You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Embecta Stock Gains on FDA Clearance for Type 2 Diabetes Insulin Pump
Read MoreHide Full Article
Embecta Corp. (EMBC - Free Report) recently announced the receipt of 510(k) clearance from the FDA for its proprietary disposable patch pump for insulin delivery. This development marks a critical step forward in diabetes care, particularly for individuals with Type 2 diabetes (T2D). With a focus on addressing the specific needs of T2D patients, this system represents a notable advancement in insulin delivery technology.
The clearance of this insulin delivery system is expected to significantly enhance Embecta's market prospects. Historically, most insulin pumps were designed for Type 1 diabetes (T1D) patients, leaving a gap in the market for T2D-specific solutions. By addressing this gap, Embecta is poised to capture a larger share of the diabetes care market, particularly among the vast population of T2D patients. Investors also cheered the FDA clearance, as evident from the EMBC stock’s gain of 0.7% on Sept. 3 following the announcement.
Shares of the company have risen 22.2% in the past six months compared with the industry’s 2.9% growth. The S&P 500 Index has gained 11.7% in the same time frame.
Image Source: Zacks Investment Research
Features of EMBC’s Disposable Insulin Delivery System
The newly approved system by Embecta is a wearable, fully disposable patch pump designed to provide both basal and bolus insulin for up to three days. One of the notable features of this system is its 300-unit insulin reservoir, which caters specifically to the needs of T2D patients.
Given that individuals with T2D often require higher daily doses of insulin, this reservoir size is a significant improvement over others available in the market that often lack the capacity to meet these needs. According to Embecta-sponsored research, a 300-unit reservoir is sufficient to meet the insulin needs of 64% of T2D patients over three days compared to only 38% with a 200-unit reservoir.
In addition to its capacity, the system includes a locked-down controller with Bluetooth wireless technology and a color touchscreen, ensuring a user-friendly interface. This design aims to simplify the user experience, making the transition from multiple daily injections to pump therapy more accessible for T2D patients.
This product launch is just a part of Embecta’s broader strategy to expand its portfolio and market reach. The company, which was spun off from Becton, Dickinson and Company in 2022, has leveraged its 100-year legacy in diabetes care to establish itself as a leading player in the field. The successful FDA clearance reflects its commitment to innovation and its ability to execute its strategic goals effectively.
Future Development Activities for EMBC’s Pump
EMBC is already working on a closed-loop version of the insulin delivery system, which will include an advanced insulin-dosing algorithm. This next-generation system is expected to offer even greater convenience and precision in insulin management, further solidifying Embecta's position as a leader in diabetes care innovation.
Embecta’s focus on expanding its product offerings and improving the quality of life for people with diabetes aligns with its long-term vision of a life unlimited by diabetes. As the company continues to develop and refine its technology, it is well-positioned to make a lasting impact on the diabetes care market, particularly for the underserved T2D population.
Some better-ranked stocks in the broader medical space that have announced quarterly results are Boston Scientific (BSX - Free Report) , Apyx Medical (APYX - Free Report) and Universal Health Services (UHS - Free Report) , each carrying a Zacks Rank #2 (Buy) at present.
Boston Scientific’s shares have risen 41.4% year to date compared with the industry’s 12.3% growth.
Apyx Medicalhas an estimated growth rate of 20% for 2025. Its earnings missed estimates in each of the trailing four quarters, delivering a negative average surprise of 25.98%.
Apyx Medical’s shares have lost 49.3% year to date against the industry’s 12.3% growth.
Universal Health Services has a long-term estimated growth rate of 19%. UHS’ earnings surpassed estimates in each of the trailing four quarters, the average surprise being 14.58%.
Universal Health Services’ shares have risen 56.1% year to date compared with the industry’s 48% growth.
In-Depth Zacks Research for the Tickers Above
Normally $25 each - click below to receive one report FREE:
Embecta Corp. (EMBC - Free Report) recently announced the receipt of 510(k) clearance from the FDA for its proprietary disposable patch pump for insulin delivery. This development marks a critical step forward in diabetes care, particularly for individuals with Type 2 diabetes (T2D). With a focus on addressing the specific needs of T2D patients, this system represents a notable advancement in insulin delivery technology.
The clearance of this insulin delivery system is expected to significantly enhance Embecta's market prospects. Historically, most insulin pumps were designed for Type 1 diabetes (T1D) patients, leaving a gap in the market for T2D-specific solutions. By addressing this gap, Embecta is poised to capture a larger share of the diabetes care market, particularly among the vast population of T2D patients. Investors also cheered the FDA clearance, as evident from the EMBC stock’s gain of 0.7% on Sept. 3 following the announcement.
Shares of the company have risen 22.2% in the past six months compared with the industry’s 2.9% growth. The S&P 500 Index has gained 11.7% in the same time frame.
Image Source: Zacks Investment Research
Features of EMBC’s Disposable Insulin Delivery System
The newly approved system by Embecta is a wearable, fully disposable patch pump designed to provide both basal and bolus insulin for up to three days. One of the notable features of this system is its 300-unit insulin reservoir, which caters specifically to the needs of T2D patients.
Given that individuals with T2D often require higher daily doses of insulin, this reservoir size is a significant improvement over others available in the market that often lack the capacity to meet these needs. According to Embecta-sponsored research, a 300-unit reservoir is sufficient to meet the insulin needs of 64% of T2D patients over three days compared to only 38% with a 200-unit reservoir.
In addition to its capacity, the system includes a locked-down controller with Bluetooth wireless technology and a color touchscreen, ensuring a user-friendly interface. This design aims to simplify the user experience, making the transition from multiple daily injections to pump therapy more accessible for T2D patients.
This product launch is just a part of Embecta’s broader strategy to expand its portfolio and market reach. The company, which was spun off from Becton, Dickinson and Company in 2022, has leveraged its 100-year legacy in diabetes care to establish itself as a leading player in the field. The successful FDA clearance reflects its commitment to innovation and its ability to execute its strategic goals effectively.
Future Development Activities for EMBC’s Pump
EMBC is already working on a closed-loop version of the insulin delivery system, which will include an advanced insulin-dosing algorithm. This next-generation system is expected to offer even greater convenience and precision in insulin management, further solidifying Embecta's position as a leader in diabetes care innovation.
Embecta’s focus on expanding its product offerings and improving the quality of life for people with diabetes aligns with its long-term vision of a life unlimited by diabetes. As the company continues to develop and refine its technology, it is well-positioned to make a lasting impact on the diabetes care market, particularly for the underserved T2D population.
Embecta Corp. Price
Embecta Corp. price | Embecta Corp. Quote
EMBC’s Zacks Rank & Stocks to Consider
Embecta currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader medical space that have announced quarterly results are Boston Scientific (BSX - Free Report) , Apyx Medical (APYX - Free Report) and Universal Health Services (UHS - Free Report) , each carrying a Zacks Rank #2 (Buy) at present.
Boston Scientific has a long-term estimated growth rate of 12.6%. BSX’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 7.2%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Boston Scientific’s shares have risen 41.4% year to date compared with the industry’s 12.3% growth.
Apyx Medicalhas an estimated growth rate of 20% for 2025. Its earnings missed estimates in each of the trailing four quarters, delivering a negative average surprise of 25.98%.
Apyx Medical’s shares have lost 49.3% year to date against the industry’s 12.3% growth.
Universal Health Services has a long-term estimated growth rate of 19%. UHS’ earnings surpassed estimates in each of the trailing four quarters, the average surprise being 14.58%.
Universal Health Services’ shares have risen 56.1% year to date compared with the industry’s 48% growth.