NASDAQ · Healthcare

DexCom, Inc.

DXCM · Medical Devices

$60.04

▼ -1.31 (-2.14%)

Data cached · refreshes every 10 min

Mr. Market is currently offering DexCom, Inc. at $60.04.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

Overall Grade

Defensive

Enterprising

Profitability A

Gross Profit Margin 60.1%

Operating Margin 19.6%

Net Income Margin 17.9%

Fin. Health A

Years to Pay Off Debt 1.7 yrs

Working Capital vs Long-Term Debt $650M

Working Capital $1.9B

Valuation F

Margin of Safety 0.0%

Price-to-Book 8.44x

Cash Flow C

Free Cash Flow $1.1B

CapEx % of Net Income 43.5%

Owner Earnings $1.5B

3/7

Graham Score

Speculative

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $23.2B

Enterprise Value $22.6B

P/E (TTM) 25.77

Dividend Yield N/A

Exchange NASDAQ

Key Margins

Gross Profit 60.1%

Operating Margin 19.6%

Net Margin 17.9%

Company Info

Sector Healthcare

Industry Medical Devices

Employees 11000

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering DexCom, Inc. at $60.04.

The business passes only 3 of 7 of Graham's defensive criteria — well below his required standard.

At $60.04, the stock trades at a 228% premium to its Graham Number of $18.29. Graham would consider this price speculative.

There is no margin of safety at the current price. Graham would advise patience and waiting for a better entry point.

Trading at 52.7x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies..

Conclusion: By Graham's standards, this stock is speculative at its current price. The intelligent investor would look elsewhere or wait.

About DexCom, Inc.

DexCom, Inc., a medical device company, focuses on the design, development, and commercialization of continuous glucose monitoring (CGM) systems for the management of diabetes and metabolic health in the United States and internationally. The company offers Dexcom G7 and G7 15 Day, an integrated continuous glucose monitoring system; Dexcom G6, a CGM system; Dexcom ONE+ to replace fingerstick blood glucose testing for diabetes treatment decisions; Stelo, a biosensor designed for adults with prediabetes and Type 2 diabetes who do not use insulin; Dexcom Share, a remote monitoring system; and Dexcom Follow application. It markets its products directly to endocrinologists, physicians, and diabetes educators. The company was incorporated in 1999 and is headquartered in San Diego, California.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022	2021
Gross Profit %	60.1% ▼	60.5%	63.2%	64.7%	N/A
Operating Margin %	19.6% ▲	14.9%	16.5%	13.4%	N/A
Net Income %	17.9% ▲	14.3%	14.9%	11.7%	N/A
Diluted EPS	2.09 ▲	1.42	1.30	0.82	N/A

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$6.3B	$6.5B	$6.3B	$5.4B	N/A
Total Debt	$1.4B ↓	$2.6B	$2.6B	$2.1B	N/A
Working Capital	$1.9B ▲	$1.4B	$2.9B	$1.8B	N/A
Years to Pay Debt	1.66	4.49	4.79	6.29	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$1.1B ▲	$631M	$512M	$305M	N/A
Owner Earnings	$1.5B	$1.2B	$964M	$862M	N/A
CapEx % of Net Income	43.5%	62.3%	43.7%	106.9%	N/A

Income Statement

	2025	2024	2023	2022	2021
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	1,358,500	945,700	916,700	565,300
Total Unusual Items			0	0	-100
Total Unusual Items Excluding Goodwill			0	0	-100
Net Income From Continuing Operation Net Minority Interest	836,300	576,200	541,500	341,200
Reconciled Depreciation	251,800	217,700	186,000	155,900
Reconciled Cost Of Revenue	1,860,100	1,594,800	1,333,400	1,026,700
EBITDA	1,358,500	945,700	916,700	565,300
EBIT	1,106,700	728,000	730,700	409,400
Net Interest Income	94,400	115,200	114,700	5,200
Interest Expense	18,300	19,000	20,300	18,600
Interest Income	112,700	134,200	135,000	23,800
Normalized Income	836,300	576,200	541,500	341,200
Net Income From Continuing And Discontinued Operation	836,300	576,200	541,500	341,200
Total Expenses	3,750,200	3,433,000	3,024,600	2,518,600
Total Operating Income As Reported	911,800	600,000	597,700	391,200
Diluted Average Shares	405,500	412,700	425,500	427,500
Basic Average Shares	390,200	393,600	386,000	389,400
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	847,300	587,700	554,100	352,200
Average Dilution Earnings	11,000	11,500	12,600	11,000
Net Income Common Stockholders	836,300	576,200	541,500	341,200
Net Income	836,300	576,200	541,500	341,200
Net Income Including Noncontrolling Interests	836,300	576,200	541,500	341,200
Net Income Continuous Operations	836,300	576,200	541,500	341,200
Tax Provision	252,100	132,800	168,900	49,600
Pretax Income	1,088,400	709,000	710,400	390,800
Other Income Expense	82,200	-6,200	-2,000	-5,600
Other Non Operating Income Expenses	4,100	-4,800	-3,900	-5,600
Special Income Charges			0	0	-100
Other Special Charges					100
Earnings From Equity Interest	78,100	-1,400	1,900	200
Net Non Operating Interest Income Expense	94,400	115,200	114,700	5,200
Interest Expense Non Operating	18,300	19,000	20,300	18,600
Interest Income Non Operating	112,700	134,200	135,000	23,800
Operating Income	911,800	600,000	597,700	391,200
Operating Expense	1,890,100	1,838,200	1,691,200	1,491,900
Depreciation Amortization Depletion Income Statement				7,500	3,700
Depreciation And Amortization In Income Statement				7,500	3,700
Amortization				7,500	3,700
Amortization Of Intangibles Income Statement				7,500	3,700
Research And Development	599,100	552,400	505,800	484,200
Selling General And Administration	1,291,000	1,285,800	1,185,400	1,007,700
Gross Profit	2,801,900	2,438,200	2,288,900	1,883,100
Cost Of Revenue	1,860,100	1,594,800	1,333,400	1,026,700
Total Revenue	4,662,000	4,033,000	3,622,300	2,909,800
Operating Revenue	4,662,000	4,033,000	3,622,300	2,909,800

Balance Sheet

	2025	2024	2023	2022	2021
Treasury Shares Number	25,900	18,200	21,800	6,900
Ordinary Shares Number	384,800	390,700	385,400	386,300
Share Issued	410,700	408,900	407,200	393,200
Net Debt	323,200	1,835,300	1,867,900	1,328,000
Total Debt	1,389,700	2,587,400	2,594,000	2,145,000
Tangible Book Value	2,651,000	1,976,400	1,908,900	1,932,800
Invested Capital	3,986,900	4,544,000	4,502,800	4,102,100
Working Capital	1,890,800	1,369,400	2,869,900	1,829,500
Net Tangible Assets	2,651,000	1,976,400	1,908,900	1,932,800
Capital Lease Obligations	148,800	146,000	159,800	174,700
Common Stock Equity	2,746,000	2,102,600	2,068,600	2,131,800
Total Capitalization	3,986,900	3,339,600	4,502,800	3,329,500
Total Equity Gross Minority Interest	2,746,000	2,102,600	2,068,600	2,131,800
Stockholders Equity	2,746,000	2,102,600	2,068,600	2,131,800
Gains Losses Not Affecting Retained Earnings	115,000	-8,000	-16,700	-11,600
Other Equity Adjustments	115,000	-8,000	-16,700	-11,600
Treasury Stock	2,084,800	1,581,200	2,451,100	595,000
Retained Earnings	2,433,900	1,597,600	1,021,400	479,900
Additional Paid In Capital	2,281,500	2,093,800	3,514,600	2,258,100
Capital Stock	400	400	400	400
Common Stock	400	400	400	400
Total Liabilities Net Minority Interest	3,593,900	4,381,900	4,195,900	3,259,900
Total Non Current Liabilities Net Minority Interest	1,451,400	1,449,900	2,639,900	1,420,600
Other Non Current Liabilities	16,100	27,600	5,200	5,900
Tradeand Other Payables Non Current	46,600	44,800	38,700	32,700
Non Current Deferred Liabilities		9,500	7,400	19,000	22,000
Non Current Deferred Revenue		9,500	7,400	19,000	16,100
Non Current Deferred Taxes Liabilities				4,900	5,900
Long Term Debt And Capital Lease Obligation	1,368,100	1,360,500	2,572,900	1,351,900
Long Term Capital Lease Obligation	127,200	123,500	138,700	154,200
Long Term Debt	1,240,900	1,237,000	2,434,200	1,197,700
Long Term Provisions	20,600	17,000	15,700	11,100
Current Liabilities	2,142,500	2,932,000	1,556,000	1,839,300
Other Current Liabilities					15,000
Current Deferred Liabilities	27,700	26,600	33,600	20,300
Current Deferred Revenue	7,700	8,000	18,400	10,100
Current Debt And Capital Lease Obligation	21,600	1,226,900	21,100	793,100
Current Capital Lease Obligation	21,600	22,500	21,100	20,500
Current Debt		1,204,400		772,600
Other Current Borrowings		1,204,400		772,600
Pensionand Other Post Retirement Benefit Plans Current	34,600	37,500	31,200	37,500
Payables And Accrued Expenses	2,058,600	1,641,000	1,470,100	988,400
Current Accrued Expenses	1,678,400	1,253,400	1,143,600	705,700
Payables	380,200	387,600	326,500	282,700
Total Tax Payable	35,900	42,300	50,100	44,800
Income Tax Payable	8,900	3,900	7,500	12,900
Accounts Payable	344,300	345,300	276,400	237,900
Total Assets	6,339,900	6,484,500	6,264,500	5,391,700
Total Non Current Assets	2,306,600	2,183,100	1,838,600	1,722,900
Other Non Current Assets	43,500	39,900	22,100	11,900
Non Current Prepaid Assets	17,200	13,800	14,400	16,200
Non Current Deferred Assets	295,600	481,200	419,400	341,200
Non Current Deferred Taxes Assets	295,600	481,200	419,400	341,200
Investments And Advances	218,000	119,300	38,500	19,000
Goodwill And Other Intangible Assets	95,000	126,200	159,700	199,000
Other Intangible Assets	70,800	103,400	134,500	173,300
Goodwill	24,200	22,800	25,200	25,700
Net PPE	1,637,300	1,402,700	1,184,500	1,135,600
Accumulated Depreciation	-858,800	-678,300	-509,400	-363,200
Gross PPE	2,496,100	2,081,000	1,693,900	1,498,800
Leases	302,100	293,800	283,400	264,400
Construction In Progress	593,500	354,600	328,100	542,600
Other Properties	77,400	62,800	71,400	80,000
Machinery Furniture Equipment	1,145,100	1,025,700	786,000	530,600
Buildings And Improvements	319,700	291,000	190,500	54,300
Land And Improvements	58,300	53,100	34,500	26,900
Current Assets	4,033,300	4,301,400	4,425,900	3,668,800
Other Current Assets	29,200	29,100	49,300	26,800
Current Deferred Assets	20,000	18,600	15,200	10,200
Prepaid Assets	66,400	87,500	90,200	116,700
Inventory	629,100	542,600	559,600	306,700
Finished Goods	266,500	187,400	210,100	130,500
Work In Process	105,000	28,100	30,000	17,200
Raw Materials	257,600	327,100	319,500	159,000
Receivables	1,289,900	1,044,200	987,500	752,200
Taxes Receivable	73,800	38,500	13,600	38,900
Accounts Receivable	1,216,100	1,005,700	973,900	713,300
Allowance For Doubtful Accounts Receivable	-12,500	-9,200	-9,300	-7,300
Gross Accounts Receivable	1,228,600	1,014,900	983,200	720,600
Other Short Term Investments	1,081,000	1,973,300	2,157,800	1,813,900
Cash And Cash Equivalents	917,700	606,100	566,300	642,300

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	1,077,200	630,700	511,900	304,700
Repurchase Of Capital Stock	-500,000	-750,000	-688,700	-557,700
Repayment Of Debt	-1,207,500	0	-787,300	0
Issuance Of Debt	0	0	1,230,600	0
Issuance Of Capital Stock	28,100	28,200	26,600	22,500
Capital Expenditure	-363,500	-358,800	-236,600	-364,800
Interest Paid Supplemental Data	11,400	11,400	12,400	12,200
Income Tax Paid Supplemental Data	94,400	198,000	212,300	114,200
End Cash Position	919,100	607,300	567,500	643,300
Beginning Cash Position	607,300	567,500	643,300	1,053,600
Effect Of Exchange Rate Changes	21,500	-7,400	1,500	-5,800
Changes In Cash	290,300	47,200	-77,300	-404,500
Financing Cash Flow	-1,686,400	-734,800	-318,600	-552,500
Cash Flow From Continuing Financing Activities	-1,686,400	-734,800	-318,600	-552,500
Net Other Financing Charges	-7,000	-13,000	-99,800	-17,300
Net Common Stock Issuance	-471,900	-721,800	-662,100	-535,200
Common Stock Payments	-500,000	-750,000	-688,700	-557,700
Common Stock Issuance	28,100	28,200	26,600	22,500
Net Issuance Payments Of Debt	-1,207,500	0	443,300	0
Net Long Term Debt Issuance	-1,207,500	0	443,300	0
Long Term Debt Payments	-1,207,500	0	-787,300	0
Long Term Debt Issuance	0	0	1,230,600	0
Investing Cash Flow	536,000	-207,500	-507,200	-521,500
Cash Flow From Continuing Investing Activities	536,000	-207,500	-507,200	-521,500
Net Other Investing Changes	600	-15,500	1,900	200
Net Investment Purchase And Sale	898,900	166,800	-272,500	-153,000
Sale Of Investment	2,164,700	2,824,400	2,947,400	2,127,800
Purchase Of Investment	-1,265,800	-2,657,600	-3,219,900	-2,280,800
Net Business Purchase And Sale		0	0	-3,900	-30,200
Purchase Of Business		0	0	-3,900	-30,200
Net PPE Purchase And Sale	-363,500	-358,800	-236,600	-364,800
Purchase Of PPE	-363,500	-358,800	-236,600	-364,800
Operating Cash Flow	1,440,700	989,500	748,500	669,500
Cash Flow From Continuing Operating Activities	1,440,700	989,500	748,500	669,500
Change In Working Capital	103,400	108,800	3,200	26,700
Change In Other Working Capital	-18,600	-14,500	-7,100	5,300
Change In Payables And Accrued Expense	402,400	151,700	503,700	303,600
Change In Accrued Expense	55,400	-60,000	37,200	8,500
Change In Payable	347,000	211,700	466,500	295,100
Change In Account Payable	347,000	211,700	466,500	295,100
Change In Prepaid Assets	-14,800	-5,800	19,300	-131,600
Change In Inventory	-63,700	12,400	-252,600	49,300
Change In Receivables	-201,900	-35,000	-260,100	-199,900
Changes In Account Receivables	-201,900	-35,000	-260,100	-199,900
Other Non Cash Items	-14,500	-41,200	-76,100	40,800
Stock Based Compensation	159,600	170,400	150,800	126,500
Unrealized Gain Loss On Investment Securities					-11,600
Deferred Tax	182,200	-43,800	-55,000	-21,600
Deferred Income Tax	182,200	-43,800	-55,000	-21,600
Depreciation Amortization Depletion	251,800	217,700	186,000	155,900
Depreciation And Amortization	251,800	217,700	186,000	155,900
Amortization Cash Flow	32,800	36,500	38,600	11,800
Amortization Of Intangibles	32,800	36,500	38,600	11,800
Depreciation	219,000	181,200	147,400	144,100
Operating Gains Losses	-78,100	1,400	-1,900	-200
Earnings Losses From Equity Investments	-78,100	1,400	-1,900
Gain Loss On Investment Securities			-1,900	-200	-11,600
Net Income From Continuing Operations	836,300	576,200	541,500	341,200

These metrics estimate what DexCom, Inc. is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$18.29

Margin of Safety

Market Cap ÷ Company Value

1.45

P/B Ratio

8.44

Warren's Owner Earnings

$1.5B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

3/7 — Speculative Investor

✅ Adequate Size

$4.7B

vs > $1.5B revenue

❌ Strong Financial Condition

1.88x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

❌ Dividend Record

No dividend

vs Uninterrupted dividends

✅ Earnings Growth

+154.9% EPS growth

vs > 33% EPS growth

❌ Moderate P/E Ratio

25.8x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

8.44x P/B (P/E×P/B: 217.4)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$1.14

Trading at 52.7x NCAV. Expected for most quality businesses — NCAV was designed to find depression-era bargains and rarely applies to modern profitable companies.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$26.26

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	43.5%	62.3%	43.7%	106.9%	N/A
Repurchase of Capital Stock	-$500M	-$750M	-$689M	-$558M	N/A
Free Cash Flow	$1.1B ▲	$631M ▲	$512M ▲	$305M •	N/A •
Warren's Owner Earnings	$1.5B	$1.2B	$964M	$862M	N/A

Peers & Industry Comparison

Medical Devices — Auto-detected peers

Company	Price	Market Cap	P/E	Gross Margin	Net Margin	Revenue
DXCM	$60.04	$23.2B	25.77	60.1%	17.9%	$4.7B
MDT Medtronic plc.	$78.47	$100.8B	21.9	65.2%	13.0%	$35.5B
ABT Abbott Laboratories	$87.44	$152.3B	24.5	56.5%	13.9%	$45.1B
SYK Stryker Corporation	$292.63	$112.1B	34.8	64.7%	13.2%	$25.3B
BSX Boston Scientific Corporation	$57.12	$84.9B	23.9	68.9%	17.3%	$20.6B
EW Edwards Lifesciences Corporatio	$83.29	$48.0B	45.0	77.9%	17.4%	$6.3B

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.28%

Low — management has little skin in the game

Return on Equity (ROE)

30.5%

Excellent — management generates strong returns on equity

Return on Assets (ROA)

13.2%

Strong — management uses assets efficiently

Share Buybacks (Latest Year)

$500M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-46.3% YoY

Debt is declining — management is deleveraging

Leadership Team

Kevin Ronald Sayer

Executive Chairman of the Board

Age 67

Pay: $2,428,875

0.290% of net income

Jacob Steven Leach

President, CEO & Director

Age 47

Pay: $2,049,898

0.245% of net income

Jereme Sylvain CPA

Executive VP, CFO & Chief Accounting Officer

Age 45

Pay: $1,141,840

0.137% of net income

Sean Christensen

Vice President of Finance and Investor Relations

Matthew Dolan

Executive Vice President of Strategy & Corporate Development

Age 44

Top Institutional Holders

Institution	% Owned	Shares
Vanguard Group Inc	12.72%	49,074,378
Blackrock Inc.	10.33%	39,848,377
State Street Corporation	4.69%	18,093,554
BAILLIE GIFFORD & CO	4.03%	15,552,587
Geode Capital Management, LLC	2.85%	11,006,183
Alliancebernstein L.P.	2.23%	8,624,132
UBS AM, a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC	2.07%	7,999,057
NORGES BANK	1.89%	7,282,743

Risk Analysis

Short Interest

4.5% of float

Low short interest — market is not heavily bearish

Debt-to-Equity

0.45x

Conservative balance sheet — low financial risk

Current Ratio

1.95x

Adequate liquidity

52-Week Price Range

Low: $54.11 Current: $60.04 High: $89.98

Currently at 17% of 52-week range

360investing