Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.
DexCom, Inc. (NASDAQ:DXCM) shares are trading lower after a new report from Spruce Point Capital argued the stock could fall 45-60 percent.
The San Diego-based company manufacturers continuous glucose monitoring systems for diabetic patients.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Until now, the company’s G-Series model has been considered the gold standard, while its competitor Abbott Laboratories (NYSE:ABT) offered a cheaper, user-friendly alternative with the FreeStyle Libre, according to Spruce Point.
Abbott is set to release the Libre 2 in the U.S. and Spruce Point said the launch will close most if not all technological gaps with Dexcom’s G-Series.
This move will put heavy pressure on Dexcom profits with little downside to Abbott's margin, the report said.
“The Street believes that the downmarket Libre is not a serious threat to Dexcom’s market, but the LIbre has taken [greater than 70 percent] incremental share of the U.S. Type 1 market and [greater than 95 percent] incremental share of the U.S. Type 2 market since first being released in the U.S."
Want Private Access to Benzinga Analyst?
Check out the latest strategies our team of experts are using every week so that you can always adapt to the market like the pros!—Get FULL Access to This Week's Webinar Here.
Dexcom has few avenues for near-term patient growth and will be effectively locked out of the Type 2 market until it releases a cheaper, downmarket CGM similar to the Libre, according to Spruce Point.
“We see 45-60-percent near-term downside in DXCM shares after disappointing sales growth and a multiple re-rating, and even more potential future downside on long-term price pressure."
DexCom shares were down 3.13 percent at $141.59 at the time of publication Thursday.
Related Links:
The Week Ahead In Biotech: Conferences, PDUFA Dates, Earnings, IPOs
Attention Biotech Investors: Mark Your Calendar For These March PDUFA Dates
Photo courtesy of Dexcom.
Crypto Whales Are Loading Up — Are You?
New research shows the biggest crypto buyers are back. And this time? They could hold for the possibility that Bitcoin will surpass $100,000 in 2024. You don’t want to miss the next massive crypto bull run like we saw in 2020 and 2021. To know exactly what’s going on and what to buy… Get Access To Benzinga’s Best Crypto Research and Investments For Only $1.