We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
DexCom (DXCM) Incurs Wider Loss in Q3, Beats on Revenue
Read MoreHide Full Article
DexCom Inc. (DXCM - Free Report) reported loss of 22 cents per share in the third quarter of 2016, much wider than the Zacks Consensus Estimate of a loss of 14 cents. DexCom had reported a loss of 7 cents in the year-ago quarter. Revenues surged 4.1% year over year to $148.6 million, beating the Zacks Consensus Estimate of $147.0 million.
In the reported quarter, cost of sales increased to $47.5 compared to $30.5 million for the same quarter in 2015. This was primarily due to an increase in sales volume.
Research and development expense decreased by $20.9 million from the year-ago quarter to $43.9 million. The decrease in research and development expense was primarily due to the absence of a non-cash charge related to Verily Collaboration Agreement incurred during the third quarter of 2015. This was partially offset by additional payroll costs and additional non-cash share-based compensation during the third quarter of 2016.
Selling, general and administrative expense increased by $23.4 million from the third quarter of 2015 to $75.7 million. The increase primarily was due to additional payroll, marketing cum consulting costs, and non-cash share-based compensation.
In the reported quarter, gross profit totaled $101.1 million compared with $74.7 million in the comparable quarter of 2015. GAAP net loss was $18.8 million for the third quarter of 2016 compared with GAAP net loss of $42.5 million in the year-ago quarter.
Financial Condition
As of Sep 30, 2016, DexCom had $127.3 million in cash, cash equivalents and short-term marketable securities versus $115.2 million as of Dec 31, 2015.
DexCom currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the broader medical space include Anika Therapeutics Inc. (ANIK - Free Report) , Cambrex Corporation and IDEXX Laboratories, Inc. (IDXX - Free Report) .
Anika Therapeutics represents a strong long-term expected growth rate of 15.00%. Notably, the company has a positive one-year return of almost 3%.
Cambrex Corporation has a positive one-year return of 4.8%. The company also has a promising long-term expected growth rate of 15.00%.
IDEXX Laboratories represents a promising one-year return of 56.4%. The company has a long-term expected growth rate of almost 14.96%.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 ""Strong Buy"" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 ""Strong Sells"" and other private research. See these stocks free >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
DexCom (DXCM) Incurs Wider Loss in Q3, Beats on Revenue
DexCom Inc. (DXCM - Free Report) reported loss of 22 cents per share in the third quarter of 2016, much wider than the Zacks Consensus Estimate of a loss of 14 cents. DexCom had reported a loss of 7 cents in the year-ago quarter.
Revenues surged 4.1% year over year to $148.6 million, beating the Zacks Consensus Estimate of $147.0 million.
Operational Details
In the reported quarter, cost of sales increased to $47.5 compared to $30.5 million for the same quarter in 2015. This was primarily due to an increase in sales volume.
Research and development expense decreased by $20.9 million from the year-ago quarter to $43.9 million. The decrease in research and development expense was primarily due to the absence of a non-cash charge related to Verily Collaboration Agreement incurred during the third quarter of 2015. This was partially offset by additional payroll costs and additional non-cash share-based compensation during the third quarter of 2016.
Selling, general and administrative expense increased by $23.4 million from the third quarter of 2015 to $75.7 million. The increase primarily was due to additional payroll, marketing cum consulting costs, and non-cash share-based compensation.
In the reported quarter, gross profit totaled $101.1 million compared with $74.7 million in the comparable quarter of 2015. GAAP net loss was $18.8 million for the third quarter of 2016 compared with GAAP net loss of $42.5 million in the year-ago quarter.
Financial Condition
As of Sep 30, 2016, DexCom had $127.3 million in cash, cash equivalents and short-term marketable securities versus $115.2 million as of Dec 31, 2015.
DEXCOM INC Price, Consensus and EPS Surprise
DEXCOM INC Price, Consensus and EPS Surprise | DEXCOM INC Quote
Zacks Rank & Key Picks
DexCom currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the broader medical space include Anika Therapeutics Inc. (ANIK - Free Report) , Cambrex Corporation and IDEXX Laboratories, Inc. (IDXX - Free Report) .
Notably, all the companies sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Anika Therapeutics represents a strong long-term expected growth rate of 15.00%. Notably, the company has a positive one-year return of almost 3%.
Cambrex Corporation has a positive one-year return of 4.8%. The company also has a promising long-term expected growth rate of 15.00%.
IDEXX Laboratories represents a promising one-year return of 56.4%. The company has a long-term expected growth rate of almost 14.96%.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 ""Strong Buy"" stocks – absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 ""Strong Sells"" and other private research. See these stocks free >>