DexCom (DXCM - Free Report) closed the most recent trading day at $383.46, moving -1.68% from the previous trading session. This change lagged the S&P 500's daily gain of 0.05%. Elsewhere, the Dow gained 0.48%, while the tech-heavy Nasdaq lost 0.61%.
Heading into today, shares of the medical device company had lost 10.4% over the past month, lagging the Medical sector's loss of 1.9% and the S&P 500's loss of 0.52% in that time.
DXCM will be looking to display strength as it nears its next earnings release. On that day, DXCM is projected to report earnings of $0.64 per share, which would represent a year-over-year decline of 1.54%. Meanwhile, our latest consensus estimate is calling for revenue of $474.08 million, up 19.63% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.67 per share and revenue of $1.86 billion. These totals would mark changes of +45.11% and +26.23%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for DXCM. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.56% higher within the past month. DXCM is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, DXCM is currently trading at a Forward P/E ratio of 146.13. Its industry sports an average Forward P/E of 47.89, so we one might conclude that DXCM is trading at a premium comparatively.
We can also see that DXCM currently has a PEG ratio of 3.86. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Instruments industry currently had an average PEG ratio of 3.83 as of yesterday's close.
The Medical - Instruments industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 175, which puts it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow DXCM in the coming trading sessions, be sure to utilize Zacks.com.