Tandem Diabetes Care's stock surged 11.53% intraday, driven by the company's strong first-quarter financial performance that exceeded analyst expectations.
The medical device maker reported Q1 sales of $247.2 million, a 5% year-over-year increase, while its net loss narrowed to $20.4 million from $130.6 million a year earlier. The company's adjusted loss per share of $0.30 beat the consensus estimate of $0.45, and revenue surpassed expectations of $241.13 million. Gross margin improved significantly to 55%, up 4.8 percentage points from the prior year, reflecting operational efficiency gains.
Business developments including record pump shipments exceeding 29,000 units worldwide, the launch of a pay-as-you-go reimbursement model in the U.S. pharmacy channel, and the expansion of its connected care ecosystem contributed to the positive results. The company also reaffirmed its full-year 2026 sales guidance of $1.065 billion to $1.085 billion and projected gross margin of 56%-57%. Analyst sentiment remained positive with TD Cowen maintaining a Buy rating and $28 price target, citing strengthening fundamentals.
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