Tandem Diabetes Care, Inc.

NasdaqGM:TNDM Stock Report

Market Cap: US$2.5b

Tandem Diabetes Care Valuation

Is TNDM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of TNDM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TNDM ($36.88) is trading below our estimate of fair value ($84.64)

Significantly Below Fair Value: TNDM is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TNDM?

Key metric: As TNDM is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for TNDM. This is calculated by dividing TNDM's market cap by their current revenue.
What is TNDM's PS Ratio?
PS Ratio2.8x
SalesUS$854.35m
Market CapUS$2.45b

Price to Sales Ratio vs Peers

How does TNDM's PS Ratio compare to its peers?

The above table shows the PS ratio for TNDM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.7x
NUVA NuVasive
1.7x6.7%US$2.1b
CNMD CONMED
1.7x6.4%US$2.2b
ENOV Enovis
1.2x7.3%US$2.5b
LIVN LivaNova
2x4.4%US$2.6b
TNDM Tandem Diabetes Care
2.8x10.3%US$2.5b

Price-To-Sales vs Peers: TNDM is expensive based on its Price-To-Sales Ratio (2.8x) compared to the peer average (1.7x).

Price to Sales Ratio vs Industry

How does TNDM's PS Ratio compare vs other companies in the US Medical Equipment Industry?

50 CompaniesPrice / SalesEstimated GrowthMarket Cap
VREX Varex Imaging
0.8x2.7%US$619.29m
INGN Inogen
0.6x4.4%US$204.84m
ARAY Accuray
0.4x5.5%US$199.12m
NVRO Nevro
0.3x2.8%US$151.76m
TNDM 2.8xIndustry Avg. 3.3xNo. of Companies50PS03.26.49.612.816+
50 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: TNDM is good value based on its Price-To-Sales Ratio (2.8x) compared to the US Medical Equipment industry average (3.3x).

Price to Sales Ratio vs Fair Ratio

What is TNDM's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TNDM PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.8x
Fair PS Ratio2x

Price-To-Sales vs Fair Ratio: TNDM is expensive based on its Price-To-Sales Ratio (2.8x) compared to the estimated Fair Price-To-Sales Ratio (2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst TNDM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$36.88
US$51.00
+38.3%
25.7%US$75.00US$18.00n/a20
Dec ’25US$30.63
US$51.25
+67.3%
25.0%US$75.00US$18.00n/a20
Nov ’25US$31.91
US$52.16
+63.5%
24.0%US$75.00US$18.00n/a19
Oct ’25US$41.07
US$51.76
+26.0%
24.7%US$75.00US$18.00n/a17
Sep ’25US$43.50
US$51.76
+19.0%
24.7%US$75.00US$18.00n/a17
Aug ’25US$35.21
US$49.93
+41.8%
26.8%US$75.00US$18.00n/a15
Jul ’25US$39.45
US$49.93
+26.6%
26.8%US$75.00US$18.00n/a15
Jun ’25US$51.23
US$49.20
-4.0%
26.9%US$75.00US$18.00n/a15
May ’25US$36.20
US$37.36
+3.2%
25.2%US$60.00US$18.00n/a14
Apr ’25US$33.85
US$34.20
+1.0%
27.2%US$60.00US$18.00n/a15
Mar ’25US$27.58
US$32.67
+18.4%
30.1%US$60.00US$18.00n/a15
Feb ’25US$23.68
US$32.33
+36.5%
32.0%US$60.00US$17.00n/a15
Jan ’25US$29.58
US$30.80
+4.1%
36.1%US$60.00US$17.00n/a15
Dec ’24US$21.19
US$28.33
+33.7%
42.1%US$60.00US$17.00US$30.6315
Nov ’24US$17.75
US$37.80
+113.0%
35.3%US$62.00US$18.00US$31.9115
Oct ’24US$20.77
US$40.79
+96.4%
27.5%US$62.00US$30.00US$41.0714
Sep ’24US$27.85
US$40.79
+46.4%
27.5%US$62.00US$30.00US$43.5014
Aug ’24US$32.25
US$47.71
+48.0%
25.7%US$71.00US$30.00US$35.2114
Jul ’24US$24.54
US$47.71
+94.4%
25.7%US$71.00US$30.00US$39.4514
Jun ’24US$24.56
US$51.21
+108.5%
25.4%US$74.00US$33.00US$51.2314
May ’24US$39.97
US$54.23
+35.7%
19.6%US$74.00US$40.00US$36.2013
Apr ’24US$40.61
US$53.71
+32.3%
19.3%US$74.00US$40.00US$33.8514
Mar ’24US$36.71
US$54.38
+48.1%
19.3%US$74.00US$40.00US$27.5813
Feb ’24US$41.39
US$59.15
+42.9%
20.8%US$80.00US$43.00US$23.6813
Jan ’24US$44.95
US$59.15
+31.6%
20.8%US$80.00US$43.00US$29.5813
Dec ’23US$42.62
US$58.77
+37.9%
21.3%US$80.00US$43.00US$21.1913

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/27 21:17
End of Day Share Price 2024/12/27 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Tandem Diabetes Care, Inc. is covered by 36 analysts. 21 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Jeffrey JohnsonBaird
Travis SteedBarclays
Matt MiksicBarclays