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Senseonics Holdings Inc (SENS) Stock On The Verge Of Breakout: Now What?

Jon Williams , , , ,

Robinhood and Reddit users have been keenly tracking Senseonics Holdings Inc (NYSEAMERICAN:SENS) for the last few months. The company shares surged by 1,100% in six weeks commencing December taking the company from a penny stock in 2020 to a $5.27 close on Feb. 16. Though the months saw significant volatility, its shares surged significantly on June 4.

Senseonics shares have tremendous potential as they produce glucose monitoring devices, Eversense Continuous Glucose Monitor (CGM), which is gaining popularity amongst people seeking diabetes prevention and treatment. Trading at $3.90 per share, its shares have rallied significantly last month but still below February high.

The company focused on Eversense CGM system has an implanted sensor, a smart transmitter as well as a mobile app. CGMs are important for people having diabetic issues, as they receive precise real-time blood sugar data facilitating insulin dose as required.

Furthermore, the transmitter’s vibration alert as well as mobile app permits for regular glucose monitoring. The implants are solutions for only short term. Senseonics’ fluorescent sensor can function for 90 days.  With over 422 million people globally suffering from diabetes, as confirmed by WHO, Eversense’s long-term effectiveness for 180 days are reasons for cheer of investors.

The company’s revenue of $2.85 million in quarter one, guidance of $12 million to $15 million for 2021 and cash equivalent of $178.6 million makes it a part of portfolio grader stock. Additionally, CDC reports that one in three American adults are pre-diabetic and the largest market amongst global diabetes will be in North America.

Market Reaction:

On Friday, SENS stock moved up 0.30% at $3.51 with more than 17.09 million shares, compared to its average volume of 31.13 million shares. The stock had moved within a range of $3.3800 – 3.7000 after opening the trade at $3.61. Over the past 52-week, the stock has been trading within a range of $0.3500 – 5.5600.

Jon Williams

Jon graduated from the University of Michigan with a degree in finance. He is an avid investor and enjoys reporting on the markets. When he is not in front of a computer he enjoys playing golf and watching basketball.