- Raymond James has lowered the price target of DexCom Inc (NASDAQ:DXCM) to $486 from $538, Outperform rating unchanged.
- The analyst Jayson Bedford says that 1Q revenue was modestly (~1%) higher than our expectation. Still, investors were likely expecting a bit more, particularly in the U.S., as international was the source of upside.
- The stock could be soft on this result, but we remain confident in the DXCM story.
- G7 remains one of the more important new product cycles in Med Tech in 2022, notes Bedford, which should make for a strong 2H22/2023.
- "We also believe the expansion of Dexcom ONE should also be additive to growth. There was little change to our estimates based on DXCM's above-average growth profile supported by a large, under-penetrated TAM.
- DexCom reported Q1 sales of $628.8 million, +25% Y/Y (+22% organic), beating the consensus of $623.36 million. There was no change to DXCM's 2022 guidance.
- EPS of $0.32 missed the consensus of $0.52.
- SVB Leerink maintains Outperform on DexCom, with the price target down to $500.
- Piper Sandler keeps Overweight but cuts the price target to $480.
- Also, Morgan Stanley maintains Equal-Weight with a price target lowered to $492.
- Price Action: DXCM shares are up 1.09% at $417.73 during the market session on the last check Friday.
