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  "docSlug": "34401c2968d1",
  "documentTitle": "Dexcom, Inc. (DXCM)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-03-21 00:00:00",
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  "notes": "The slide uses a red box and arrow to emphasize the disparity in manufacturer COGS and net revenue.",
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      "kind": "callout",
      "text": "We estimate that, on a per-patient-per-day basis, Dexcom spends 59% more to produce the G6 system than Abbott will generate in revenue on the Libre 2.",
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      "text": "Manufacturer COGS per Payor per Day: $0.82",
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      "text": "We recognize that the impending release of the Libre 2 in the U.S. is no secret to Dexcom bulls. However, we believe that they underestimate the potential economic consequences of heightened price competition between Abbott and Dexcom as Dexcom's technological advantage erodes.",
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      "text": "Adjusting for differences in sensor life between the G6 and Libre 2.0, Abbott spends just ~25% what Dexcom spends to produce CGM sensors and transmitters.",
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      "text": "1. Analysis assumes Libre 2 pricing will be consistent with Libre 1 pricing... 2. Spruce Point Estimates",
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      "text": "Production Cost Comparison: Dexcom G6 vs. Abbot Freestyle Libre 2",
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      "text": "In A Commoditized CGM Market, Abbott's Cost Advantage Will Support Drastically Lower Prices",
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