DexCom focuses on the design, development, and commercialization of continuous glucose monitoring systems for patients with diabetes. The company was founded in 1999 and is based in San Diego, California.
DXCM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for DXCM, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Dexcom Inc ranked in the 45th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for DXCM, they are:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 96. Its equity weight surpasses that of 74.34% of free cash flow generating stocks in the Healthcare sector.
The company's compound free cash flow growth rate over the past 5.42 years comes in at 0.85%; that's greater than 89% of US stocks we're applying DCF forecasting to.
The business' balance sheet reveals debt to be 4% of the company's capital (with equity being the remaining amount). Approximately merely 14.11% of US stocks with free cash flow have a lower reliance on debt in their capital structure.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Dexcom Inc? See AMED, MEDP, MCK, USPH, and HBIO.