DexCom, Inc. Securities Lawsuit Investigation

Shamis & Gentile P.A., a law firm that advocates for investors who are victims of securities fraud, is investigating potential claims against DexCom, Inc. (DXCM).

If you purchased or acquired DexCom securities and suffered losses, you may be eligible to join this securities investigation and seek compensation.

About DexCom

DexCom is a medical device company focused on the development, manufacturing, and commercialization of continuous glucose monitoring (CGM) systems.

DexCom’s products have received regulatory approvals in multiple markets. The company’s flagship products, including the G6 and G7 CGM systems, are designed to provide real-time glucose readings to help patients manage their condition more effectively.

Potential Concerns Under Investigation

Lawyers are investigating several potential issues related to DexCom’s public statements, financial disclosures, and regulatory compliance during the period from Dec. 13, 2023 through Sept. 18, 2025.

One major focus is the significant stock price drop on Sept. 19, 2025, when DexCom shares plunged about 10.8 percent following the release of a Hunterbrook Capital report. This report alleged serious defects in the G7 device, including claims of hospitalizations, deaths, and regulatory violations.

The timing and scale of this decline, which vastly underperformed the broader market, suggest a company-specific event that may have caused substantial investor losses.

Lawyers may also examine whether DexCom made misleading statements or omitted critical information in its public communications. Throughout the potential class period, DexCom executives presented a positive outlook on the company’s performance.

For example, CEO Kevin Sayer stated in February 2024 that "2023 was an incredible year for Dexcom with significantly expanded access, another year of record new customer starts, and growing momentum behind our global rollout of Dexcom G7."

In April 2024, Sayer described DexCom as “off to a great start” and highlighted “another quarter of strong financial results while advancing key initiatives."

Even after a disappointing second quarter in July 2024, Sayer continued to emphasize long-term growth potential, despite acknowledging that “execution did not meet our high standards”. These statements may be scrutinized to determine whether they adequately reflected the company’s actual operational and regulatory challenges.

Attorneys could investigate if DexCom provided sufficient information about device defects and regulatory non-compliance.

Internal documents revealed by the FDA show that DexCom changed the G7 sensor coating to an in-house formulation, which, according to the Hunterbrook Capital report, was “inferior by every accuracy metric,” yet continued selling the device without FDA approval.

FDA inspectors later found that both G7 and G6 monitors manufactured in DexCom’s plants were “adulterated” due to serious quality-control failures. Despite these findings, DexCom publicly denied making design changes to its glucose sensors, which appears to contradict the FDA’s evidence.

Legal professionals may review whether DexCom adequately disclosed the mounting evidence of G7 accuracy and safety problems, including complaints, hospitalizations, and consumer backlash. Reports surfaced in late 2025 of dozens of alleged hospitalizations and several alleged deaths linked to G7 inaccuracies, yet DexCom’s public statements did not appear to warn investors about such risks.

The investigation might also focus on the July 25, 2024 earnings release, when DexCom sharply cut its 2024 revenue guidance to $4.0 to 4.05 billion from about $4.3 billion, citing internal sales execution issues.

This announcement triggered a roughly 40 percent drop in DexCom’s stock price. On March 4, 2025, an FDA warning letter disclosed “non-conformities” at two DexCom production plants, leading to a 7 percent stock decline.

Each of these events revealed allegedly previously undisclosed problems and corresponded to sharp stock declines.

Lawyers may also examine whether DexCom’s public statements about new product launches and international expansion, such as the over-the-counter Stelo launch in August 2024 and UK Direct-to-Watch clearance for G7 in April 2024, were misleading in light of internal data showing core CGM accuracy and quality issues.

The cumulative impact of these events appears to have caused significant harm to investors. The investigation may also assess whether these losses were directly linked to DexCom-specific disclosures, rather than broader market forces.

Your Rights and Next Steps

This is an active investigation into whether DexCom may have violated federal securities laws by making false or misleading statements or failing to disclose material information. If lawyers find evidence of wrongdoing, the investigation could lead to a securities class action lawsuit on behalf of affected investors.

Investors who purchased or acquired DexCom securities during the class period and suffered losses may have important legal rights. By participating in the investigation, investors can help ensure that their interests are represented and may be able to recover losses if a class action is filed and succeeds.

Lawyers are ready to help investors understand their options, gather documentation, and determine eligibility. Participating in a securities investigation is time-sensitive, as there may be deadlines to join any potential class action.

You May Be Entitled to Compensation

If you purchased or acquired DexCom securities and experienced financial losses, you may be eligible to join this investigation and seek compensation. Securities investigations move quickly, and acting now can help preserve your rights.

To find out if you qualify and to join the investigation, complete the form below.