DexCom (DexCom (DXCM)) just laid out its roadmap for the rest of the decade, and it's a pretty ambitious one. At its 2026 Investor Day, the diabetes tech company unveiled long-term financial targets that call for sustained double-digit revenue growth and fatter profit margins. Investors liked what they heard: shares popped more than 7% on Friday.

According to an SEC filing, DexCom expects organic revenue to grow more than 10% annually through 2030. That's a solid clip for a company that already generates over $5 billion in sales. But the real story might be the margin expansion. By 2030, DexCom is targeting an adjusted gross profit margin between 67% and 69%, up from recent levels. It also sees adjusted operating margins hitting 29% to 30%, and adjusted EBITDA margins of 36% to 37%. Those are big numbers for a med-tech company, and they suggest DexCom sees economies of scale and operational efficiencies kicking in as it grows.

Separately, the board approved a new $1 billion share repurchase program, which will run until June 30, 2027. That replaces the previous buyback plan, which still had about $250 million of capacity left. So DexCom is essentially refreshing its buyback firepower, signaling confidence in its cash flow and stock value.

In a move that ties into governance, DexCom and activist investor Elliott Investment Management have agreed to work together to appoint two new independent directors to the board. The search will focus on candidates with MedTech leadership or operational chops to help support DexCom's long-term growth strategy and expanding global customer base. Since early 2023, DexCom has now added six new independent directors—a clear sign the company is refreshing its boardroom.

On the recent performance front, DexCom reported first-quarter adjusted earnings of 56 cents per share in April, beating the consensus of 47 cents. Sales came in at $1.19 billion, also ahead of expectations. The company reaffirmed its fiscal 2026 sales guidance of $5.16 billion to $5.25 billion, which brackets the consensus estimate of $5.23 billion.

Despite the upbeat news, DexCom's stock has had a rough 2026 so far. It's down about 10% year-to-date, compared to an 8.1% gain for the S&P 500. Over the past month, it's fallen 5.2% while the index rose 6.6%. But Friday's 7.23% jump to $62.00 suggests investors are buying into the long-term vision.