DexCom (NASDAQ:DXCM) Shares Gap Down – Time to Sell?

DexCom, Inc. (NASDAQ:DXCM)’s stock price gapped down before the market opened on Thursday . The stock had previously closed at $68.73, but opened at $67.00. DexCom shares last traded at $67.92, with a volume of 509,189 shares changing hands.

Wall Street Analysts Forecast Growth

DXCM has been the subject of several analyst reports. Cfra Research raised shares of DexCom to a “hold” rating in a research note on Friday, March 21st. Canaccord Genuity Group boosted their price objective on DexCom from $99.00 to $103.00 and gave the company a “buy” rating in a report on Friday, February 14th. Redburn Atlantic upgraded DexCom from a “neutral” rating to a “buy” rating and increased their target price for the stock from $85.00 to $115.00 in a research note on Monday, February 3rd. Robert W. Baird upgraded shares of DexCom from a “neutral” rating to an “outperform” rating and upped their price target for the stock from $86.00 to $104.00 in a report on Thursday, January 16th. Finally, Baird R W upgraded shares of DexCom from a “hold” rating to a “strong-buy” rating in a report on Thursday, January 16th. Five investment analysts have rated the stock with a hold rating, thirteen have given a buy rating and three have issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, DexCom has a consensus rating of “Moderate Buy” and a consensus target price of $99.00.

DexCom Price Performance

The company has a market cap of $26.74 billion, a PE ratio of 47.78, a PEG ratio of 2.30 and a beta of 1.50. 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 stock’s 50-day moving average is $75.73 and its 200 day moving average is $76.58.

DexCom (NASDAQ:DXCM) last posted its quarterly earnings data 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, equities analysts anticipate that DexCom, Inc. will post 2.03 earnings per share for the current fiscal year.

Insider Transactions at DexCom

In related news, COO Jacob Steven Leach sold 2,634 shares of the firm’s stock in a transaction on Wednesday, January 29th. The stock was sold at an average price of $86.91, for a total value of $228,920.94. Following the completion of the transaction, the chief operating officer now owns 268,644 shares in the company, valued at $23,347,850.04. This trade represents a 0.97 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Kevin R. Sayer sold 33,359 shares of DexCom 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 $2,899,230.69. Following the sale, the chief executive officer now 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. Over the last 90 days, insiders have sold 105,009 shares of company stock worth $8,044,178. Insiders own 0.32% of the company’s stock.

Institutional Trading of DexCom

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Geode Capital Management LLC grew its position in shares of DexCom by 0.6% during the 4th quarter. Geode Capital Management LLC now owns 9,993,698 shares of the medical device company’s stock valued at $775,256,000 after acquiring an additional 56,094 shares during the period. Jennison Associates LLC raised its stake in shares of DexCom by 10.3% during the 4th quarter. Jennison Associates LLC now owns 7,643,757 shares of the medical device company’s stock worth $594,455,000 after buying an additional 710,858 shares during the period. Norges Bank purchased a new position in shares of DexCom during the 4th quarter valued at approximately $385,367,000. Northern Trust Corp grew its stake in DexCom by 22.2% in the 4th quarter. Northern Trust Corp now owns 4,146,249 shares of the medical device company’s stock valued at $322,454,000 after acquiring an additional 753,857 shares during the period. Finally, Charles Schwab Investment Management Inc. raised its position in DexCom by 3.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 2,825,206 shares of the medical device company’s stock worth $219,716,000 after acquiring an additional 91,051 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.