Wedbush Raises PT On DexCom To $18 After In-Line 1Q Results

Wedbush Securities has published a research report on DexCom DXCM after the company reported 1Q results that were in-line with analyst estimates. In the report, Wedbush writes "DXCM reported Q1:11 product revenue of $13.1 million (-3% Q/Q; +94% Y/Y) which was in-line with consensus. Our Q1 product revenue estimate of $14.3 million was high because we failed to adequately account for seasonality common to the medical device industry. However, we remain comfortable with our full-year product revenue estimate of $70.6 million and have shifted our Q1 shortfall into Q4 given Q1 is seasonally the weakest quarter and Q4 the strongest. Management commented that they continue to see strong demand and had a full pipeline of patient referrals exiting the quarter." Wedbush maintains its Outperform rating and has raised the price target from $17 to $18. DexCom closed yesterday at $16.50.