DexComNASDAQ: DXCM

Investors probably believed that with an exciting new product available, the company should have shown more significant growth.

On Thursday, DexCom, Inc. (DXCM) announced third-quarter results that exceeded expectations.

In the third quarter of 2024, DXCM's earnings and revenues exceeded expectations, driven by the worldwide increase in CGM usage, robust Sensor sales, and entry into new markets.

Since my last negative article, DexCom's stock has dropped by 35%, supporting my "Sell" recommendation, even though previous negative predictions were wrong when the stock had doubled and tripled. The Q3 results revealed only a 2% increase in revenue and a 26% fall in operating income, with U.S. revenue decreasing by 1.6% while international revenue grew by 11.8%. Growing competition from Medtronic and Abbott Laboratories, along with slower growth rates, raises worries about Dexcom's ability to keep its market position.

DexCom, Inc. (NASDAQ:DXCM) held its Q3 2024 earnings call on October 24, 2024, at 4:30 PM ET. Key participants included Sean Christensen, the VP of Finance and IR, Kevin Sayer, the President and CEO, and Jereme Sylvain, the CFO. The call was attended by various analysts from firms like UBS, Wells Fargo, and JPMorgan, among others.

The financial results for DexCom (DXCM) provide insight into the company's performance for the quarter that ended in September 2024. It may be helpful to compare some of its important metrics with Wall Street predictions and figures from the same period last year.

DexCom (DXCM) reported quarterly earnings of $0.45 per share, which is higher than the Zacks Consensus Estimate of $0.43 per share. This is a decrease compared to earnings of $0.50 per share from the same period last year.

Dexcom's stock dropped on Thursday after the company announced its third-quarter results, which exceeded expectations but indicated slow revenue growth. The revenue rose by 2% compared to $975 million from the same time last year, as stated in a report.

On Thursday, medical device company Dexcom exceeded Wall Street's expectations for its third-quarter revenue, thanks to strong demand for its continuous glucose monitors used by diabetes patients.