H.C. Wainwright reiterates Buy rating on Senseonics stock at $1.40

Published 05/09/2025, 12:36
H.C. Wainwright reiterates Buy rating on Senseonics stock at $1.40

Investing.com - H.C. Wainwright has maintained its Buy rating and $1.40 price target on Senseonics Holdings (NYSE:SENS) following the company’s announcement of a distribution agreement change. The stock, currently trading at $0.45, has seen two analysts revise their earnings estimates upward for the upcoming period, according to InvestingPro data.

On September 3, Senseonics revealed it had reached an agreement with Ascensia Diabetes Care to take over distribution and commercialization activities for its Eversense 365 product, effective January 1, 2026. Ascensia has been the exclusive worldwide distributor of Eversense products since 2020. The company maintains strong liquidity with a current ratio of 9.58, though InvestingPro analysis indicates rapid cash burn remains a concern.

Under the memorandum of understanding, Senseonics will transition Ascensia’s U.S. commercial team into internal roles. Brian Hansen, Ascensia’s President of CGM, will become Chief Commercial Officer for Senseonics as part of this transition.

The company plans to implement temporary transition service agreements with Ascensia for ex-U.S. territories until it can establish its own internal commercial network. According to management, both companies mutually agreed to this arrangement.

Ascensia is expected to remain Senseonics’ largest shareholder with approximately 10% ownership stake going forward, according to H.C. Wainwright analyst Sean Lee.

In other recent news, Senseonics Holdings reported its second-quarter 2025 financial results, achieving a net revenue of $6.6 million, which exceeded the forecast of $6.01 million. However, the company’s earnings per share remained consistent with expectations, showing a loss of $0.02. Senseonics also announced a strategic shift in its distribution strategy, taking back control of all E365 and future product commercialization and distribution rights from Ascensia Diabetes Care. This move aligns with their ongoing efforts to expand their market presence in the continuous glucose monitoring (CGM) sector. In terms of analyst perspectives, Mizuho maintained an Outperform rating with a $2.00 price target, while Barclays initiated coverage with an Overweight rating, highlighting the potential of the Eversense 365 implantable CGM sensor system. Meanwhile, Raymond James reiterated an Underperform rating, despite the company’s revenue surpassing their estimates. These developments reflect Senseonics’ strategic adjustments and the varied analyst outlooks on its future performance.

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