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There comes a point with every company when earnings calls become predictable and very boring events. Insulet (NASDAQ: PODD) has become one of those companies. Looking over the results nothing jumps out or put more simply they came in pretty much as we expected. The Insulet story is well known and won’t change all that much baring a management misstep. Which based on the past management team was almost guaranteed but now that new team has their sea leagues this possibility has diminished greatly.

Our concerns have not changed either can Insulet weather the 670G storm, get their DASH system to market on time and keep their artificial pancreas project moving forward. We also believe that the dynamics of the insulin pump market are finally favoring Insulet, not because of anything they have done rather because everyone else in the market with the notable exception of Medtronic (NYSE: MDT) are figuring out new and creative ways to screw up.

As much as we can’t believe we are writing this but given these dynamics Insulet is becoming the de facto second choice in the insulin pump market. Given that Tandem (NASDAQ: TNDM) continues it’s slow and painful death march and Animas, Johnson and Johnson (NYSE: JNJ) insulin pump unit, has been left twisting in the wind until a buyer can be found, Insulet is now the most financially viable competitor to Medtronic.

Even if as rumored Roche decides to launch their patch pump which they acquired when they bought Medingo or Becton Dickenson (NYSE: BDX) enters this market with their OmniPod wannabe, we don’t see much changing. We have always anticipated additional patch pumps in the market and are a little surprised that Insulet has gone this long without a direct competitor. Insulet has done many things wrong over the years but one thing they have proven is that there is a market for a disposable patch pump.

About the only thing that would change all this would be if someone was bold, perhaps crazy enough to buy both Tandem and Animas. However as much as we would like this to happen we cannot imagine it happening. Being realistic Bigfoot which doesn’t even have a system in the market is the most direct threat to Insulet. Like Insulet Bigfoot is pursuing the monthly pay as you go pricing model plus they will also have a smart insulin pen/CGM/app system which as we continue to state is the biggest threat to all pump companies.

The reality for Insulet is they will always have structural obstacles standing in their way. Which is a polite way of saying Medtronic’s market presence, aggressiveness with payors and new technology will make it difficult for Insulet to grow significantly.  Their saving grace now is that Tandem and Animas are both floundering. However, this won’t help much over the long term which basically means Insulet barring a significant change will be a second-tier player.