• In January 2026, DexCom, Inc. issued preliminary unaudited results and guidance, projecting fourth-quarter 2025 revenue of about US$1.26 billion and full-year 2025 revenue of roughly US$4.66 billion, with 2026 revenue expected between US$5.16 billion and US$5.25 billion, supported by higher CGM sensor volumes, Stelo’s rollout, and international expansion.
• An important nuance is that this growth outlook comes shortly after a Class 1 recall of hundreds of thousands of G7 receivers, suggesting the company sees underlying demand and broader market opportunities as sufficient to support its revenue ambitions despite product-quality headwinds.
• With the company’s recent share price return mixed over the past week, we’ll explore how DexCom’s CGM-driven growth outlook shapes its investment narrative.

Outshine the giants: these 24 early-stage AI stocks could fund your retirement.

What Is DexCom's Investment Narrative?

To own DexCom, you have to believe in continuous glucose monitoring as a long-term standard of care and in the company’s ability to keep converting that medical need into recurring sensor revenue. The latest preliminary guidance for 2025 and 2026 reinforces that story, pointing to higher sensor volumes, the Stelo rollout and international expansion as near-term growth levers, even as the share price has lagged over one and five years. At the same time, the recent Class 1 recall of G7 receivers and the upcoming CEO transition put more focus on execution risk than earlier analyses captured. So far, the upbeat revenue outlook and modest share price recovery suggest the recall is not viewed as a thesis-breaker, but it does raise the bar for product reliability and regulatory scrutiny in the months ahead.

DexCom's shares are on the way up, but they could be overextended by 42%. Uncover the fair value now.

Exploring Other Perspectives

Six Simply Wall St Community fair value views span roughly US$51.32 to US$97.26, reflecting very different expectations for DexCom’s growth and risk, especially around product quality and leadership change.

Explore 6 other fair value estimates on DexCom - why the stock might be worth as much as 33% more than the current price!

Build Your Own DexCom Narrative

Disagree with this assessment? Create your own narrative in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your DexCom research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free DexCom research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate DexCom's overall financial health at a glance.

Looking For Alternative Opportunities?

Don't miss your shot at the next 10-bagger. Our latest stock picks just dropped:

• We've found 13 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free.
• Uncover the next big thing with financially sound penny stocks that balance risk and reward.
• This technology could replace computers: discover 23 stocks that are working to make quantum computing a reality.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.