- DexCom is one of the leaders in the diabetes care space with their continuous glucose monitoring device.
- Advanced technology and convenience of use have propelled their revenue growth upward over the past several years.
- Their high profit margin indicates an economic moat established through technological superiority and brand recognition.
- The financial strength of DexCom is top notch with high liquidity (current ratio at 4.98x).
- Despite their high growth, the valuation is too rich (104x) and it is hard to justify an entry at this point. I will watch and hold.
For further details see:
DexCom: Fast Growing Medical Device Company For Diabetes Care