Abbott vs. Dexcom: Competition in CGM Market
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 20 2026
0mins
Should l Buy ABT?
Source: NASDAQ.COM
- Market Leadership: Abbott leads the continuous glucose monitoring (CGM) market with its FreeStyle Libre product line, which surpassed five million patient installations three years ago, demonstrating strong market penetration, while Dexcom, despite outperforming over the past decade, has yet to reach this milestone.
- Diversification Advantage: Abbott's business spans medical devices, diagnostics, nutrition, and pharmaceuticals, allowing it to maintain stable revenue and earnings growth, while also providing the financial resources for continued investment in the CGM market, enhancing its competitive position.
- Acquisition for Market Expansion: Abbott's $21 billion acquisition of Exact Sciences allows entry into the cancer diagnostics market, with Cologuard serving as a non-invasive colorectal cancer screening tool targeting millions of eligible individuals yet to be tested, showcasing its potential for expansion in healthcare.
- Risk vs. Reward: While Dexcom shows stronger revenue growth, its lack of diversification poses higher risks, especially if the CGM market is impacted by GLP-1 medications, whereas Abbott's diversified business model enables quicker recovery, making it more suitable for risk-averse investors.
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Analyst Views on ABT
Wall Street analysts forecast ABT stock price to rise
19 Analyst Rating
17 Buy
2 Hold
0 Sell
Strong Buy
Current: 84.900
Low
136.00
Averages
148.11
High
169.00
Current: 84.900
Low
136.00
Averages
148.11
High
169.00
About ABT
Abbott Laboratories is a global healthcare company. The Company’s principal business is the discovery, development, manufacture, and sale of a broad and diversified line of healthcare products. Its segments include Established Pharmaceutical Products, Diagnostic Products, Nutritional Products, and Medical Devices. Established Pharmaceutical Products segment is engaged in the international sales of a broad line of branded generic pharmaceutical products. Diagnostic Products segment is involved in the worldwide sales of diagnostic systems and tests for blood banks, hospitals, commercial laboratories and alternate-care testing sites. Nutritional Products segment is engaged in the worldwide sales of a broad line of adult and pediatric nutritional products. Medical Devices segment is involved in the worldwide sales of rhythm management, electrophysiology, heart failure, vascular, structural heart, neuromodulation and diabetes care products. It serves people in more than 160 countries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Investor Sentiment Divergence: While the S&P 500 and Nasdaq Composite reached record highs, the market has become increasingly bifurcated, with investors flocking to artificial intelligence stocks while aggressively selling off others.
- Healthcare Tech Companies Struggling: Danaher has seen a 27% decline in stock price, and Cramer noted that several medical technology firms, including Boston Scientific and Medtronic, have hit new lows, reflecting a cold market attitude towards non-tech stocks.
- AI Hype and Market Extremes: Cramer cautioned that while investors are overly enthusiastic about AI stocks, the current market dynamics are far more extreme than in 1999, with some hated stocks being excessively punished and loved stocks being excessively favored.
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- Profitability Improvement: Adjusted diluted EPS rose 12% to $1.50, meeting market expectations, with operating margin expanding to 25.8%, showcasing effective cost management strategies amid inflationary pressures.
- Strong Medical Device Performance: The Medical Devices segment generated $5.675 billion in sales, a 12.3% increase, marking the 12th consecutive quarter of double-digit organic growth, with FreeStyle Libre sales reaching $2 billion, underscoring its market leadership.
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