UPDATE: Oppenheimer Upgrades DexCom (DXCM) to Outperform

Oppenheimer upgraded DexCom (NASDAQ: DXCM) from Perform to Outperform with a price target of $84. Analyst Steven Lichtman forecasts robust growth over the next several years.

"With valuation reflecting competitive concerns and with big long-term opportunities in place, we upgrade DXCM shares to Outperform from Perform and maintain our $84 target price. DXCM shares now trade at their lowest relative level to high-growth peers in five-years and we believe the risk/reward is favorable. New competition in the US is expected from MDT and likely ABT and SENS in 2017, but the US CGM market remains underpenetrated in Type 1 patients (<20%), a dosing claim is expected early 2017, international reimbursement should be a growing tailwind and 2018 brings new growth drivers with expected launch of DXCM’s next-generation G6 and potential Medicare expansion. And the collaboration with Verily has the potential to open expansion opportunities within the Type 2 market longer term," said the analyst.

For an analyst ratings summary and ratings history on DexCom click here. For more ratings news on DexCom click here.

Shares of DexCom closed at $63.41 yesterday.

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