DexCom Inc. (NASDAQ:DXCM) has a beta of 0.84, a 12-month trailing P/E ratio of 149.96, and a growth ratio of 5.57. The stock’s Relative Strength Index (RSI) is 58.58, with weekly volatility at 2.61% and ATR at 11.19. The DXCM stock’s 52-week price range has touched low of $182.07 and a $456.23 high. Its shares traded higher over the last trading session, gaining 2.05% on 12/29/20. The shares fell to a low of $352.37 before closing at $362.31. Intraday shares traded counted 1.0 million, which was 11.44% higher than its 30-day average trading volume of 1.13M. DXCM’s previous close was $355.02 while the outstanding shares total 95.80M.
Investors have identified the Diagnostics & Research company DexCom Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $34.89 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
DexCom Inc. (DXCM) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 3.24 billion total, with 506.4 million as their total liabilities.
DXCM were able to record 164.8 million as free cash flow during the Q3 2020 quarter of the year, this saw their quarterly net cash flow reduce by 227.4 million. In cash movements, the company had a total of 303.6 million as operating cash flow.
Potential earnings growth for DexCom Inc. (DXCM)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the Q3 2020 quarter of the year, DexCom Inc. recorded a total of 500.9 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 20.88% coming in sequential stages and their sales for the Q3 2020 quarter increasing by 9.8%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 160.5 million trying to sell their products during the last quarter, with the result yielding a gross income of 340.4 million. This allows shareholders to hold on to 95.80M with the recently reported earning now reading 0.75 cents per share. This is a figure that compared to analyst’s prediction for their Q3 2020 (0.94 cents a share).
Having a look at the company’s valuation, the company is expected to record 3.34 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on DXCM sounds very interesting.
Is the stock of DXCM attractive?
In related news, EVP Strategy and Corporate Dev, Pacelli Steven Robert sold 1,079 shares of the company’s stock in a transaction that recorded on Dec 23. The sale was performed at an average price of 359.85, for a total value of 388,276. As the sale deal closes, the EVP Chief Commercial Officer, DOUBLEDAY RICHARD now sold 1,110 shares of the company’s stock, valued at 399,516. Also, Director, AUGUSTINOS NICHOLAS sold 1,250 shares of the company’s stock in a deal that was recorded on Dec 16. The shares were price at an average price of 354.55 per share, with a total market value of 443,183. Following this completion of acquisition, the Director, Heller Bridgette P now holds 375 shares of the company’s stock, valued at 133,744. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.70%.
14 out of 21 analysts covering the stock have rated it a Buy, while 3 have maintained a Hold recommendation on DexCom Inc.. 1 analysts has assigned a Sell rating on the DXCM stock. The 12-month mean consensus price target for the company’s shares has been set at $459.00.