Analyst Mike Kratky of Leerink Partners reiterated a Buy rating on Dexcom, with a price target of $101.00.
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Mike Kratky has given his Buy rating due to a combination of factors including Dexcom’s strong financial performance and strategic developments. The company reported second-quarter sales that exceeded expectations, with a 3% increase over consensus estimates, and maintained solid margins. This financial strength is complemented by the announcement of a leadership transition, with Jake Leach set to take over as CEO, which is expected to provide stability and continuity.
Furthermore, Dexcom’s slight increase in full-year guidance, despite being conservative, suggests confidence in their strategic direction. The anticipated growth from Type 2 diabetes patients and the introduction of the G7 15-day sensor are seen as potential catalysts for future performance. These factors, along with recent coverage expansions for non-insulin patients by major pharmacy benefit managers, contribute to a favorable outlook for the company’s stock.
According to TipRanks, Kratky is a 4-star analyst with an average return of 10.9% and a 47.20% success rate. Kratky covers the Healthcare sector, focusing on stocks such as NeuroPace, Medtronic, and Intuitive Surgical.
In another report released yesterday, Oppenheimer also maintained a Buy rating on the stock with a $102.00 price target.