▲ Better |
| Price / sales | 6.1x | Bad beats 33% | 3.7x | 14.6x | ▲ Better |
| EV / EBITDA | 21.0x | Average beats 34% | 17.6x | – | – |
| Free cash flow yield | 4.6% | Average beats 55% | 4.4% | 1.0% | ▲ Better |
| Cash flow | |||||
| Free cash flow margin | 28.3% | Good beats 85% | 16.3% | 14.1% | ▲ Better |
| Cash from operations / net income | 1.75 | Average beats 66% | 1.61 | 1.72 | ≈ In line |
| Free cash flow growth, 3 years a year | +52.3% | Good beats 95% | +4.3% | – | – |
| Accruals (lower is better) | −11.6% | Good beats 90% | −3.9% | – | – |
| Efficiency | |||||
| Inventory turnover | 2.6x | Average beats 45% | 2.9x | 2.9x | ≈ In line |
| Days sales outstanding | 92 days | Bad beats 8% | 62 days | 91 days | ≈ In line |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 12 Good · ● 3 Average · ● 0 BadCash quality
Earnings backed by cashGood
Free-cash-flow yieldAverage
Risk models
Altman Z''Good
Piotroski F-ScoreGood
Growth
EPS growth (3y)Good
Free-cash-flow growth (3y)Good
Revenue growth (3y)Good
Growth consistencyGood
Balance sheet
Current ratioAverage
Interest coverGood
Valuation
Fair value vs priceGood
EBIT / EV yieldAverage
Profitability
Return on invested capitalGood
Operating marginGood
Gross profitabilityGood
Each check is graded against the company's sector, not a fixed number. Checklist score 79/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $2.4B | $2.9B | $3.6B | $4.0B | $4.7B |
| Operating income | $266M | $391M | $598M | $600M | $912M |
| Net income | $217M | $341M | $542M | $576M | $836M |
| Operating cash flow | $443M | $670M | $749M | $990M | $1.4B |
| Operating margin | 10.9% | 13.4% | 16.5% | 14.9% | 19.6% |
| Free cash flow | $53M | $305M | $512M | $631M | $1.1B |
| Diluted EPS | $0.53 | $0.82 | $1.30 | $1.42 | $2.09 |
Fiscal years, from SEC filings.
Technical summary
Daily
Bearish
5 bullish · 1 neutral · 10 bearish
Weekly
Bearish
4 bullish · 1 neutral · 7 bearish
Monthly
Bullish
5 bullish · 1 neutral · 2 bearish
Moving averages (daily)
| SMA 10 | 84.26 | Bearish |
| EMA 10 | 83.53 | Bearish |
| SMA 20 | 84.97 | Bearish |
| EMA 20 | 84.67 | Bearish |
| SMA 50 | 87.10 | Bearish |
| EMA 50 | 84.62 | Bearish |
| SMA 100 | 81.25 | Bearish |
| EMA 100 | 81.47 | Bearish |
| SMA 200 | 74.27 | Bullish |
| EMA 200 | 77.62 | Bullish |
Oscillators (daily)
| RSI (14) | 32.69 | Neutral |
| MACD (12, 26) | -1.14 | Bearish |
| Momentum (12) | -6.08 | Bearish |
| Stochastic %K (14) | 10.29 | Bullish |
| Williams %R (14) | -89.71 | Bullish |
| CCI (20) | -313.0 | Bullish |
Pivot points (classic, last session)
S3 73.41 | S2 75.26 | S1 76.79 | Pivot 78.64 | R1 80.17 | R2 82.02 | R3 83.55 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
ETFs that hold DXCM
| ETF | Share of the fund |
|---|---|
| IHI iShares U.S. Medical Devices | 4.02% |
| COWG Pacer US Large Cap Cash Cows Growth Le... | 1.15% |
| QQQE Direxion NASDAQ-100 Equal Weighted Ind... | 1.15% |
| QGRO American Century U.S. Quality Growth | 1.01% |
| IWP iShares Russell Mid-Cap Growth | 0.71% |
| VOT Vanguard Mid-Cap Growth | 0.57% |
| IYH iShares U.S. Healthcare | 0.53% |
| COWZ Pacer US Cash Cows 100 | 0.49% |
The eight funds with the largest weight in DXCM among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
DXCM stock splits
DXCM has split its stock once since 2022. The latest was a 4-for-1 split on 13 Jun 2022.
Full DXCM stock split history →DXCM SEC filings
8-KSEC EDGAR
Director or officer change; Regulation FD disclosure
8-KSEC EDGAR
Director or officer change; Regulation FD disclosure
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Shareholder vote results
8-KSEC EDGAR
Regulation FD disclosure; Other events
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.