Jefferies analyst Matthew Taylor says it has been "a big week" for DexCom (DXCM) with Medicare announcing that it would expand CGM coverage for "Basal" patients, even those taking insulin not daily and those with a history of problematic hypo. This was followed by Abbott (ABT) announcing the FDA had cleared its FreeStyle Libre 2 and 3 for integration with AID systems, which took DexCom’s stock back down. In total, the firm still sees the news overall as supportive for DexCom and view this pullback as a buying opportunity citing its view that there is "still a rising tide market" where both DexCom and Abbott can win with CGM penetration given the basal expansion. The firm has a Buy rating and $150 price target on DexCom shares.
Published first on TheFly
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