Diabetes has been on the rise for a while because of both the aging of the U.S. population -- as well as expanding waistlines. According to the National Diabetes Statistics Report, 37.3 million people in the United States have diabetes, and 96 million in the U.S. have pre-diabetes, including 48.8% of the population that is 65 or older.

A recent report by Global Market Insights puts the compound annual growth rate for the diabetes care devices market at 10% between now and 2030, becoming an $88 billion market by that time.

DexCom (DXCM -2.89%), Medtronic (MDT -0.69%) and Abbott Laboratories (ABT -0.89%), three of the largest manufacturers of continuous glucose monitoring management systems (CGMs) for diabetes care, are healthcare companies that are well-positioned to benefit from the growing number of people with diabetes worldwide.

1. DexCom continuously updates its technology

DexCom's stock is down more than 31% so far this year, but in the long term it is easy to see the company's potential. Halfway through 2022, DexCom reported revenue of $1.3 billion, up 20.4% year over year while net income came in at $148.2 million, up 9.8%, and earnings per share (EPS) was $0.36, up from $0.33.

The company forecast 2022 revenue to be between $2.86 billion and $2.91 billion, a rise of between 17% and 19% over 2021. Over the past 10 years, DexCom has seen revenue rise 2,350%.

DexCom's latest CGM device is its G7 model, a tiny (about the size of three stacked quarters) wearable sensor that can be worn on the arm or abdomen and provides real-time CGM. It's designed for extended wear (10 days) and can be paired with a smartphone or smartwatch. The device launched on Oct. 4 in Great Britain, Ireland, Germany, Austria, and Hong Kong. It is still awaiting Food and Drug Administration approval in the United States but is expected to be launched here sometime this year.

2. Abbott Laboratories has size on its side

Diabetes care is just one facet of Abbott Labs' business. The company operates in three segments: diagnostics, established pharmaceuticals, and medical devices, with its CGMs a big part of the company's medical devices sales.

The company's latest CGM is the FreeStyle Libre 3, a sensor that can be worn for 14 consecutive days and is the size of two stacked pennies, the company said. In the second quarter, sales of FreeStyle Libre systems totaled $1.1 billion, up 18.7% year over year. Overall, the company reported revenue of $11.3 billion, up 10.1%, and EPS of $1.43, up 22%.

Abbott is a Dividend King that has raised its payout for 50 years. It raised its dividend by 4.4% this year to $0.47, which gives it a yield of around 1.82%. The company has a cash dividend payout ratio of only 39%, so there's plenty of room for growth there.

3. Medtronic's balance, dividend make it a good long-term play

Medtronic is a medical device maker that has had more than 200 product approvals in the past 12 months and operates in four portfolios: cardiovascular, medical-surgical, diabetes, and neuroscience. The company's shares are down a little more than 17% this year, and in the short term, the company is struggling with supply chain issues.

In Medtronic's fiscal 2023 first quarter, revenue totaled $7.4 billion, down 7% year over year, but EPS came in at $0.70, up 25%. Revenue for its diabetes portfolio, which includes CGMs and insulin pumps, was down 5% year over year to $541 million, but the company expects sales growth this year with new launches. Of its four portfolios, diabetes was the only one to see organic growth, though that wasn't much at 0.3%.

Medtronic is a Dividend Aristocrat and has raised its dividend for 45 consecutive years, including a boost of 7% last year to $0.68 per quarter, giving the stock a yield of around 3.20%. Over the past 10 years, the company has delivered a total return of 138%.

Despite that track record, the company now trades for only 21 times earnings, making Medtronic an attractive buy.