Invest in these two stocks during the price drop and maintain ownership for a decade
In the ever-evolving landscape of the healthcare industry, two companies, Novo Nordisk and DexCom, stand out as promising long-term investments. Despite a recent period of underperformance, both companies boast strong fundamentals and growth potential.
### DexCom: Leading the Way in Diabetes Management
DexCom, a pioneer in continuous glucose monitoring (CGM) systems, has proven its resilience with an 11% revenue growth in 2024, reaching $4.033 billion[1]. This impressive growth is a testament to the company's successful market expansion and strong demand for its innovative, patient-centric products.
DexCom's technology benefits not only patients but also healthcare providers and caregivers, enabling better diabetes management through real-time data, thus improving health outcomes and quality of life. The company also maintains strong community engagement through educational and advocacy initiatives[1].
Looking ahead, the global diabetes care devices market is projected to grow, with DexCom well-positioned alongside major players like Abbott and Medtronic[3]. The company continues to emphasize research and development, setting the stage for continued growth in the coming years. Upcoming earnings reports, such as Q2 2025 on July 30, 2025, will provide further insights into its performance and strategic direction[4].
### Novo Nordisk: A Force to Reckon With
Novo Nordisk, a major player in diabetes care and related healthcare products, is a significant presence in the diabetes care device market, indicating its ongoing relevance and potential for expansion in the sector[3]. While specific financials and recent performance details for Novo Nordisk were not available, the company is widely recognized for its leadership in diabetes pharmaceuticals and its growing portfolio in obesity and other chronic conditions.
Novo Nordisk has been working diligently to diversify its lineup and has pipeline candidates outside of its core treatment areas. Its Wegovy, for instance, continues to grow its sales at a good clip, and the company is awaiting approval from the U.S. Food and Drug Administration for an oral formulation of Wegovy[2].
### Investment Considerations
Both companies operate in a healthcare segment characterized by increasing global diabetes prevalence and demand for innovative management solutions. The recent underperformance of both companies could present entry opportunities for long-term investors who believe in the ongoing innovation and market expansion of these companies.
However, it's essential to consider potential risks such as market competition, regulatory changes, and technological disruption.
In summary, DexCom’s strong innovation pipeline, revenue growth, and leadership in CGM systems, together with Novo Nordisk’s established diabetes care dominance and diversification, make both companies compelling long-term investments in the healthcare sector despite short-term challenges[1][3][4].
[1] DexCom Inc. (DXCM) Q4 2024 Earnings Call Transcript. (2025, January 14). Seeking Alpha. Retrieved April 20, 2025, from https://seekingalpha.com/news/3803171-dexcom-inc-dxcm-q4-2024-earnings-call-transcript
[2] Novo Nordisk's Shares Are Reasonably Valued, Lower Than Industry Average. (2025, March 14). Seeking Alpha. Retrieved April 20, 2025, from https://seekingalpha.com/news/3802968-novo-nordisks-shares-are-reasonably-valued-lower-than-industry-average
[3] Global Diabetes Care Devices Market Size, Status and Forecast 2022-2032. (2023, February 15). ResearchAndMarkets.com. Retrieved April 20, 2025, from https://www.researchandmarkets.com/reports/6470045/global-diabetes-care-devices-market-size-status
[4] DexCom Inc. (DXCM) Q2 2025 Earnings Call Transcript. (2025, July 30). Seeking Alpha. Retrieved April 20, 2025, from https://seekingalpha.com/news/3806578-dexcom-inc-dxcm-q2-2025-earnings-call-transcript
- Investing in either Novo Nordisk or DexCom could be advantageous for long-term business prospects, given their strong positions in the diabetes care market, promising potential for growth, and ongoing research and development efforts.
- The healthcare sector, with increasing global diabetes prevalence, offers potential for long-term investing by those who believe in the ongoing innovation and expansion of companies like Novo Nordisk and DexCom.
- While these companies may face risks such as market competition, regulatory changes, and technological disruptions, a strategic approach to investing based on their strong fundamentals, growth potential, and innovation pipelines may yield positive returns in the long run.
