Deutsche Bank lifts CMC Markets stock rating to hold, sets £2.46 target

Published 07/02/2025, 10:08
Deutsche Bank lifts CMC Markets stock rating to hold, sets £2.46 target

On Friday, Deutsche Bank (ETR:DBKGn) analysts upgraded CMC Markets (LON:CMCX:LN) (OTC: CCMMF) stock rating from Sell to Hold, setting a price target of £2.46. The revision followed a recent trading update from the company, which affirmed that it is on track to meet its annual net operating income and cost guidance.

CMC Markets announced on January 23 that it expects to achieve its previously issued net operating income guidance. Additionally, the management is confident in meeting its cost guidance of approximately £225 million, excluding variable remuneration and non-recurring charges. Despite this positive outlook, CMC Markets shares have experienced a 15% decline since the announcement.

Deutsche Bank’s analysts have maintained their financial year 2025 forecast for CMC Markets, which aligns with the company’s guidance. The forecast anticipates a net operating income of £333 million and an operating profit, excluding variable remuneration, of £110 million.

The analysts suggested that the decline in CMC Markets’ share price since January 23 could be attributed to a perceived lack of news flow, particularly regarding the company’s business-to-business partnership with fintech firm Revolut. This partnership is a notable aspect of CMC Markets’ business strategy, and updates on its progress are closely watched by investors.

With the upgrade to a Hold rating and the establishment of a £2.46 price target, Deutsche Bank indicates a neutral stance on CMC Markets’ stock, reflecting the company’s steady progress towards its financial targets.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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