Tandem Diabetes Care, Inc. TNDM has signed a multi-year collaboration agreement with the University of Virginia Center for Diabetes Technology (UVA). The partnership will focus on advancing research and development efforts on fully automated closed-loop insulin delivery systems.

Tandem Diabetes’ previous work with UVA, including research related to its automated insulin delivery systems as part of the International Diabetes Closed Loop trials, has resulted in life-changing products for the diabetes community.

TNDM Stock’s Likely Trend Following the News

Since the Jan. 7 announcement, TNDM shares edged up 0.4%, finishing yesterday’s session at $37.49. Tandem Diabetes is committed to developing a fully closed-loop AID system, which will continue to generate periodic feasibility studies around the globe. The latest development builds on both parties’ joint history of delivering innovations that can further improve the lives of people living with diabetes. Accordingly, we expect the market sentiment toward TNDM stock to remain positive surrounding this news.

Tandem Diabetes currently has a market capitalization of $2.43 billion. In the past 30 days, the company’s loss per share has remained constant at $1.68 for 2024 and $1.20 for 2025. It also delivered an average earnings beat of 8.28% in the trailing four quarters.

More on Tandem Diabetes’ New Alliance

The research collaboration will rely on the UVA Center for Diabetes Technology’s pioneering work to improve care for patients with diabetes through technology-based interventions, its successes in translating advanced automated insulin delivery (AID) algorithms into medical devices used around the world, and Tandem Diabetes’ leadership in insulin delivery devices, algorithm implementation and data management.

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The partnership will expand on the company’s ongoing research into the advancement of automated closed-loop insulin delivery technology and will involve scientists, clinicians and functional experts from both institutions. Results from this collaboration may lead to clinical research to accelerate approved uses for its next-generation AID systems. Tandem Diabetes will provide research funding, technology and supplies to the UVA during the agreement term for diabetes-centered research and potential clinical studies.

Industry Prospects Favoring TNDM Stock

Per a Research report, the global insulin delivery device market was valued at $16.43 billion in 2023 and is expected to witness a compound annual rate of 7.9% by 2027.

The surge in market growth is primarily driven by the rising global prevalence of diabetes, which has created a greater need for advanced and user-friendly solutions for diabetes management. Technological advancements play a crucial role in the market growth, with devices becoming more effective, less invasive and personalized to meet patients' individual needs.

More Updates From Tandem Diabetes

In December 2024, the company announced that the t:slim X2 insulin pump, fully compatible with Dexcom G7 and Dexcom G6 Continuous Glucose Monitoring Systems, is available for in-warranty users in Canada. In addition, t:slim users who pair Dexcom G7 with an Apple smartwatch can see their glucose numbers directly from their watch without having to access their pump or smartphone.

TNDM Stock Price Performance

In the past year, TNDM shares have rallied by 33.4% compared with the industry’s rise of 6.5%.

TNDM’s Zacks Rank and Key Picks

Tandem Diabetes Care currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader medical space are Abbott ABT, Haemonetics HAE and Phibro Animal Health PAHC, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Abbott shares have risen 1.4% in the past year. Estimates for the company’s 2024 earnings per share have remained constant at $4.67 in the past 30 days. ABT’s earnings beat estimates in three of the trailing four quarters and broke even in one, the average surprise being 1.64%. In the last reported quarter, it posted an earnings surprise of 0.83%.

Estimates for Haemonetics’ fiscal 2025 earnings per share have remained constant at $4.59 in the past 30 days. Shares of the company have dropped 10.9% in the past year against the industry’s growth of 11.3%. HAE’s earnings surpassed estimates in three of the trailing four quarters and missed in one, the average surprise being 2.82%. In the last reported quarter, it delivered an earnings surprise of 2.75%.

Estimates for Phibro Animal Health’s fiscal 2025 earnings per share have increased 1.9% to $1.62 in the past 30 days. Shares of the company have surged 85.6% in the past year compared with the industry’s 11.3% rise. PAHC’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 25.47%. In the last reported quarter, it delivered an earnings surprise of 52.17%.

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