Long-term changes in the way medical devices DexCom

DexCom Inc. (DXCM), a mobile continuous glucose monitoring system developer, is expanding its portfolio of solutions and making efforts to make its devices mass-market. DexCom’s main product today is a G6 glucose measurement device. G6 sales in the first quarter helped the company increase revenue by 25% year-on-year. The company expects to increase revenue by 15-20% for the year. But the company is working on a more advanced certification for a device right now. The G7 monitor is more petite and gives more accurate measurements than its predecessor, the G6.

The new monitor version was approved in the European Union and has been on sale in several countries. In the report for the second quarter, DexCom will show the dynamics of sales in the European market. The company is awaiting approval of its G7 device by the FDA this year to begin sales in the US. Another promising DexCom development is the DexCom ONE device. This system is like the G6 and G7 but doesn’t have as many high-tech features. For instance, it can’t share real-time information with family or health care providers.

A cheaper offer should help expand DexCom’s user base. Now the device is available in Spain and the UK, but DexCom intends to expand the geography. In addition, the company hopes to get FDA approval, which will allow the system in inpatient hospital settings. Recall that in early June, DexCom divided its shares from 1 to 4. As a result, the security value decreased from almost $300 to about $74 on the day of the separation. 

At the auction on June 30, the DXCM stock was worth $74.53. The split has made DexCom’s shares more accessible to investors who believe in the company’s long-term prospects. DexCom glucose monitors are a sought-after product, as patients with diabetes mellitus are interested in improving their quality of life through continuous diagnostics. Thus, the demand for such devices is likely to grow worldwide.