Dexcom Jumps After Diabetes Device Gets Medicare Coverage

Dexcom Inc. rose the most in eight years after its device for continuous monitoring of diabetics’ blood sugar levels became the first of its kind to be covered by Medicare.

In a surprise ruling late Jan. 12, more than a year earlier than expected, the Centers for Medicare & Medicaid Services said Dexcom’s continuous glucose monitoring system can be considered a replacement for standard fingerstick blood sugar tests (see related article). Until now, the system was approved only to complement fingerstick testing. Dexcom gained 31 percent to $88.24 in the early afternoon of Jan. 13, after earlier reaching ...