MiniMed (MMED) is a large-scale, fully-stacked diabetes company

sitting at an inflection point with pipeline to accelerate growth, BofA Securities said in a Tuesday report.

"We see the stock working on consistent execution," the note said, adding that the stock's valuation is not reflective of outer year growth or free cash flow.

MiniMed, a recent spinoff from Medtronic (MDT), offers insulin pumps and Continuous Glucose Monitor for insulin-intensive patients where the need for such technology is critical, it said.

The report said its scale has positive implications for margins and free cash flow. It also said revenue growth is forecast to accelerate to about 11% in fiscal 2030 from roughly 8% in 2026.

BofA started coverage with a buy rating and a $27 price target.

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