11 Best Medical Device Stocks to Buy Now

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7. DexCom, Inc. (NASDAQ:DXCM)

Number of Hedge Fund Holders: 69

DexCom, Inc. (NASDAQ:DXCM) is a medical device company that manufactures continuous glucose monitoring (CGM) systems to allow real-time health management control. Specializing in diabetes care technology, the company is the seventh best medical device stock to buy now. It offers various medical devices and products, including Dexcom G6, Dexcom G7, Dexcom Stelo, Dexcom Share, Dexcom Real-Time API, and Dexcom ONE.

On May 5, Analyst Mike Kratky from Leerink Partners reiterated a Buy rating on DexCom, Inc. (NASDAQ:DXCM). He increased the price target to $101.00 from $95.00, based on the company’s impressive fiscal Q1 2025 sales that surpassed consensus estimates. The growth was driven by a notable increase in new customer starts in the US market.

While the company is facing some challenges like increased inventory replenishment costs affecting gross margins, management is optimistic about overcoming these expenses through operational efficiencies. The analyst views DexCom, Inc.’s (NASDAQ:DXCM) unchanged full-year sales guidance as conservative, given the various growth drivers. These include recovery in the durable medical equipment share, increased coverage for Type 2 patients, and the expected uptake of the G7 sensor.

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