DexCom price target lowered to $75 from $100 at Piper Sandler

Piper Sandler analyst Matt O’Brien lowered the firm’s price target on DexCom (DXCM) to $75 from $100 and keeps an Overweight rating on the shares. The firm notes the company reported Q3 results, which beat across the board. However, the guidance for the end of the year implies a deceleration on a stack basis, and the lack of a “record new patient” quarter, along with a weak gross margin, will likely stoke the bear thesis that quality issues are impacting DexCom’s business and will continue in the future, Piper adds. The firm disagrees as DexCom still added a lot of patients, the complaint rates on most G7 metrics are falling, and retention rates are generally steady. Consequently, Piper does not believe the wheels are falling off here, and the setup for 2026 is favorable.