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  "docSlug": "34401c2968d1",
  "documentTitle": "Dexcom, Inc. (DXCM)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-03-21 00:00:00",
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  "notes": "The slide uses a peer group of 8 companies to highlight valuation discrepancy.",
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      "text": "Peers trade at an average 5.8x EV/Sales multiple on FY20 sales, versus Dexcom at 9.1x – a premium of 57%.",
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      "text": "EV / Sales: 9.1x",
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      "text": "Analysts justify DXCM price targets with aspirational multiples, ignoring forthcoming pricing pressure and the likely exhaustion of the Company's realistic near-term TAM. Peers trade at an average 5.8x EV/Sales multiple on FY20 sales, versus Dexcom at 9.1x – a premium of 57%. The market assumes that DXCM will grow top-line revenues at 18%, a slight premium to peers, but we see material risk of revenue disappointment.",
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      "text": "Source: Bloomberg",
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      "text": "Peer comparison table including Price, 52-wk High, EV, Sales Growth, EBITDA Margin, Gross Margin, and EV/Sales for 2019E and 2020E.",
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      "kind": "title",
      "text": "DXCM Trades Far Above Peers On Unrealistic Growth Expectations",
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