Despite the DexCom (DXCM) Nick Jonas Super Bowl ad, investors seem to be turning bearish. It is very important to watch insiders of the company you’re invested in and it seems insider faith is dwindling.
According to a recent press release, the company stated that it has partnered with Nick Jonas to bring more awareness to DexCom’s continuous glucose monitoring system for diabetes. The ad is expected to run Sunday, February 7th.
Despite this partnership, DexCom insiders are selling their stake. This could be a sign that helps investors acknowledge that insider faith is dwindling. There are many reasons as to why these insiders are selling stock, however the most common reasons are that they could believe that the company is heading in the wrong direction.
They do this in order to sell before the stock price takes notice which may lead other investors to sell their positions. It’s fair to note that these insiders has been selling all of their shares with no buying positions since February 2020.
Another company which may take major market share
Another soon to be major player in the diabetes device market is Senseonics (SENS), this company has a new innovative approach. Instead of creating a device that pokes into the skin and limits movement, they created an implantable sensor that goes under the skin and a transmitter which sits atop above the skin.
According to recent reviews, the implant procedure is painless and takes less than 10 minutes. In a few years I predict that this company will take major market share from its competitors like DexCom therefore reaching a price target of $20+ after the FDA approves the 180-day CGM device.