DexCom, Inc.  DXCM recently announced the FDA clearance for its 15-day wear G7 Continuous Glucose Monitoring (CGM) system, the longest-lasting and most accurate CGM approved in the United States. This system is cleared for people over the age of 18 with diabetes.

The clearance marks a key milestone in Dexcom’s innovation journey and strengthens its leadership in the CGM space. With a broader wear window and seamless integration with digital health tools, the new G7 aims to improve outcomes, accessibility, and user experience across diverse patient populations.

Likely Trend of DXCM Stock Following the News

Following the announcement, shares of the company closed flat at $67.30 on Thursday. In the year-to-date period, DXCM shares have lost 13.5% compared with the industry’s 14% decline. The S&P 500 decreased 10.8% in the same time frame.

This FDA clearance can boost DXCM shares in the long run as the G7 15-Day CGM offers more convenience, better accuracy, and longer wear time features that make it more attractive to both patients and healthcare providers. As more people switch to or start using Dexcom’s upgraded system, the company can grow its customer base, increase recurring revenue from sensors, and strengthen its competitive edge in the fast-growing diabetes tech market. Moreover, the increase of wear time from 10 days to 15 days following this FDA clearance brings the DXCM’s G7 CGM system on par with its competition — Abbott’s Libre 2 CGM system.

Meanwhile, DXCM currently has a market capitalization of $26.21 billion.

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More on DXCM’s G7 15-Day CGM System

Dexcom’s newly FDA-cleared G7 15-Day CGM system marks a major leap forward in diabetes technology, combining longer wear, improved accuracy, and unmatched ease of use. The primary difference between the Dexcom G7 and the G7 15-Day lies in the sensor wear duration and accuracy.

The Dexcom G7 15-Day offers standout features that elevate the user experience. It boasts a 15.5-day wear duration, reducing the need for frequent sensor changes and minimizing waste. With an industry-leading Mean Absolute Relative Difference of 8%, it delivers top-tier accuracy. Users benefit from a 12-hour grace period to change sensors, customizable alert settings, and seamless data access via a redesigned mobile app integrated with Dexcom Clarity. It is also waterproof and offers direct Apple Watch connectivity for hands-free glucose tracking, along with automated activity logging, simplified meal tracking, and new medication logging.

Looking ahead, Dexcom is also working with insulin pump partners to ensure compatibility with automated insulin delivery systems, further enhancing diabetes management. Dexcom G7 15-Day is expected to launch in the United States in the second half of 2025. Abbott continues to have an competitive advantage in insulin pump partnership as the Libre 2 CGM system can connect to Insulet Corporation’s Omnipod and Tandem Diabetes Care’s t:slim X2.

DXCM’s Recent Development

???In March, DXCM signed a licensing and data partnership with Nanowear, a privately held healthcare-at-home digital diagnostics company. Per the terms of the agreement, Nanowear will use glucose data from Dexcom G7 CGM synchronously alongside Nanowear’s previously FDA-cleared cardiovascular biomarkers for investigational purposes.

Favorable Industry Prospects for DXCM

Per a report by MarketsandMarkets, the global digital diabetes management market was estimated to be $18.9 billion in 2023 and is expected to reach $35.8 billion by 2028 at a growth rate of 13.6%.

The market is being driven by escalating diabetes care solutions and technological developments that have made it possible to introduce highly adaptable solutions. Other significant drivers include the increasing popularity of connected devices and apps and the growing adoption of cloud-based solutions.

DXCM’s Zacks Rank & Stocks to Consider

DXCM carries a Zacks Rank #3 (Hold) at present.

Some better-ranked stocks from the broader medical space are AngioDynamics ANGO, Veeva Systems VEEV and Masimo MASI.

AngioDynamics, currently sporting a Zacks Rank #1 (Strong Buy), reported third-quarter fiscal 2025 adjusted EPS of 3 cents against the Zacks Consensus Estimate of a loss of 13 cents. Revenues of $72 million beat the Zacks Consensus Estimate by 2%. You can see the complete list of today’s Zacks #1 Rank stocks here.

ANGO has an estimated fiscal 2026 earnings growth rate of 27.8% compared with the S&P 500 Composite’s 10.5% growth. The company surpassed earnings estimates in each of the trailing four quarters, with the average surprise being 70.9%.

Veeva Systems, sporting a Zacks Rank #1 at present, posted fourth-quarter fiscal 2025 adjusted EPS of $1.75, exceeding the Zacks Consensus Estimate by 10.1%. Revenues of $720.9 million surpassed the Zacks Consensus Estimate by 3.2%.

VEEV has an estimated long-term earnings growth rate of 26.6% compared with the industry’s 20.8% growth. The company’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 7.9%.

Masimo, currently sporting a Zacks Rank #1, reported a fourth-quarter 2024 adjusted EPS of $1.80, which surpassed the Zacks Consensus Estimate by 20.8%. Revenues of $600.7 million topped the Zacks Consensus Estimate by 0.8%.

MASI has an estimated earnings yield of 3.5% for fiscal 2025 against the industry’s 3.6% yield. The company’s earnings surpassed estimates in each of the trailing four quarters, with the average surprise being 14.4%.

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