DexCom (DXCM) is a Top-Ranked Growth Stock: Should You Buy?

Core Insights - Zacks Premium offers tools for investors to enhance their stock market engagement and confidence through various research services [1][2] Group 1: Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the short term [3] - Stocks are rated from A to F, with A indicating the highest potential for outperformance [4] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [4][5][6][7] Group 2: Zacks Rank and Performance - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist in portfolio building, with 1 (Strong Buy) stocks achieving an average annual return of +23.93% since 1988, significantly outperforming the S&P 500 [8][9] - Investors are encouraged to focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal returns [10] - Stocks with lower ranks, even with good Style Scores, may still face downward price pressure due to negative earnings outlooks [11] Group 3: Company Spotlight - DexCom, Inc. - DexCom, Inc. is a medical device company specializing in continuous glucose monitoring systems for diabetes management [12] - Currently rated 3 (Hold) by Zacks, DexCom has a VGM Score of A and a Growth Style Score of A, indicating strong growth potential [12][13] - The company is projected to achieve year-over-year earnings growth of 26.2% for the current fiscal year, with upward revisions in earnings estimates from analysts [13]