Why Senseonics Shares Spiked 87% Today

Senseonics Holdings, Inc SENS shares spiked nearly 87% in the regular and after-hour sessions on Tuesday.

What Happened: The medical technology company said EmblemHealth, one of the largest not-for-profit health insurers in the United States, is now providing coverage for Senseonics’ Eversense continuous glucose monitoring (CGM) system for people with diabetes.

The insurer added coverage in its 2021 CGM policy, which will expand access across New York, New Jersey, and Connecticut to nearly 2.9 million people, Senseonics said in a statement.

“We are excited to see additional coverage for Eversense and appreciate the payer community’s recognition that CGM is now Standard of Care for patients using insulin to manage their diabetes,” said Senseonics CEO Tim Goodnow.

Why It Matters: The CGM helps adults with diabetes monitor their glucose levels and provides wearers with discreet on-body vibratory alerts. The sensor is inserted subcutaneously in the upper arm, according to the company.

The Senseonics CEO said that monitoring glucose is even “more imperative” due to the COVID-19 pandemic due to the “negative consequences of poor glucose management in patients who contract the coronavirus.”

Price Action: Senseonics shares closed nearly 80.4% higher at $2.85 on Tuesday and gained 6.32% in the after-hours session.