Analyst Josh Jennings of TD Cowen maintained a Buy rating on Dexcom, reducing the price target to $84.00.
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Josh Jennings has given his Buy rating due to a combination of factors that highlight Dexcom’s strong performance and future potential. The company reported impressive Q3 sales of $1.21 billion, surpassing the consensus estimate of $1.18 billion, with notable growth both in the U.S. and internationally. This growth was driven by the increasing momentum in type 2 diabetes coverage and the successful launch of new products like Stelo, which has already achieved over $100 million in sales.
Despite some challenges with margins, Dexcom’s financial health remains robust, with a significant cash position and plans to manage its convertible debt effectively. The company’s efforts to stabilize supply and improve manufacturing efficiency are on track, and it is poised for further growth with upcoming product launches. These factors, combined with the raised revenue guidance for 2025, underpin Jennings’s confidence in recommending a Buy rating for Dexcom.
In another report released on October 21, Stifel Nicolaus also initiated coverage with a Buy rating on the stock with a $85.00 price target.
Based on the recent corporate insider activity of 65 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of DXCM in relation to earlier this year.