DexCom Inc. (NASDAQ:DXCM) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued on Thursday.
According to Zacks, “DexCom Inc.’s margins would continue to be come under pressure in the coming quarters owing to high product development costs and rising expenditures on research & development along with marketing. Specifically, the company is expected to lose a few margins on transmitter sales in spite of the cost reduction initiatives (which are expected to be effective only by the second half of 2017). Additionally, cutthroat competition in the market for blood glucose monitoring devices is a major headwind. Entry of additional products in this market would also make it challenging for DexCom to protect or grow its market share. In fact DexCom might face supply constraints in the near-term with an increasing demand for its offerings. This is because the company relies highly on third parties for an assured steady supply of inputs.”
A number of other analysts have also issued reports on DXCM. Canaccord Genuity reissued a “buy” rating and issued a $95.00 price target on shares of DexCom in a research note on Wednesday, July 13th. Jefferies Group reissued a “buy” rating and issued a $98.00 price target (up from $90.00) on shares of DexCom in a research note on Friday, July 15th. Deutsche Bank AG raised their price target on DexCom from $90.00 to $98.00 and gave the stock a “buy” rating in a research note on Friday, July 15th. Piper Jaffray Cos. reissued an “overweight” rating and issued a $93.00 price target on shares of DexCom in a research note on Friday, July 15th. Finally, BTIG Research reaffirmed a “buy” rating and issued a $92.00 price objective on shares of DexCom in a research note on Tuesday, July 19th. Four investment analysts have rated the stock with a hold rating, twelve have assigned a buy rating and one has issued a strong buy rating to the stock. The company presently has an average rating of “Buy” and a consensus price target of $92.27.
Shares of DexCom (NASDAQ:DXCM) traded down 0.83% during mid-day trading on Thursday, reaching $62.41. 1,045,927 shares of the company’s stock were exchanged. The stock’s market cap is $5.24 billion. DexCom has a 52 week low of $47.92 and a 52 week high of $96.38. The stock has a 50 day moving average price of $84.60 and a 200 day moving average price of $79.70.
In related news, insider Terrance H. Gregg sold 35,000 shares of the business’s stock in a transaction that occurred on Friday, August 5th. The stock was sold at an average price of $79.81, for a total transaction of $2,793,350.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Steven Robert Pacelli sold 10,300 shares of the business’s stock in a transaction on Monday, October 24th. The stock was sold at an average price of $81.95, for a total value of $844,085.00. The disclosure for this sale can be found here. Corporate insiders own 2.80% of the company’s stock.
A number of hedge funds and other institutional investors have recently made changes to their positions in DXCM. Wellington Management Group LLP raised its position in shares of DexCom by 227.1% in the first quarter. Wellington Management Group LLP now owns 5,747,553 shares of the medical device company’s stock worth $390,316,000 after buying an additional 3,990,578 shares during the period. FMR LLC raised its position in shares of DexCom by 59.3% in the second quarter. FMR LLC now owns 8,161,390 shares of the medical device company’s stock worth $647,443,000 after buying an additional 3,036,821 shares during the period. Janus Capital Management LLC raised its position in shares of DexCom by 1,808.4% in the second quarter. Janus Capital Management LLC now owns 1,725,218 shares of the medical device company’s stock worth $136,860,000 after buying an additional 1,634,818 shares during the period. Waddell & Reed Financial Inc. raised its position in shares of DexCom by 91.6% in the second quarter. Waddell & Reed Financial Inc. now owns 2,175,574 shares of the medical device company’s stock worth $172,589,000 after buying an additional 1,040,279 shares during the period. Finally, Artisan Partners Limited Partnership raised its position in shares of DexCom by 22.0% in the second quarter. Artisan Partners Limited Partnership now owns 5,591,101 shares of the medical device company’s stock worth $443,542,000 after buying an additional 1,008,260 shares during the period. Institutional investors own 99.35% of the company’s stock.
Dexcom, Inc (Dexcom) is a medical device company. The Company is focused on the design, development and commercialization of continuous glucose monitoring systems for ambulatory use by people with diabetes and for use by healthcare providers for the treatment of people with and without diabetes. Its products include SEVEN PLUS, DexCom G4, DexCom G4 PLATINUM, DexCom Share System and DexCom G5 Mobile.
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