Senseonics (NYSEAMERICAN:SENS) has been the talk of the town in the penny stock markets. I believe it has potential to become the next Dexcom (NASDAQ:DXCM).
What is Senseonics (SENS) and Eversense CGM?
Senseonics is an innovative medical device company, SENS engages in the design, development, and commercialization of implantable continuous glucose monitoring system for people with diabetes.
Its primary product is the brand Eversense, a gluscose monitoring device which includes sensor, smart transmitter, and mobile application.
Rather than taking the traditional route, the Senseonics team considered other options and decided to develop a new technology. One intended for use beneath the skin.
The Senseonics Eversense sensor is completely separate from the transmitter, unlike competitors such as DexCom, Abbott (NYSE:ABT), and Medtronic (NYSE:MDT), which allows the arm to move more freely.
People who used Senseonics’ Eversense CGM reported that they were also customers of DexCom, Abbott, and Medtronic, and that they enjoyed using Eversense, according to a recent study. They also stated that they would go through the implant procedure again, indicating a significant need.
The company is also looking to develop longer lasting sensors that last up to 180 days and 365 days which has yet to be approved by the FDA, once the FDA grants the nod, I see SENS shares skyrocketing.
Senseonics (SENS) to report earnings in the after market
According to a report by Allied Market Research, the diabetes care device market is expanding. The market was worth $6.867 billion in 2016 and is expected to grow to $10.208 billion by 2023. That’s nearly a doubling of the total market, equating to 5.8% compound annual growth over that time period.
On May 13 after hours, Senseonics Holdings will report earnings. We won’t be able to see those outcomes in this article, but we can check back at the March 10-K. Senseonics isn’t a pre-revenue business, but it’s also not profitable.
Given its in a growing marketing and upcoming FDA approval, I believe SENS stock has the potential to rise above current levels in the long run. In the short term, everything is a guess. However, I believe it is worth a calculated risk. The sector is expanding, but wait until May 13 earnings to get a better picture of its financial state.