DexCom, Inc. logo DXCM - DexCom, Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
1
BUY 41
HOLD 8
SELL 2
STRONG
SELL
0
| PRICE TARGET: $84.18 DETAILS
HIGH: $96.00
LOW: $64.00
MEDIAN: $86.00
CONSENSUS: $84.18
UPSIDE: 12.46%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Platform & Compounding FCF 85% confidence

Primary model: Two-stage FCF DCF

Valuation Signal Fair Value Moderate
Trading 16.0% below fair value
Current Price $74.85
Bear Case $51.74 30.9% downside ($51.74 - $74.85) / $74.85 = -30.9% 11% stage 1 growth, 12% discount
Fair Value $89.14 19.1% upside ($89.14 - $74.85) / $74.85 = 19.1% 19% stage 1 growth, 12% discount
Bull Case $134.69 80.0% upside ($134.69 - $74.85) / $74.85 = 80.0% 25% stage 1 growth, 12% discount

Adjust Assumptions

19.0%
12.0%
3.0%

Key Value Driver

FCF growth rate (19% base case)

Terminal Value % of EV 41%
Implied Market Multiple 29.5x
Market is pricing in (growth) 16.2% vs our 19.0% base

Plain-Language Summary

Our base-case estimate uses a two-stage discounted cash flow model based on free cash flow. We then blend that result with the average analyst price target of $84.18 from 52 analysts, using a 35% weight on analyst consensus. That produces an estimated intrinsic value of $89.14 per share.

Key Risks

  • P/E alone misleads — earnings depressed by growth investment
  • Cyclical or commodity businesses may be misclassified as platforms
  • Terminal value dominance suggests sensitivity to long-run assumptions