Baird points to elements of Apple report making it ‘less worried’ about DexCom

After Bloomberg reported that Apple’s (AAPL) work to measure how much glucose is in someone’s body without needing to prick the skin for blood has hit some major milestones recently, Baird analyst Jeff Johnson pointed to two elements of the story that make the firm "less worried" about DexCom (DXCM) and the potential impact. First was the report’s indication that Apple is seeking to create a preventative measure that warns people if they are prediabetic and second was the indication that engineers are at work on a prototype device about the size of an iPhone that can be strapped to a person’s bicep. While stating the firm would "never underestimate Apple," Baird thinks shrinking something to iPhone size, then to a small chip on the back of an Apple Watch, then going through clinical trials for FDA approval could take "many years and maybe another decade." The firm, which adds that "who knows where we might be on form factor, capabilities, [and] integration" during that same time with the speed with which DexCom and Abbott (ABT) are moving, has an Outperform rating and $130 price target on DexCom shares.