DexCom Target of Unusually Large Options Trading (NASDAQ:DXCM)

DexCom, Inc. (NASDAQ:DXCM) saw unusually large options trading activity on Friday. Stock investors purchased 11,935 put options on the stock. This represents an increase of approximately 110% compared to the typical daily volume of 5,676 put options.

DexCom Stock Down 11.0%

DXCM stock opened at $67.45 on Friday. The firm’s fifty day simple moving average is $79.90 and its 200-day simple moving average is $78.26. The company has a market capitalization of $26.45 billion, a P/E ratio of 46.84, a price-to-earnings-growth ratio of 1.41 and a beta of 1.48. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.52 and a quick ratio of 1.35. DexCom has a 12 month low of $57.52 and a 12 month high of $93.25.

DexCom (NASDAQ:DXCM) last released its quarterly earnings data on Wednesday, July 30th. The medical device company reported $0.48 EPS for the quarter, beating the consensus estimate of $0.45 by $0.03. The business had revenue of $1.16 billion for the quarter, compared to the consensus estimate of $1.13 billion. DexCom had a net margin of 13.29% and a return on equity of 30.41%. The business’s revenue for the quarter was up 15.2% on a year-over-year basis. During the same period in the prior year, the firm earned $0.43 EPS. DexCom has set its FY 2025 guidance at EPS. As a group, equities research analysts forecast that DexCom will post 2.03 earnings per share for the current year.

Wall Street Analyst Weigh In

DXCM has been the topic of several recent research reports. Mizuho increased their price target on shares of DexCom from $95.00 to $100.00 and gave the stock an “outperform” rating in a research report on Wednesday, July 16th. William Blair upgraded shares of DexCom to a “strong-buy” rating in a research report on Thursday, July 31st. Wall Street Zen downgraded shares of DexCom from a “strong-buy” rating to a “buy” rating in a research report on Sunday, August 10th. Argus initiated coverage on shares of DexCom in a research note on Thursday, August 21st. They set a “buy” rating and a $100.00 target price for the company. Finally, Canaccord Genuity Group reaffirmed a “buy” rating and set a $106.00 target price on shares of DexCom in a research note on Friday, August 1st. Three investment analysts have rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and five have issued a Hold rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $99.89.

Insider Activity at DexCom

In related news, Director Kyle Malady sold 667 shares of the firm’s stock in a transaction that occurred on Friday, September 5th. The shares were sold at an average price of $80.86, for a total value of $53,933.62. Following the sale, the director owned 22,667 shares in the company, valued at approximately $1,832,853.62. This trade represents a 2.86% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, EVP Sadie Stern sold 1,466 shares of the firm’s stock in a transaction that occurred on Thursday, September 4th. The stock was sold at an average price of $80.00, for a total transaction of $117,280.00. Following the completion of the sale, the executive vice president owned 105,223 shares in the company, valued at $8,417,840. This represents a 1.37% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 8,315 shares of company stock worth $689,431. Company insiders own 0.32% of the company’s stock.

Institutional Trading of DexCom

Large investors have recently made changes to their positions in the business. Nuveen LLC acquired a new position in shares of DexCom in the 1st quarter valued at $554,893,000. Norges Bank acquired a new position in shares of DexCom in the 2nd quarter valued at $453,279,000. Groupama Asset Managment lifted its stake in shares of DexCom by 79,043.1% in the 2nd quarter. Groupama Asset Managment now owns 4,016,513 shares of the medical device company’s stock valued at $350,601,000 after purchasing an additional 4,011,438 shares during the period. Massachusetts Financial Services Co. MA lifted its stake in shares of DexCom by 106.8% in the 2nd quarter. Massachusetts Financial Services Co. MA now owns 6,605,687 shares of the medical device company’s stock valued at $576,610,000 after purchasing an additional 3,410,858 shares during the period. Finally, Jennison Associates LLC lifted its stake in shares of DexCom by 37.7% in the 1st quarter. Jennison Associates LLC now owns 10,523,246 shares of the medical device company’s stock valued at $718,632,000 after purchasing an additional 2,879,489 shares during the period. 97.75% of the stock is owned by hedge funds and other institutional investors.

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.