A securities class action has been filed against DexCom, Inc. (DXCM) on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired DexCom securities between July 26, 2024 through September 17, 2025. This case has been filed in the USDC – SDNY.
DexCom is a medical device company primarily focused on the design, development, and commercialization of continuous glucose monitoring (“CGM”) systems for the management of diabetes and metabolic health. The Company’s products include, inter alia, the Dexcom G6 and Dexcom G7 systems, which DexCom launched in 2018 and 2023, respectively.
The G7 is DexCom’s flagship product and, accordingly, its commercial success is of paramount importance to both investors and Defendants. At all relevant times, Defendants consistently touted the accuracy, reliability, and functionality of the G7, as well as their purported enhancements to the device and the ramping up of its manufacturing facilities. As of the date of the Complaint’s filing, DexCom continued to describe the G7 as its “most powerful [CGM] system” and “the most accurate CGM available.”
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) DexCom had made material design changes to the G6 and G7 unauthorized by the United States Food and Drug Administration (the “FDA”); (ii) the foregoing design changes rendered the G6 and G7 less reliable than their prior iterations, presenting a material health risk to users relying on those devices for accurate glucose readings; (iii) accordingly, Defendants’ purported enhancements to the G7, as well as the device’s reliability, accuracy, and functionality, were overstated; (iv) Defendants downplayed the true scope and severity of the issues and health risks posed by adulterated G7 devices; (v) all the foregoing subjected DexCom to an increased risk of heightened regulatory scrutiny and enforcement action, as well as significant legal, reputational, and financial harm; and (vi) as a result, Defendants’ public statements were materially false and/or misleading at all relevant times.