DEXCOM INC (DXCM) Stock Fundamental Analysis
USA - NASDAQ:DXCM - US2521311074 - Common Stock
58.06 USD
-1.66 (-2.78%)
57.75 USD
-0.31 (-0.53%)
DXCM gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 189 industry peers in the Health Care Equipment & Supplies industry. DXCM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. DXCM is not priced too expensively while it is growing strongly. Keep and eye on this one! This makes DXCM very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year DXCM was profitable.
DXCM had a positive operating cash flow in the past year.
In the past 5 years DXCM has always been profitable.
Each year in the past 5 years DXCM had a positive operating cash flow.
1.2 Ratios
DXCM has a Return On Assets of 9.61%. This is amongst the best in the industry. DXCM outperforms 92.06% of its industry peers.
DXCM's Return On Equity of 26.44% is amongst the best of the industry. DXCM outperforms 96.30% of its industry peers.
With an excellent Return On Invested Capital value of 15.72%, DXCM belongs to the best of the industry, outperforming 95.24% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for DXCM is above the industry average of 8.99%.
The last Return On Invested Capital (15.72%) for DXCM is above the 3 year average (11.25%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.61% | ||
| ROE | 26.44% | ||
| ROIC | 15.72% |
ROA(3y)7.95%
ROA(5y)8.21%
ROE(3y)23.2%
ROE(5y)22.06%
ROIC(3y)11.25%
ROIC(5y)9.23%
1.3 Margins
DXCM's Profit Margin of 15.96% is amongst the best of the industry. DXCM outperforms 91.53% of its industry peers.
In the last couple of years the Profit Margin of DXCM has grown nicely.
DXCM's Operating Margin of 18.41% is amongst the best of the industry. DXCM outperforms 89.42% of its industry peers.
In the last couple of years the Operating Margin of DXCM has grown nicely.
Looking at the Gross Margin, with a value of 60.20%, DXCM is in the better half of the industry, outperforming 60.32% of the companies in the same industry.
DXCM's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.41% | ||
| PM (TTM) | 15.96% | ||
| GM | 60.2% |
OM growth 3Y10.52%
OM growth 5Y8.87%
PM growth 3Y17.27%
PM growth 5Y15.84%
GM growth 3Y-3.98%
GM growth 5Y-0.72%
2. Health
2.1 Basic Checks
DXCM has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, DXCM has more shares outstanding
The number of shares outstanding for DXCM has been increased compared to 5 years ago.
Compared to 1 year ago, DXCM has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.62 indicates that DXCM is not in any danger for bankruptcy at the moment.
DXCM's Altman-Z score of 4.62 is fine compared to the rest of the industry. DXCM outperforms 77.25% of its industry peers.
The Debt to FCF ratio of DXCM is 2.36, which is a good value as it means it would take DXCM, 2.36 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of DXCM (2.36) is better than 86.77% of its industry peers.
DXCM has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of DXCM (0.47) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.36 | ||
| Altman-Z | 4.62 |
ROIC/WACC1.98
WACC7.95%
2.3 Liquidity
A Current Ratio of 1.56 indicates that DXCM should not have too much problems paying its short term obligations.
DXCM has a Current ratio of 1.56. This is in the lower half of the industry: DXCM underperforms 71.96% of its industry peers.
DXCM has a Quick Ratio of 1.38. This is a normal value and indicates that DXCM is financially healthy and should not expect problems in meeting its short term obligations.
DXCM's Quick ratio of 1.38 is on the low side compared to the rest of the industry. DXCM is outperformed by 62.43% of its industry peers.
DXCM does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.41% over the past year.
The Earnings Per Share has been growing by 29.25% on average over the past years. This is a very strong growth
The Revenue has grown by 14.21% in the past year. This is quite good.
DXCM shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 22.27% yearly.
EPS 1Y (TTM)9.41%
EPS 3Y35.38%
EPS 5Y29.25%
EPS Q2Q%35.56%
Revenue 1Y (TTM)14.21%
Revenue growth 3Y18.1%
Revenue growth 5Y22.27%
Sales Q2Q%21.64%
3.2 Future
Based on estimates for the next years, DXCM will show a very strong growth in Earnings Per Share. The EPS will grow by 22.40% on average per year.
The Revenue is expected to grow by 13.43% on average over the next years. This is quite good.
EPS Next Y27.59%
EPS Next 2Y24.04%
EPS Next 3Y22.49%
EPS Next 5Y22.4%
Revenue Next Year15.4%
Revenue Next 2Y14.3%
Revenue Next 3Y13.94%
Revenue Next 5Y13.43%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 31.22, DXCM can be considered very expensive at the moment.
Based on the Price/Earnings ratio, DXCM is valued a bit cheaper than the industry average as 71.43% of the companies are valued more expensively.
DXCM is valuated rather expensively when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 22.87, which indicates a rather expensive current valuation of DXCM.
Based on the Price/Forward Earnings ratio, DXCM is valued a bit cheaper than 75.13% of the companies in the same industry.
DXCM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.22 | ||
| Fwd PE | 22.87 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DXCM indicates a somewhat cheap valuation: DXCM is cheaper than 75.66% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DXCM indicates a rather cheap valuation: DXCM is cheaper than 84.13% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.44 | ||
| EV/EBITDA | 19.63 |
4.3 Compensation for Growth
DXCM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
DXCM has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as DXCM's earnings are expected to grow with 22.49% in the coming years.
PEG (NY)1.13
PEG (5Y)1.07
EPS Next 2Y24.04%
EPS Next 3Y22.49%
5. Dividend
5.1 Amount
No dividends for DXCM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
58.06
-1.66 (-2.78%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.73%
Inst Owner Change-1.58%
Ins Owners0.19%
Ins Owner Change1.79%
Market Cap22.77B
Revenue(TTM)4.52B
Net Income(TTM)720.70M
Analysts85
Price Target102.13 (75.9%)
Short Float %2.98%
Short Ratio2.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.05%
Min EPS beat(2)5.32%
Max EPS beat(2)6.77%
EPS beat(4)2
Avg EPS beat(4)-0.91%
Min EPS beat(4)-11.66%
Max EPS beat(4)6.77%
EPS beat(8)6
Avg EPS beat(8)4.61%
EPS beat(12)10
Avg EPS beat(12)13.69%
EPS beat(16)11
Avg EPS beat(16)6.53%
Revenue beat(2)2
Avg Revenue beat(2)0.74%
Min Revenue beat(2)0.61%
Max Revenue beat(2)0.88%
Revenue beat(4)2
Avg Revenue beat(4)0.02%
Min Revenue beat(4)-1.2%
Max Revenue beat(4)0.88%
Revenue beat(8)2
Avg Revenue beat(8)-0.92%
Revenue beat(12)5
Avg Revenue beat(12)-0.38%
Revenue beat(16)6
Avg Revenue beat(16)-0.58%
PT rev (1m)-2.27%
PT rev (3m)-3.18%
EPS NQ rev (1m)-4.78%
EPS NQ rev (3m)-4.98%
EPS NY rev (1m)0.59%
EPS NY rev (3m)1.67%
Revenue NQ rev (1m)-1.01%
Revenue NQ rev (3m)-0.78%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)0.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.22 | ||
| Fwd PE | 22.87 | ||
| P/S | 5.04 | ||
| P/FCF | 21.44 | ||
| P/OCF | 15.72 | ||
| P/B | 8.35 | ||
| P/tB | 8.68 | ||
| EV/EBITDA | 19.63 |
EPS(TTM)1.86
EY3.2%
EPS(NY)2.54
Fwd EY4.37%
FCF(TTM)2.71
FCFY4.66%
OCF(TTM)3.69
OCFY6.36%
SpS11.52
BVpS6.95
TBVpS6.69
PEG (NY)1.13
PEG (5Y)1.07
Graham Number17.06
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.61% | ||
| ROE | 26.44% | ||
| ROCE | 19.96% | ||
| ROIC | 15.72% | ||
| ROICexc | 77.75% | ||
| ROICexgc | 88.6% | ||
| OM | 18.41% | ||
| PM (TTM) | 15.96% | ||
| GM | 60.2% | ||
| FCFM | 23.51% |
ROA(3y)7.95%
ROA(5y)8.21%
ROE(3y)23.2%
ROE(5y)22.06%
ROIC(3y)11.25%
ROIC(5y)9.23%
ROICexc(3y)35.45%
ROICexc(5y)29.66%
ROICexgc(3y)40.94%
ROICexgc(5y)33.19%
ROCE(3y)14.28%
ROCE(5y)11.73%
ROICexgc growth 3Y55.18%
ROICexgc growth 5Y18.96%
ROICexc growth 3Y50.14%
ROICexc growth 5Y16.58%
OM growth 3Y10.52%
OM growth 5Y8.87%
PM growth 3Y17.27%
PM growth 5Y15.84%
GM growth 3Y-3.98%
GM growth 5Y-0.72%
F-Score5
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.36 | ||
| Debt/EBITDA | 1.2 | ||
| Cap/Depr | 158.02% | ||
| Cap/Sales | 8.55% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 134.63% | ||
| Profit Quality | 147.34% | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 4.62 |
F-Score5
WACC7.95%
ROIC/WACC1.98
Cap/Depr(3y)175.34%
Cap/Depr(5y)240.83%
Cap/Sales(3y)9.32%
Cap/Sales(5y)10.84%
Profit Quality(3y)97.76%
Profit Quality(5y)73.64%
High Growth Momentum
Growth
EPS 1Y (TTM)9.41%
EPS 3Y35.38%
EPS 5Y29.25%
EPS Q2Q%35.56%
EPS Next Y27.59%
EPS Next 2Y24.04%
EPS Next 3Y22.49%
EPS Next 5Y22.4%
Revenue 1Y (TTM)14.21%
Revenue growth 3Y18.1%
Revenue growth 5Y22.27%
Sales Q2Q%21.64%
Revenue Next Year15.4%
Revenue Next 2Y14.3%
Revenue Next 3Y13.94%
Revenue Next 5Y13.43%
EBIT growth 1Y28.95%
EBIT growth 3Y30.52%
EBIT growth 5Y33.11%
EBIT Next Year77.25%
EBIT Next 3Y38.83%
EBIT Next 5Y31.12%
FCF growth 1Y112.47%
FCF growth 3Y127.88%
FCF growth 5Y36.21%
OCF growth 1Y93.75%
OCF growth 3Y30.77%
OCF growth 5Y25.76%
DEXCOM INC / DXCM FAQ
Can you provide the ChartMill fundamental rating for DEXCOM INC?
ChartMill assigns a fundamental rating of 7 / 10 to DXCM.
What is the valuation status for DXCM stock?
ChartMill assigns a valuation rating of 6 / 10 to DEXCOM INC (DXCM). This can be considered as Fairly Valued.
Can you provide the profitability details for DEXCOM INC?
DEXCOM INC (DXCM) has a profitability rating of 9 / 10.
What are the PE and PB ratios of DEXCOM INC (DXCM) stock?
The Price/Earnings (PE) ratio for DEXCOM INC (DXCM) is 31.22 and the Price/Book (PB) ratio is 8.35.