2 Healthcare Stocks to Buy Hand Over Fist in January
Stocks tend to perform well in January, but that’s not a good reason to invest in. Instead, as long-term investors know, the key is to hold on to companies that can perform well in the long run there are many candidates for that purpose, consider two in the healthcare sector; DexCom (NASDAQ: DXCM) and: Exact sciences (NASDAQ: EXAS). Let’s discuss why these two companies are worth investing in right now.
DexCom, the market leader in continuous glucose monitoring (CGM), or devices that help diabetes patients track their blood glucose levels, faced some challenges in 2024, including slower-than-expected revenue growth due to patient rebate eligibility. due to problems.DexCom shares fell off a cliff after it reported its second quarter earnings.Although they have pulled back somewhat, they are still down significantly from their pre-August levels.
Given DexCom’s long-term prospects, it’s a good opportunity to invest in the stock. Adoption of CGM devices has provided a headwind for the company in the past, leading to strong revenue and earnings growth.These gadgets have significant advantages over blood glucose meters. For example, CGMs can automatically measure patients’ sugar levels up to every five minutes, allowing them to make better health decisions every day.
BGMs are manual and only record patients’ glucose levels at a single point in time, so it’s no surprise that CGMs are associated with better health outcomes. where CGMs enjoy greater penetration than in many other countries, the number of patients using CGMs continues to lag behind the general population covered by insurance, DexCom estimates in the US A total target market of 25 million people, which is part of the diabetes population worldwide.
It’s also worth noting that DexCom has expanded beyond treating diabetes. It launched Stelo in 2024, an over-the-counter CGM option that can be used by people with prediabetes. Finally, DexCom’s devices are third-party compatible with insulin pens, pumps, etc. It gives the company network effect. That, combined with a huge runway for growth ahead, should allow DexCom to bounce back from its recent decline and provide excellent returns to investors who stay the course.
That’s why stocks are buying this month.
Exact Sciences develops innovative cancer tests. The company’s best-known brand so far is Cologuard, a home, non-invasive test for colorectal cancer, the second leading cause of cancer death in the world. Colorectal is highly treatable when detected early is that not enough eligible patients are being tested.Health professionals recommend regular screenings for people 45 and older.That’s Exact Sciences’ target market is
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