Common Stock Valuation Ratios (Price Multiples)
Quarterly Data
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Historical Valuation Ratios (Summary)
DexCom Inc., historical price multiples (quarterly data)
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
- Price to Earnings (P/E) Ratio
- The P/E ratio data begins from March 31, 2020, showing a high valuation above 150 initially, peaking near 228.49. It demonstrates a declining trend through 2020 into early 2021, dropping to a range near 79-104. However, a marked increase occurred in early 2022, reaching a new peak at 255.37, before declining gradually throughout 2022 and 2023 to around 83.11 by September 30, 2023. This suggests fluctuating investor expectations regarding earnings growth, with notable volatility in valuation multiples particularly in 2022.
- Price to Operating Profit (P/OP) Ratio
- The P/OP ratio follows a somewhat similar pattern to the P/E ratio but with less volatility. Starting from over 160 in early 2020, it trends downward to approximately 123 by the end of 2020. During 2021, it remains in the range of 127 to 150, before slightly declining towards mid-2022. From mid-2022 through 2023, the ratio steadily declines, reaching a low of 61.89 by September 2023. This indicates improving operating profit valuation relative to stock price, suggesting enhanced operating performance or revaluation by the market.
- Price to Sales (P/S) Ratio
- The P/S ratio starts at 9.58 in March 2019 and rises sharply to a peak of 23.31 in mid-2020. Subsequently, it fluctuates mostly between 14 and 23 until early 2022, reflecting high market valuations relative to sales. During 2022 and into 2023, the ratio generally declines, falling to 9.21 by September 2023, which is near the initial 2019 level. The downward trend implies either stock price depreciation, increased sales, or both, moderating the valuation premium over time.
- Price to Book Value (P/BV) Ratio
- The P/BV ratio begins at 16.16 in March 2019 and escalates to nearly 31 by March 2020, indicating heightened valuation relative to book equity during this period. It then decreases steadily through 2020, reaching approximately 21.6 at the year's end. Throughout 2021, the ratio fluctuates but shows an overall decline, dipping to around 17.55 by March 2022. A slight increase occurs in late 2022 and early 2023, followed by a decreasing trend to 13.82 by September 2023. The overall pattern suggests a normalization of the market's valuation relative to net assets, with a notable contraction in premium over the full period analyzed.
Price to Earnings (P/E)
DexCom Inc., historical P/E calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 386,373,935 | 387,871,796 | 387,635,623 | 386,413,690 | 386,258,125 | 392,581,776 | 392,503,732 | 388,262,536 | 387,688,136 | 386,995,604 | 386,823,492 | 384,709,452 | 384,110,412 | 382,968,828 | 369,379,512 | 366,376,568 | 366,114,352 | 364,743,956 | 364,201,620 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Net income (loss) (in thousands) | 120,700) | 115,900) | 48,600) | 91,800) | 101,200) | 50,900) | 97,300) | (19,400) | 70,900) | 62,900) | 40,300) | 355,200) | 72,200) | 46,300) | 19,900) | 92,700) | 45,800) | (10,500) | (26,900) | ||||||
| Earnings per share (EPS)2 | 0.98 | 0.92 | 0.75 | 0.88 | 0.60 | 0.51 | 0.54 | 0.40 | 1.37 | 1.37 | 1.33 | 1.28 | 0.60 | 0.53 | 0.40 | 0.28 | -0.47 | -0.47 | -0.36 | ||||||
| Share price1, 3 | 81.09 | 129.36 | 123.58 | 107.24 | 101.25 | 86.99 | 103.31 | 101.75 | 142.58 | 114.01 | 105.43 | 102.55 | 95.16 | 104.45 | 78.38 | 63.05 | 38.28 | 39.22 | 29.66 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/E ratio4 | 83.11 | 140.35 | 163.77 | 121.45 | 170.04 | 171.01 | 191.54 | 255.37 | 104.43 | 83.15 | 79.34 | 79.93 | 158.17 | 195.41 | 195.75 | 228.49 | — | — | — | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/E Ratio, Competitors5 | |||||||||||||||||||||||||
| Abbott Laboratories | 31.95 | 36.16 | 33.21 | 26.76 | 21.95 | 22.24 | 25.48 | 29.13 | 31.42 | 33.80 | 36.79 | — | — | — | — | — | — | — | — | ||||||
| Elevance Health Inc. | 18.14 | 17.03 | 17.46 | 19.20 | 18.75 | 18.07 | 20.46 | 18.13 | 18.65 | 22.10 | 19.99 | — | — | — | — | — | — | — | — | ||||||
| Intuitive Surgical Inc. | 61.96 | 79.78 | 79.43 | 64.99 | 56.03 | 52.74 | 55.10 | 59.94 | 71.86 | 69.15 | 89.95 | — | — | — | — | — | — | — | — | ||||||
| Medtronic PLC | 26.88 | 24.40 | 22.61 | 23.38 | 29.39 | 30.66 | 46.71 | 46.56 | 55.13 | 42.80 | 32.34 | — | — | — | — | — | — | — | — | ||||||
| UnitedHealth Group Inc. | 22.75 | 22.15 | 22.01 | 22.46 | 26.13 | 27.70 | 27.29 | 26.03 | 27.92 | 27.41 | 23.06 | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
EPS
= (Net income (loss)Q3 2023
+ Net income (loss)Q2 2023
+ Net income (loss)Q1 2023
+ Net income (loss)Q4 2022)
÷ No. shares of common stock outstanding
= (120,700,000 + 115,900,000 + 48,600,000 + 91,800,000)
÷ 386,373,935 = 0.98
3 Closing price as at the filing date of DexCom Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/E ratio = Share price ÷ EPS
= 81.09 ÷ 0.98 = 83.11
5 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several key trends and patterns related to share price, earnings per share (EPS), and price-to-earnings (P/E) ratio over the observed periods.
- Share Price Trends
- The share price exhibited a generally upward trajectory from early 2019 through mid-2021. Initially priced at $29.66 in March 2019, it increased significantly, peaking at $142.58 in September 2021. Following this peak, there was a notable decline towards the end of 2022 and the beginning of 2023, with the price dropping to $81.09 by September 2023. This represents a substantial retracement from the high levels achieved approximately two years earlier.
- Earnings per Share (EPS) Trends
- The EPS started from negative values in early 2019, indicating losses, with figures of -$0.36 to -$0.47 in the first three quarters. A turning point occurred in December 2019, when EPS became positive and rose steadily through 2020 and 2021, peaking at approximately $1.37 from mid-2020 to late 2021. After this plateau, EPS experienced some decreases in late 2021, followed by gradual increases through 2022 and 2023, reaching $0.98 by the most recent quarter. Overall, the progression from negative to positive EPS suggests improved profitability over the period.
- Price-to-Earnings (P/E) Ratio Trends
- The P/E ratio values, starting from March 2020, were quite elevated, indicating high market expectations relative to earnings. The ratio peaked sharply at 255.37 in March 2022, reflecting extremely high valuation relative to earnings at that time. This was followed by a general downward trend throughout 2022 and 2023, with the P/E ratio declining to 83.11 by September 2023. This decline suggests either a correction in share price relative to earnings or improving earnings stabilizing valuations.
- Interrelations and Insights
- The data suggests a correlation where increases in EPS generally supported rising share prices through mid-2021. However, despite fluctuations in EPS, the share price declined significantly during 2022-2023, possibly influenced by broader market or sector-specific factors. The exceedingly high P/E ratios during early 2022 imply that the market had lofty growth expectations which were later tempered. The reduction in P/E ratio alongside stabilizing or modestly increasing EPS in recent quarters points to a potential revaluation phase, where the share price is becoming more aligned with fundamental earnings.
Price to Operating Profit (P/OP)
DexCom Inc., historical P/OP calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 386,373,935 | 387,871,796 | 387,635,623 | 386,413,690 | 386,258,125 | 392,581,776 | 392,503,732 | 388,262,536 | 387,688,136 | 386,995,604 | 386,823,492 | 384,709,452 | 384,110,412 | 382,968,828 | 369,379,512 | 366,376,568 | 366,114,352 | 364,743,956 | 364,201,620 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Operating income (loss) (in thousands) | 205,500) | 128,100) | 47,200) | 125,400) | 147,500) | 77,000) | 41,300) | 600) | 118,300) | 101,000) | 45,900) | 104,000) | 94,100) | 67,800) | 33,600) | 101,500) | 56,000) | (800) | (14,400) | ||||||
| Operating profit per share2 | 1.31 | 1.16 | 1.02 | 1.01 | 0.69 | 0.60 | 0.67 | 0.68 | 0.95 | 0.89 | 0.81 | 0.78 | 0.77 | 0.68 | 0.52 | 0.39 | -0.34 | -0.45 | -0.47 | ||||||
| Share price1, 3 | 81.09 | 129.36 | 123.58 | 107.24 | 101.25 | 86.99 | 103.31 | 101.75 | 142.58 | 114.01 | 105.43 | 102.55 | 95.16 | 104.45 | 78.38 | 63.05 | 38.28 | 39.22 | 29.66 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/OP ratio4 | 61.89 | 111.95 | 120.63 | 105.93 | 146.80 | 143.97 | 155.24 | 148.63 | 149.72 | 127.89 | 130.80 | 131.73 | 123.07 | 154.50 | 152.14 | 162.33 | — | — | — | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | |||||||||||||||||||||||||
| Abbott Laboratories | 27.48 | 30.47 | 27.70 | 22.18 | 18.35 | 18.63 | 21.33 | 24.45 | 26.84 | 29.01 | 31.39 | — | — | — | — | — | — | — | — | ||||||
| Elevance Health Inc. | 14.38 | 13.36 | 13.61 | 15.05 | 15.30 | 14.72 | 17.53 | 15.70 | 15.81 | 19.93 | 15.79 | — | — | — | — | — | — | — | — | ||||||
| Intuitive Surgical Inc. | 55.63 | 70.08 | 66.95 | 54.49 | 46.65 | 44.54 | 49.98 | 56.11 | 67.95 | 69.51 | 89.18 | — | — | — | — | — | — | — | — | ||||||
| Medtronic PLC | 19.53 | 17.99 | 19.55 | 20.48 | 25.40 | 27.20 | 38.83 | 37.44 | 49.88 | 42.55 | 35.86 | — | — | — | — | — | — | — | — | ||||||
| UnitedHealth Group Inc. | 15.63 | 15.33 | 15.41 | 15.89 | 18.75 | 19.96 | 19.69 | 18.77 | 19.63 | 19.05 | 16.12 | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
Operating profit per share
= (Operating income (loss)Q3 2023
+ Operating income (loss)Q2 2023
+ Operating income (loss)Q1 2023
+ Operating income (loss)Q4 2022)
÷ No. shares of common stock outstanding
= (205,500,000 + 128,100,000 + 47,200,000 + 125,400,000)
÷ 386,373,935 = 1.31
3 Closing price as at the filing date of DexCom Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 81.09 ÷ 1.31 = 61.89
5 Click competitor name to see calculations.
- Share Price Trends
- The share price demonstrated considerable volatility over the analyzed periods. Starting at $29.66 at the end of Q1 2019, it rose sharply to a peak of $142.58 in Q3 2021. Following this peak, a decline occurred, with share price fluctuating downward to $81.09 by Q3 2023. Notable fluctuations during the period include a significant increase through 2020 and early 2021, followed by a range-bound performance between roughly $80 and $130 from late 2021 through 2023.
- Operating Profit Per Share (Operating EPS)
- Operating profit per share showed an overall upward trajectory throughout the periods. Initially negative in early 2019 (around -$0.47), it transitioned to positive territory by Q4 2019 ($0.39) and continued to increase steadily, reaching $1.31 by Q3 2023. This indicates improving operational profitability on a per share basis, with a generally consistent rise despite minor periods of flattening or slower growth, particularly in 2022.
- Price to Operating Profit (P/OP) Ratio
- The P/OP ratio exhibited significant changes reflecting the interaction between share price and operating profit per share. Early data is missing; however, from Q1 2020 onward, the ratio began at a high level (162.33) and experienced a gradual decline over the years, reaching 61.89 by Q3 2023. This suggests that the price relative to operating profitability moderated substantially, potentially indicating improved valuation attractiveness as operating profits increased faster than share price.
- Overall Financial Insights
- The data reveals a company transitioning from operating losses to sustainable profitability per share, reflected in the positive and growing operating profit per share figures. The share price increase until late 2021 was more pronounced than the corresponding growth in operating profit, leading to elevated P/OP ratios during that period. Subsequently, the share price experienced a correction while operating profits continued to rise, resulting in lower P/OP ratios and implying an improving valuation based on operating earnings.
Price to Sales (P/S)
DexCom Inc., historical P/S calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 386,373,935 | 387,871,796 | 387,635,623 | 386,413,690 | 386,258,125 | 392,581,776 | 392,503,732 | 388,262,536 | 387,688,136 | 386,995,604 | 386,823,492 | 384,709,452 | 384,110,412 | 382,968,828 | 369,379,512 | 366,376,568 | 366,114,352 | 364,743,956 | 364,201,620 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Revenue (in thousands) | 975,000) | 871,300) | 741,500) | 815,200) | 769,600) | 696,200) | 628,800) | 698,200) | 650,200) | 595,100) | 505,000) | 568,900) | 500,900) | 451,800) | 405,100) | 462,800) | 396,300) | 336,400) | 280,500) | ||||||
| Sales per share2 | 8.81 | 8.24 | 7.80 | 7.53 | 7.23 | 6.81 | 6.55 | 6.31 | 5.98 | 5.61 | 5.24 | 5.01 | 4.74 | 4.48 | 4.33 | 4.03 | 3.69 | 3.35 | 3.10 | ||||||
| Share price1, 3 | 81.09 | 129.36 | 123.58 | 107.24 | 101.25 | 86.99 | 103.31 | 101.75 | 142.58 | 114.01 | 105.43 | 102.55 | 95.16 | 104.45 | 78.38 | 63.05 | 38.28 | 39.22 | 29.66 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/S ratio4 | 9.21 | 15.69 | 15.85 | 14.24 | 14.00 | 12.77 | 15.76 | 16.13 | 23.83 | 20.33 | 20.12 | 20.48 | 20.08 | 23.31 | 18.09 | 15.65 | 10.37 | 11.71 | 9.58 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/S Ratio, Competitors5 | |||||||||||||||||||||||||
| Abbott Laboratories | 4.13 | 4.64 | 4.64 | 4.25 | 3.85 | 4.18 | 4.42 | 4.78 | 5.38 | 5.36 | 5.64 | — | — | — | — | — | — | — | — | ||||||
| Elevance Health Inc. | 0.66 | 0.66 | 0.68 | 0.74 | 0.77 | 0.75 | 0.89 | 0.81 | 0.78 | 0.73 | 0.76 | — | — | — | — | — | — | — | — | ||||||
| Intuitive Surgical Inc. | 13.72 | 17.06 | 16.21 | 13.81 | 12.62 | 12.69 | 15.34 | 17.89 | 22.12 | 21.73 | 23.19 | — | — | — | — | — | — | — | — | ||||||
| Medtronic PLC | 3.55 | 3.42 | 3.79 | 3.72 | 4.54 | 4.54 | 5.74 | 5.57 | 5.71 | 5.43 | 5.11 | — | — | — | — | — | — | — | — | ||||||
| UnitedHealth Group Inc. | 1.39 | 1.35 | 1.37 | 1.40 | 1.62 | 1.66 | 1.61 | 1.58 | 1.55 | 1.47 | 1.49 | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
Sales per share
= (RevenueQ3 2023
+ RevenueQ2 2023
+ RevenueQ1 2023
+ RevenueQ4 2022)
÷ No. shares of common stock outstanding
= (975,000,000 + 871,300,000 + 741,500,000 + 815,200,000)
÷ 386,373,935 = 8.81
3 Closing price as at the filing date of DexCom Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/S ratio = Share price ÷ Sales per share
= 81.09 ÷ 8.81 = 9.21
5 Click competitor name to see calculations.
The share price of the company has exhibited notable volatility over the analyzed periods. Beginning at $29.66 in March 2019, the price increased steadily, peaking at $142.58 in September 2021. Following this peak, there was a marked decline through the subsequent quarters, with a significant drop to $81.09 by September 2023. This trajectory indicates periods of both strong market confidence and pronounced correction phases.
Sales per share demonstrated a consistent upward trend throughout the entire timeline. Starting from $3.10 in March 2019, this metric increased progressively each quarter, reaching $8.81 by September 2023. This growth reflects a steady improvement in revenue generation on a per-share basis, suggesting effective sales expansion or operational efficiency contributing to increased sales performance.
The price-to-sales (P/S) ratio initially rose sharply from 9.58 in March 2019 to a peak of 23.83 in September 2021. This elevation in P/S ratio reflects the market’s growing valuation relative to sales. However, post this peak, the ratio declined notably to 9.21 by September 2023, indicating a contraction in market valuation relative to sales despite the continued increase in sales per share. This decline may suggest growing market skepticism or recalibration of the stock's valuation in relation to revenue generation.
- Summary of Trends
-
- Share Price
- Experienced significant growth from early 2019 through late 2021, followed by a substantial decline through 2023.
- Sales per Share
- Consistently increased every quarter, reflecting ongoing revenue growth.
- Price-to-Sales Ratio
- Rose sharply until late 2021, then decreased markedly despite growing sales, indicating a shift in market valuation.
- Insights
-
- Market Valuation
- The initial rise in share price and P/S ratio points to heightened investor expectations or strong growth prospects through 2021.
- Correction Phase
- Subsequent declines in share price and P/S ratio suggest a reassessment by investors, possibly driven by market conditions, competitive pressures, or changes in growth outlook.
- Operational Performance
- Improving sales per share throughout the period signifies positive operational momentum, even amid fluctuating market valuations.
Price to Book Value (P/BV)
DexCom Inc., historical P/BV calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 386,373,935 | 387,871,796 | 387,635,623 | 386,413,690 | 386,258,125 | 392,581,776 | 392,503,732 | 388,262,536 | 387,688,136 | 386,995,604 | 386,823,492 | 384,709,452 | 384,110,412 | 382,968,828 | 369,379,512 | 366,376,568 | 366,114,352 | 364,743,956 | 364,201,620 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Stockholders’ equity (in thousands) | 2,267,900) | 2,100,400) | 2,233,000) | 2,131,800) | 1,824,500) | 2,255,900) | 2,189,300) | 2,251,500) | 2,136,100) | 1,997,600) | 1,903,200) | 1,826,500) | 1,499,300) | 1,353,900) | 934,500) | 882,600) | 764,300) | 688,300) | 668,600) | ||||||
| Book value per share (BVPS)2 | 5.87 | 5.42 | 5.76 | 5.52 | 4.72 | 5.75 | 5.58 | 5.80 | 5.51 | 5.16 | 4.92 | 4.75 | 3.90 | 3.54 | 2.53 | 2.41 | 2.09 | 1.89 | 1.84 | ||||||
| Share price1, 3 | 81.09 | 129.36 | 123.58 | 107.24 | 101.25 | 86.99 | 103.31 | 101.75 | 142.58 | 114.01 | 105.43 | 102.55 | 95.16 | 104.45 | 78.38 | 63.05 | 38.28 | 39.22 | 29.66 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/BV ratio4 | 13.82 | 23.89 | 21.45 | 19.44 | 21.44 | 15.14 | 18.52 | 17.55 | 25.88 | 22.09 | 21.43 | 21.60 | 24.38 | 29.55 | 30.98 | 26.17 | 18.34 | 20.78 | 16.16 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | |||||||||||||||||||||||||
| Abbott Laboratories | 4.40 | 5.02 | 5.21 | 5.06 | 4.85 | 5.21 | 5.56 | 5.75 | 6.61 | 6.38 | 6.27 | — | — | — | — | — | — | — | — | ||||||
| Elevance Health Inc. | 2.87 | 2.86 | 2.90 | 3.19 | 3.24 | 3.08 | 3.55 | 3.07 | 2.88 | 2.67 | 2.78 | — | — | — | — | — | — | — | — | ||||||
| Intuitive Surgical Inc. | 7.49 | 9.57 | 9.29 | 7.78 | 6.71 | 6.29 | 7.48 | 8.59 | 10.64 | 10.35 | 10.40 | — | — | — | — | — | — | — | — | ||||||
| Medtronic PLC | 2.12 | 2.03 | 2.23 | 2.24 | 2.75 | 2.77 | 3.52 | 3.26 | 3.14 | 3.02 | 2.84 | — | — | — | — | — | — | — | — | ||||||
| UnitedHealth Group Inc. | 5.84 | 5.68 | 5.60 | 5.81 | 6.80 | 6.94 | 6.54 | 6.27 | 6.13 | 5.76 | 5.86 | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 2,267,900,000 ÷ 386,373,935 = 5.87
3 Closing price as at the filing date of DexCom Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/BV ratio = Share price ÷ BVPS
= 81.09 ÷ 5.87 = 13.82
5 Click competitor name to see calculations.
- Share Price
- The share price shows a notable upward trend from March 2019 through June 2021, increasing from $29.66 to a peak of $142.58 in September 2021. This represents a substantial growth over this period. Following this peak, the share price experiences a marked decline, dropping to $81.09 by September 2023. This recent decline suggests increased market volatility or changing investor sentiment in the latter periods.
- Book Value Per Share (BVPS)
- The BVPS exhibits a steady increase over the entire period, rising from $1.84 in March 2019 to $5.87 by September 2023. This consistent growth indicates the company's ongoing accumulation of net assets and overall strengthening of its equity base. Although there are minor fluctuations, the general upward trajectory of BVPS is clear, suggesting positive underlying financial health.
- Price-to-Book Value Ratio (P/BV)
- The P/BV ratio fluctuates significantly throughout the period. It initially rises sharply from 16.16 in March 2019 to a high of approximately 30.98 in March 2020, reflecting a growing premium placed on the company's shares relative to its book value. Afterward, the ratio declines somewhat but remains volatile, with a low of 13.82 in September 2023. The high variability in P/BV indicates changing market valuations and investor perceptions relative to the company’s book value, potentially driven by external market factors or internal performance shifts.
- Summary of Trends
- The data reflects strong early growth in market valuation as evidenced by the rising share price and increasing P/BV ratio through 2021. Despite the share price decline in subsequent periods, the steady growth in BVPS suggests the company continues to build equity value. The divergence between share price and BVPS in later reporting periods leads to a reduction in the P/BV ratio, indicating a contraction in market valuation multiples. This pattern may signal market concerns or corrections after a period of optimism.