Beta Bionics, Inc.: Strategic Growth and Market Penetration with iLet Infusion Pump

Beta Bionics, Inc. (BBNX) has received a new Buy rating, initiated by Truist Financial analyst, Richard Newitter.

Richard Newitter has given his Buy rating due to a combination of factors that highlight Beta Bionics, Inc.’s potential for growth and market penetration. The company’s iLet infusion pump, launched in mid-2023, is expected to drive a significant revenue growth rate of approximately 37% from 2024 to 2028. This growth is supported by the pump’s ease of use and management’s strategic focus on expanding adoption through pharmacy channels, which could see the company capturing a 5-6% market share in the U.S. by 2028.
Additionally, the iLet pump’s design, which simplifies the setup process for patients and clinicians, positions it as a competitive option in the market. This is particularly appealing to patients who are new to pump technology, especially those with Type 2 diabetes. The company’s proactive approach in transitioning to pharmacy benefit plans (PBP) is also noted as a strategic advantage, potentially leading to higher long-term revenue and market share growth. Despite some near-term revenue and margin deferrals, the long-term return on investment is expected to be significant, with potential profitability acceleration through faster PBP adoption and future product developments like the patch pump anticipated in 2027.

Newitter covers the Healthcare sector, focusing on stocks such as Intuitive Surgical, Vericel, and Globus Medical. According to TipRanks, Newitter has an average return of 14.9% and a 56.15% success rate on recommended stocks.

In another report released on June 13, Lake Street also initiated coverage with a Buy rating on the stock with a $30.00 price target.