Dexcom designs and commercializes continuous glucose monitoring (CGM) systems for diabetic patients. It is evolving its CGM systems to provide integration with insulin pumps from Insulet and Tandem for automatic insulin delivery. Dexcom appeared in my recently developed "Super Growers" stock screener. As shown below, Dexcom passed all 15 of my screener criteria including the fact that the average target price of the 25 analysts currently covering the company is +28.3% above today's stock purchase price.
As detailed below, a potential return-on-investment result is +1.5%
absolute return-on-investment (equivalent to +31.8% annualized return-on-investment over the next 17 days) if the stock is assigned on the January 9th, 2026 options expiration date.
Dexcom Inc. (DXCM) -- New Covered Calls Position
The simultaneous buy/write transaction today was as follows:
12/23/2025 Bought 300 Dexcom Inc. shares @ $66.66
12/23/2025 Sold 3 DXCM 1/9/2026 $64.00 Call options @ $3.60 per share
Note: the Implied Volatility of the Calls was 33.1 when this transaction was executed. As I prefer, this value exceeds that of the S&P 500 Volatility Index (VIX) which is currently at 14.1.
A possible overall performance result (including commissions) for this Dexcom Covered Calls position if assigned on the options expiration date is as follows:
Covered Calls Cost Basis: $18,920.01
= ($66.66 - $3.60) * 300 shares + $2.01 commission
Net Profit Components:
(a) Options Income: +$1,077.99
= ($3.60 * 300 shares) - $2.01 commissions
(b) Dividend Income $0.00
(c) Capital Appreciation (If Dexcom shares assigned at $64.00 strike price at options expiration): -$798.00
+($64.00 - $66.66) * 300 shares
