Piper Sandler’s Top Technical Stock Picks: 20 Best Stocks

6. Insulet Corporation (NASDAQ:PODD)

Number of Hedge Fund Holders In Q2 2024: 44

Insulet Corporation (NASDAQ:PODD) is a specialty medical devices company. The firm makes and sells products that enable diabetics to use insulin and monitor their blood sugar levels. Its business model provides Insulet Corporation (NASDAQ:PODD) with a double edged sword. On one hand, its insulin pod delivery system is the first of its kind which continuously monitors patient glucose levels throughout the day and delivers insulin accordingly without needing syringes. On the flip side, since Insulet Corporation (NASDAQ:PODD) relies exclusively on its pods, the firm can struggle in the future if competitors arise to challenge its market position. Additionally, the firm’s hypothesis is also dependent on continuous product upgrades. On this front, Insulet Corporation (NASDAQ:PODD)’s shares have gained a massive 27% since late August after the Omnipod 5 was approved by the FDA. Piper Sandler followed with a share price upgrade that increased the target to $285 from $230 and kept an Overweight rating on the shares.

Brown Capital mentioned Insulet Corporation (NASDAQ:PODD) in its Q2 2024 investor letter. Here is what the fund said:

“Insulet is a medical-device company that produces the Omnipod Insulin Management System, the first commercial, tubeless, insulin-patch pump. Insulin-dependent diabetics historically relied on syringes or tubed insulin pumps to administer the medicine. The Omnipod offers a distinct form factor for insulin delivery: a sleek, disposable, multiday pod that attaches to the body. As technology advanced, these pumps were paired with continuous glucose monitoring (CGM) systems that automatically transmit glucose data wirelessly to the insulin pump. Pumps could then use this real-time information to dynamically adjust the insulin-infusion rate, mimicking the function of a healthy pancreas and dramatically improving a patient’s quality of life. After reeling late last year over concerns that GLP-1s, the popular weight-loss drugs, will curb diabetes and reduce insulin-pump demand, Insulet’s shares have slowly rebounded as the company’s results have remained strong.”