Deutsche Bank has reiterated its 'buy' rating on ConvaTec Group PLC (LSE:CTEC) ahead of the medical device company's Capital Markets Day on 9 April, setting a target price of 315p against a last close of 214.40p.
Analyst Kane Slutzkin said the event was less about new financial targets, following an upgrade to mid-term growth guidance at February's full-year results, and more about providing evidence to support the existing algorithm.
The bank said investors would focus on the credibility of Convatec's 6-8% organic growth target from 2027 and the pathway to mid-20s operating margins, with pipeline visibility, near-term input cost pressures and capital allocation all expected to be front of mind.
Deutsche noted that regulatory headwinds, which have weighed on the company in recent periods, were likely to play a lesser role at this event.
A clear articulation of pipeline-led growth and a credible margin bridge could support a positive share price reaction, the bank said, though it cautioned that geopolitical uncertainty and potential near-term cost pressures could temper any market response.
Deutsche described the shares as undemanding on 10 times enterprise value to earnings before interest, tax, depreciation and amortisation for 2026, underpinned by what it called a well-stocked pipeline.