DexCom (NASDAQ:DXCM) Shares Gap Up – Still a Buy?

DexCom, Inc. (NASDAQ:DXCM)’s share price gapped up prior to trading on Thursday . The stock had previously closed at $66.84, but opened at $72.80. DexCom shares last traded at $70.00, with a volume of 2,317,477 shares traded.

Analyst Ratings Changes

Several equities analysts recently weighed in on DXCM shares. Canaccord Genuity Group lifted their target price on shares of DexCom from $99.00 to $103.00 and gave the company a “buy” rating in a report on Friday, February 14th. Robert W. Baird upgraded DexCom from a “neutral” rating to an “outperform” rating and boosted their price objective for the stock from $86.00 to $104.00 in a research note on Thursday, January 16th. Baird R W upgraded DexCom from a “hold” rating to a “strong-buy” rating in a research note on Thursday, January 16th. Redburn Atlantic raised DexCom from a “neutral” rating to a “buy” rating and boosted their price target for the stock from $85.00 to $115.00 in a research report on Monday, February 3rd. Finally, Wells Fargo & Company reaffirmed an “overweight” rating on shares of DexCom in a research report on Saturday, March 8th. Five equities research analysts have rated the stock with a hold rating, thirteen have issued a buy rating and three have assigned a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $99.00.

DexCom Stock Down 1.7 %

The stock’s fifty day simple moving average is $76.92 and its two-hundred day simple moving average is $76.62. The company has a debt-to-equity ratio of 0.59, a current ratio of 1.47 and a quick ratio of 1.28. The company has a market capitalization of $25.93 billion, a price-to-earnings ratio of 46.25, a PEG ratio of 2.30 and a beta of 1.50.

DexCom (NASDAQ:DXCM) last announced its quarterly earnings results on Thursday, February 13th. The medical device company reported $0.45 earnings per share for the quarter, missing analysts’ consensus estimates of $0.50 by ($0.05). DexCom had a return on equity of 30.14% and a net margin of 14.29%. On average, sell-side analysts predict that DexCom, Inc. will post 2.03 earnings per share for the current fiscal year.

Insider Buying and Selling at DexCom

In related news, EVP Jereme M. Sylvain sold 2,090 shares of the firm’s stock in a transaction that occurred on Wednesday, January 29th. The shares were sold at an average price of $86.91, for a total transaction of $181,641.90. Following the transaction, the executive vice president now owns 83,526 shares in the company, valued at $7,259,244.66. This trade represents a 2.44 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Kevin R. Sayer sold 33,359 shares of the stock in a transaction on Wednesday, January 29th. The shares were sold at an average price of $86.91, for a total value of $2,899,230.69. Following the transaction, the chief executive officer now directly owns 319,037 shares of the company’s stock, valued at approximately $27,727,505.67. The trade was a 9.47 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 105,009 shares of company stock valued at $8,044,178 in the last quarter. Corporate insiders own 0.30% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Forvis Mazars Wealth Advisors LLC raised its holdings in DexCom by 0.7% during the 4th quarter. Forvis Mazars Wealth Advisors LLC now owns 17,481 shares of the medical device company’s stock worth $1,359,000 after buying an additional 118 shares during the period. Principal Securities Inc. increased its position in shares of DexCom by 3.4% in the fourth quarter. Principal Securities Inc. now owns 4,069 shares of the medical device company’s stock worth $316,000 after acquiring an additional 135 shares in the last quarter. Larson Financial Group LLC raised its holdings in shares of DexCom by 40.5% during the fourth quarter. Larson Financial Group LLC now owns 475 shares of the medical device company’s stock valued at $37,000 after acquiring an additional 137 shares during the period. Nia Impact Advisors LLC lifted its position in shares of DexCom by 1.4% in the 4th quarter. Nia Impact Advisors LLC now owns 9,850 shares of the medical device company’s stock valued at $766,000 after acquiring an additional 140 shares in the last quarter. Finally, Level Four Advisory Services LLC boosted its stake in DexCom by 1.1% in the 4th quarter. Level Four Advisory Services LLC now owns 13,196 shares of the medical device company’s stock worth $1,026,000 after purchasing an additional 150 shares during the period. Institutional investors and hedge funds own 97.75% of the company’s stock.

About DexCom

DexCom, Inc, a medical device company, focuses on the design, development, and commercialization of continuous glucose monitoring (CGM) systems in the United States and internationally. The company provides its systems for use by people with diabetes, as well as for use by healthcare providers. Its products include Dexcom G6 and Dexcom G7, integrated CGM systems for diabetes management; Dexcom Share, a remote monitoring system; Dexcom Real-Time API, which enables authorized third-party software developers to integrate real-time CGM data into their digital health apps and devices; and Dexcom ONE, that is designed to replace finger stick blood glucose testing for diabetes treatment decisions.