Deutsche Bank has reiterated its ‘buy’ rating on Creo Medical Group PLC (AIM:CREO, FRA:1RC, OTC:CMEOF), following a trading update that confirmed 50% revenue growth for the year just gone, in line with expectations.
The medtech firm’s shares closed at 11.63p, with Deutsche maintaining a price target of 40p.
Analyst Kane Slutzkin noted increased adoption of Creo’s core products and sustained demand as key drivers of performance.
“More reliable revenue performance and good cost control has become evident in recent periods,” he said, highlighting signs of growing commercial momentum.
The bank remains confident in Creo’s outlook for FY26 and beyond, leaving estimates unchanged ahead of preliminary results due in April.
However, Deutsche sees potential upside to current revenue forecasts based on the second-half run rate.
Creo shares continue to trade at a significant discount to Deutsche’s discounted cash flow valuation, suggesting further room for recovery as operational progress continues.
The shares rose 1% to 11.75p.