2025 Performance & 2026 Outlook - Preliminary 2025 revenue is expected to be approximately $4662 billion, representing organic growth of ~15%[31] - The active Dexcom base grew by 20%+[31] - Revenue for 2026 is projected to be between $516 billion and $525 billion, representing growth of ~11-13%[33] - Non-GAAP gross margin is expected to be ~63-64% in 2026[34] - Non-GAAP operating margin is expected to be ~22-23% in 2026[34] Market & Product Expansion - Approximately 40% of US adults have prediabetes[13] - Dexcom CGM has powered over 25 million patient years on automated insulin delivery[55] - Dexcom G7 15 Day has an updated algorithm with 80% MARD[56] - Stelo generated ~$130 million in revenue in 2025[72] Financial Expectations - The company expects to generate over $1 billion of free cash flow in 2026[89] - Adjusted EBITDA is expected to be greater than $15 billion[88]

Financial Reporting - Dexcom will report preliminary, unaudited financial results for Q4 2025 and fiscal year 2025 on January 12, 2026[5]. - The preliminary results will include revenue growth rates and total revenue guidance for fiscal 2026[6]. - Dexcom's management will provide Non-GAAP Gross Profit Margin and Non-GAAP Operating Margin guidance for fiscal years 2025 and 2026[6]. - The financial results and outlook will be finalized in connection with the preparation of Dexcom's Annual Report on Form 10-K for the year ended December 31, 2025[6]. Business Updates - A business update press release was issued on January 7, 2026, providing additional context for the upcoming financial results[7]. - Dexcom's CEO, Jake Leach, will present the financial results at the J.P. Morgan 44th Annual Healthcare Conference[5]. Regulatory Compliance - The company is not classified as an emerging growth company under the Securities Act[3]. - Dexcom's financial statements and exhibits will be included in the filings as per the requirements of the Securities Exchange Act of 1934[9]. - The report will not be deemed "filed" for purposes of the Exchange Act, and the information is not incorporated by reference in any future filings[8]. Forward-Looking Statements - The company emphasizes that forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially[6].

Core Insights - Dexcom reported preliminary, unaudited results for the fourth quarter and fiscal year 2025, indicating strong performance and growth in the continuous glucose monitoring market [1] Financial Performance - For the fourth quarter of 2025, Dexcom's revenue is projected to be approximately $600 million, representing a year-over-year increase of 20% [1] - The total revenue for fiscal year 2025 is expected to reach around $2.3 billion, marking a 25% growth compared to fiscal year 2024 [1] 2026 Outlook - The company provided an initial outlook for 2026, forecasting revenue growth to approximately $2.8 billion, which would indicate a 22% increase from 2025 [1] - Dexcom anticipates continued expansion in its customer base and product offerings, contributing to sustained revenue growth in the upcoming year [1]

Core Insights - The article highlights significant structural changes in retirement and healthcare financing in the U.S. by 2026, which will impact consumer payment methods for care and competition among medical device companies [1] Policy Changes - The IRS has increased Health Savings Account (HSA) contribution limits for 2026 to $4,400 for individuals and $8,750 for families, up from $4,300 and $8,550 in 2025 respectively [2] - The age-55 "catch-up" contribution remains at $1,000, reflecting cost-of-living adjustments aimed at preserving the tax-advantaged nature of HSAs [3] - Medicare Part B premiums are rising to $202.90 per month, an increase of nearly $18 from 2025, with the Part B deductible increasing to $283 [4] Implications of HSA and Medicare Changes - The rising HSA limits make HSAs more attractive for managing out-of-pocket healthcare costs, while higher Medicare premiums may lead to increased enrollment in Medicare plans and ancillary services [5] - HSAs can be used for both current medical costs and qualified medical device expenses, allowing consumers to save more tax-free dollars for durable medical equipment [6] - Higher premiums may increase demand for technologies that improve disease self-management and prevent costly complications, influencing total care costs [7] Companies Positioned to Benefit - DexCom, ResMed, and Masimo are identified as companies likely to benefit from these trends due to their focus on markets where out-of-pocket costs and reimbursement policies significantly affect adoption [8] - DexCom's continuous glucose monitoring (CGM) systems may see increased adoption as higher HSA limits help patients manage diabetes costs [9] - ResMed's devices for sleep and respiratory care align with the aging Medicare demographic and rising out-of-pocket care needs [9] - Masimo's monitoring tools support preventive care, which becomes more relevant as Medicare premiums rise [9] Company-Specific Insights - DexCom is a leader in CGM systems, providing real-time glucose data that aids in insulin delivery and lifestyle management, with a focus on expanding Medicare coverage for CGM devices [10][11] - Higher HSA limits allow diabetes patients to allocate more pre-tax savings for CGM systems, reducing financial barriers to adoption [12] - ResMed specializes in devices for sleep-disordered breathing, with rising premiums incentivizing seniors to use HSAs for optimal therapy devices [15][16] - Masimo develops non-invasive monitoring systems, with increased demand for preventive monitoring as Medicare beneficiaries face higher premiums [18][19]

Company Overview - Vertex Pharmaceuticals' shares have increased by 13% year to date, which is slightly below the S&P 500, despite facing several setbacks and disappointing financial results [4] - The company has abandoned the development of certain pipeline candidates, including VX-264 for Type 1 diabetes [4] Future Prospects - Several factors could positively impact Vertex's financial results in the coming year, including meaningful pipeline progress and the potential launch of at least one new product [5] - Vertex launched Journavx, the first approved oral, non-opioid pain inhibitor, earlier this year, with expectations for significant progress in its top-line growth next year due to increased third-party coverage [6] - The company's Casgevy, approved two years ago for treating rare blood disorders, is also expected to make commercial strides in 2026 [6] Core Products - Vertex's core cystic fibrosis (CF) franchise remains robust, as its products are the only ones capable of addressing the underlying causes of the disease, with a significant number of patients still untreated [7] - The company has another medicine for Type 1 diabetes, zimislecel, which has shown promising results in clinical studies by reducing insulin dependence and severe hypoglycemic events [8] Market Expansion - DexCom is actively expanding its addressable market to address current challenges, indicating a strategic move to enhance its market position [8]

Core Viewpoint - A class action lawsuit has been filed against DexCom, Inc. for allegedly making false and misleading statements regarding its products, particularly the G6 and G7 glucose monitoring devices, during the class period from July 26, 2024, to September 17, 2025 [2][3]. Group 1: Lawsuit Details - The lawsuit is filed in the United States District Court for the Southern District of New York on behalf of all individuals and entities who purchased DexCom securities during the specified class period [2]. - Investors have until December 26, 2025, to apply to be appointed as lead plaintiff in the lawsuit [2]. Group 2: Allegations - The complaint alleges that DexCom made unauthorized design changes to the G6 and G7 devices that were not approved by the FDA, which compromised their reliability and posed health risks to users [3]. - It is claimed that the enhancements to the G7 were overstated, and the company downplayed the severity of issues related to the devices, leading to increased regulatory scrutiny and potential legal repercussions [3]. Group 3: Next Steps for Investors - Investors who suffered losses or have information regarding the claims are encouraged to contact the law firm for further details and assistance [4].

Core Viewpoint - The Gross Law Firm is notifying shareholders of DexCom, Inc. about a class action lawsuit due to allegations of misleading statements and undisclosed material changes to their glucose monitoring products, which may have health implications for users [1][3]. Group 1: Allegations Against DexCom - The complaint alleges that DexCom made unauthorized design changes to its glucose monitoring products, the G6 and G7, which were not approved by the U.S. Food and Drug Administration [3]. - These design changes reportedly rendered the G6 and G7 devices less reliable, posing a material health risk to users who depend on them for accurate glucose readings [3]. - The enhancements claimed for the G7, including its reliability and accuracy, were allegedly overstated, and the company downplayed the severity of the issues related to the G7 devices [3]. Group 2: Legal and Financial Implications - The allegations suggest that DexCom is facing increased regulatory scrutiny and potential enforcement actions, which could lead to significant legal, reputational, and financial harm [3]. - The public statements made by DexCom were claimed to be materially false and misleading throughout the relevant period, which could impact investor confidence and stock performance [3]. Group 3: Class Action Participation - Shareholders who purchased shares of DXCM between January 8, 2024, and September 17, 2025, are encouraged to register for the class action, with a deadline for lead plaintiff applications set for December 26, 2025 [4]. - Participants will be enrolled in a portfolio monitoring system to receive updates on the case's progress, with no cost or obligation to join [4].

Group 1 - DexCom Inc. has been upgraded by Morgan Stanley to Overweight from Equal Weight with a new price target of $75, reflecting an increase from $63, as the company is overcoming operational challenges and its stock is at historical lows [1] - Evercore ISI initiated coverage of DexCom with an In Line rating and a price target of $68, citing concerns over product quality, manufacturing challenges, and competitive threats that may hinder market share growth through 2026 [2] - DexCom announced FDA clearance for Dexcom Smart Basal, the first CGM-integrated basal insulin dosing optimizer for adults with Type 2 diabetes, aimed at simplifying insulin management and addressing barriers to therapy [3] Group 2 - DexCom Inc. specializes in designing, developing, and commercializing continuous glucose monitoring (CGM) systems both in the US and internationally [4]

Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of DexCom, Inc. regarding a class action lawsuit alleging that the company made materially false and misleading statements about its glucose monitoring products, the G6 and G7, which could pose health risks to users [1]. Group 1: Allegations - The complaint alleges that DexCom made unauthorized design changes to the G6 and G7 glucose monitoring products, which rendered them less reliable than previous versions [1]. - It is claimed that these changes presented a material health risk to users who depend on these devices for accurate glucose readings [1]. - The lawsuit asserts that the enhancements to the G7, including its reliability, accuracy, and functionality, were overstated by the defendants [1]. - The defendants allegedly downplayed the severity of the issues and health risks associated with the altered G7 devices [1]. - The allegations suggest that DexCom faced increased regulatory scrutiny and potential legal, reputational, and financial harm due to these issues [1]. - As a result, the public statements made by the defendants were deemed materially false and misleading throughout the relevant period [1]. Group 2: Class Action Details - The class period for the lawsuit is defined as January 8, 2024, to September 17, 2025, and shareholders are encouraged to register for participation [1][2]. - The deadline for shareholders to seek lead plaintiff status is December 26, 2025, and there is no cost or obligation to participate in the case [2]. - Registered shareholders will be enrolled in a portfolio monitoring software to receive updates on the case's progress [2]. Group 3: Law Firm Background - The Gross Law Firm is a nationally recognized class action law firm dedicated to protecting the rights of investors affected by deceit, fraud, and illegal business practices [3]. - The firm aims to ensure that companies adhere to responsible business practices and engage in good corporate citizenship [3].

Core Viewpoint - Securities class action lawsuits have been filed against DexCom, Inc. for alleged misleading statements and undisclosed material changes to its glucose monitoring systems during the specified class period [1]. Group 1: Allegations Against DexCom - Defendants allegedly made false and misleading statements regarding unauthorized design changes to the G6 and G7 continuous glucose monitoring systems [3]. - The design changes reportedly rendered the G6 and G7 devices less reliable, posing health risks to users relying on accurate glucose readings [3]. - DexCom is accused of overstating the enhancements and reliability of the G7 device while downplaying the severity of issues related to adulterated devices [3]. - The company allegedly faced increased regulatory scrutiny and potential legal, reputational, and financial harm due to these issues [3]. Group 2: Legal Process and Representation - Investors in DexCom have until December 26, 2025, to seek appointment as lead plaintiffs in the class action [4]. - A lead plaintiff represents the interests of all class members and selects counsel to direct the litigation [4]. - Investors can choose to remain absent from the proceedings without affecting their ability to share in any recovery [4].