Better Medical Device Stock Right Now: Abbott Laboratorie…

By Prosper Junior Bakiny – Apr 20, 2026 at 4:21PM EST

Key Points

Abbott Laboratories and Dexcom are the biggest players in the market for continuous glucose monitoring devices.
Abbott has a vast lineup of products beyond that and an overall diversified healthcare business.
Dexcom is much smaller and less diversified, but that has advantages, too.

Which one is the CGM leader?

Abbott Laboratories stated several years ago that only 1% of the world’s diabetics use CGM. That statistic highlights the massive opportunity ahead. Even if adoption has grown since then, the CGM market ly hasn’t peaked yet. Abbott’s CGM business features its famous FreeStyle Libre franchise, as well as the Libre Rio and the Lingo, which are newer, over-the-counter products Abbott Laboratories launched to expand its market.

Dexcom’s CGM portfolio is also diversified. Its products include its G series — which is currently in its seventh iteration — the Dexcom ONE, a cheaper version (with fewer features) it launched in some countries to expand access to its technology, and the Stelo, an over-the-counter CGM system.

Abbott Laboratories Stock Quote

NYSE: ABT

Abbott Laboratories

Today’s Change

(-0.84%) $-0.81

Current Price

$96.00

Key Data Points

Market Cap

$169B

Day’s Range

$95.49 – $97.32

52wk Range

$93.92 – $139.06

Volume

9.4M

Avg Vol

12M

Gross Margin

58.86%

Dividend Yield

2.52%

Abbott Laboratories arguably leads the CGM market ahead of Dexcom. The FreeStyle Libre has an installed base that surpassed five million patients as of three years ago, while Dexcom’s signature franchise still hasn’t gotten to that milestone. Further, the FreeStyle Libre has become the single best-selling medical device of all time in terms of dollar sales, which is quite an accomplishment.

Abbott’s diversification advantage

One of Abbott Laboratories’ strengths is its diversified business spanning medical devices, diagnostics, nutrition, and pharmaceuticals. Within its core medtech business, it boasts market-leading devices across several categories, including its MitraClip, which helps treat a heart-related condition. Abbott Laboratories’ large portfolio should enable it to generate consistent revenue and earnings. It also has notable growth opportunities in other areas. Abbott Laboratories acquired Exact Sciences for $21 billion in cash to gain access to the cancer diagnostics market.

DexCom Stock Quote

NASDAQ: DXCM

DexCom

Today’s Change

(1.00%) $0.64

Current Price

$64.62

Key Data Points

Market Cap

$25B

Day’s Range

$63.34 – $65.29

52wk Range

$54.11 – $89.98

Volume

3.8M

Avg Vol

4.7M

Gross Margin

60.44%

Exact Sciences’ most important product, Cologuard, is a non-invasive option to test for colorectal cancer (CRC) for people at average risk. CRC is the second-leading cause of cancer deaths worldwide, and millions of eligible people have yet to be tested. So, there is still a vast addressable market here. Some of Abbott Laboratories’ older franchises should also perform well over the medium term. The company will also launch newer ones, as it has done throughout its history.

The choice depends on your goals

Dexcon trails Abbott Laboratories in its core market — at least when we compare their respective installed bases — despite being a pure-play CGM company. Meanwhile, Abbott Laboratories has a vast presence outside this niche. Abbott Laboratories also has the funds to invest in R&D to continue pursuing its CGM agenda, keep up with its smaller rival, Dexcom, and expand into other markets. Given these factors, is there any reason to pick Dexcom over Abbott Laboratories? Yes, there is. Dexcom is a smaller, leaner company that generally posts stronger revenue growth.

ABT Revenue (Annual) data by YCharts

Dexcom’s size could grant it more upside as both medical device specialists continue to battle it out in the CGM market. In fact, over the past decade, Dexcom has outperformed Abbott.

DXCM Total Return Level data by YCharts

However, what makes Dexcom attractive compared to Abbott Laboratories also makes it more risky. Its lack of diversification could mean that if things don’t go as planned in the CGM market — perhaps due to the rise of GLP-1 medicines — its price will plummet. Abbott Laboratories would suffer too, but it would recover much faster. Lastly, Abbott Laboratories is an excellent dividend stock. It is part of the Dividend Kings group, companies with 50 or more consecutive annual dividend increases. The bottom line: Abbott Laboratories is the better choice for risk-averse income seekers or those concerned that CGM adoption could decline due to weight-loss drugs. Dexcom will appeal more to risk-tolerant, growth-oriented investors.