Degroof Petercam on Thursday renewed its buy recommendation on Carmat, with a price target of 20.2 euros, following annual results deemed 'unsurprising'.

After a fiscal year 2022 marked by the resolution of quality issues on its artificial heart, the year 2023 will be one of business recovery, estimates the Belgian investment house in a research note.

According to Degroof, the two main challenges facing the company today are (1) getting production off the ground to meet its annual targets, and (2) extending its financial visibility beyond July 2023.

In the short term, however, FDA approval for the resumption of the feasibility study in the USA should be the main catalyst for the stock, continues the Brussels-based firm.

Degroof Petercam points out that Carmat plans to keep the market regularly informed of the progress of its Aeson heart, which should give investors a better understanding of the momentum the company will enjoy this year.

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