Here’s Why DexCom (DXCM) Stock Price Rebounded Significantly

Carillon Tower Advisers, an investment management company, released its “Carillon Eagle Mid Cap Growth Fund” fourth quarter 2023 investor letter. A copy of the same can be downloaded here. After underwhelming results in Q3, mid-cap stocks made impressive gains in Q4. Mid-cap stocks had a positive year, with every sector performing well. The Russell Midcap Growth Index (up 25.86%) outperformed the Russell Midcap Value Index (up 12.66%) by a significant margin. In addition, you can check the top 5 holdings of the fund to know its best picks in 2023.

Carillon Eagle Mid Cap Growth Fund featured stocks such as DexCom, Inc. (NASDAQ:DXCM) in its Q4 2023 investor letter. Headquartered in San Diego, California, DexCom, Inc. (NASDAQ:DXCM) is a medical device company.  On January 31, 2024, DexCom, Inc. (NASDAQ:DXCM) stock closed at $121.35 per share. One-month return of DexCom, Inc. (NASDAQ:DXCM) was -0.39%, and its shares gained 12.33% of their value over the last 52 weeks. DexCom, Inc. (NASDAQ:DXCM) has a market capitalization of $46.316 billion.

Carillon Eagle Mid Cap Growth Fund stated the following regarding DexCom, Inc. (NASDAQ:DXCM) in its fourth quarter 2023 investor letter:

“DexCom, Inc. (NASDAQ:DXCM) is a developer and manufacturer of continuous glucose monitors (CGMs). CGMs are currently used by Type 1 and insulin-intensive Type 2 diabetics to control blood glucose levels more effectively than intermittent fi nger sticks. The company’s stock declined in 2023 due to investor concerns surrounding the potential impact that glucagon-like peptide 1 (GLP-1) medications could have on demand for their products. Contrary to initial belief, internal analysis uncovered that patients taking GLP-1s used CGMs at twice the rate of patients not on GLP-1s. This, and the company’s excellent results for the third quarter, caused the stock price to rebound significantly.”

DexCom, Inc. (NASDAQ:DXCM) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 78 hedge fund portfolios held DexCom, Inc. (NASDAQ:DXCM) at the end of third quarter which was 58 in the previous quarter.

We discussed DexCom, Inc. (NASDAQ:DXCM) in another article and shared Baron Health Care Fund’s views on the company. In addition, please check out our hedge fund investor letters Q4 2023 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.