Spain’s credit rating upgraded to ’A+’ by S&P on strong growth
Investing.com - Barclays initiated coverage on Carl Zeiss Meditec AG (ETR:AFX) (OTC:CZMWY) with an Overweight rating and a price target of EUR52.00, representing 26% potential upside.
The investment bank cited Carl Zeiss Meditec’s leadership position in ophthalmology and surgical visualization markets as key factors behind the positive outlook, along with the company’s favorable structural positioning.
Barclays forecasts a 7% revenue compound annual growth rate for the medical technology company through fiscal year 2027/2028, with margin expansion of approximately 400 basis points expected during the same period.
The research firm highlighted three specific reasons to own the stock: underappreciated market share gains in Surgical Ophthalmology, potential recovery in China refractive consumables that isn’t yet priced into the stock, and the company’s strong position to benefit from premiumization trends in cataract surgery.
Barclays noted that Carl Zeiss Meditec is currently trading at 10-year low multiples on both absolute and relative bases, with its analysts projecting earnings estimates approximately 3% ahead of consensus for fiscal years 2025 and 2026.
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