DexCom (NASDAQ: DXCM) stock plummeted during intraday trading after the company reported weaker-than-expected second-quarter revenue and issued weak guidance.
Last week, DexCom released its financial results for the second quarter of 2024. The company reported adjusted earnings per share (EPS) of 43 cents, surpassing analyst estimates of 39 cents.
In addition, the glucose monitor maker reported quarterly revenue of $1.04 billion, falling short of the consensus estimate of $1.36 billion. Despite this miss, the revenue figure still represents a 15% year-over-year growth.
DexCom also issued revenue guidance for the third quarter and full fiscal year 2024. The company foresees third-quarter revenue to range between $975 million and $1 billion, below the analyst estimate of $1.15 billion. For the full fiscal year 2024, DexCom expects revenue between $4 billion and $4.05 billion, versus analyst estimates of $4.33 billion.
In its earnings report, DexCom highlighted several key developments from the second quarter, including securing coverage for Dexcom ONE in France for certain type 2 diabetes patients and launching its Direct-to-Watch service in the U.S. and other global markets.
CEO Kevin Sayer said the following about the results,
“While Dexcom advanced several key strategic initiatives in the second quarter, our execution did not meet our high standards.”
Sayer added,
“We are taking action to improve our execution and best position ourselves for continued long-term growth.”
Additionally, DexCom announced a $750 million stock buyback program to enhance shareholder value.
DexCom (NASDAQ: DXCM) Stock Movement
DXCM stock plunged 40.66% on Friday, closing at $64, marking a 42.68% decrease for the week. The trading volume was 53,914,128 shares, significantly higher than the average daily volume of 3.58 million.
DexCom DXCM DXCM shares DXCM stock DXCM stock news NASDAQ: DXCM
