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It’s been a long time since I’ve seen Penny Share Creo Medical (LSE:CREO) on top FTSE AIM All Share Index. But that actually happened today (May 22), with the share price rising 29% to 15p.
Let’s take a closer look at what caused this sudden growth and whether Creo is worth considering.
What does it do?
For the uninitiated, Creo is a medical device company that specializes in minimally invasive surgical endoscopy, with a particular focus on the treatment of pre-cancerous and oncological patients.
Simply put, this compact company’s technology allows doctors to perform convoluted procedures inside the body using malleable tubes (endoscopes). The main innovation is an advanced energy platform that combines two types of energy in one combination.
For the record, I have a compact position in the stock, and it’s even smaller now after being down 50% over the last two years. This is partly because investors have grown tired of unprofitable small-cap companies like Creo as interest rates have remained higher for an extended period of time.
Why does Creo take off like a speedboat?
There are three things that caused the stock price to skyrocket today. Firstly, Creo raised £5.5m by placing 36.7m fresh shares at 15p each. Most importantly, this represented a immense premium over the previous day’s closing share price.
The company’s directors also personally contributed £2.15 million of this amount, demonstrating forceful confidence in the company’s commercial potential. After all, they would know it better than anyone else.
Secondly, the company announced the conclusion of a non-binding agreement to sell the remaining 49% of shares in Creo Medical Europe (a supplier of external medical devices and consumables). Last year he made £24.7m by selling the remaining 51%.
Finally, the company achieved forceful results for 2025. Revenues increased by 50% to £6 million, with momentum picking up in the second half.
Underlying operating loss was reduced by 38.5% to £13.7m, which management attributed to revenue scaling.compared to a much lower cost base“.
The good momentum continued into early 2026, with first quarter revenues increasing by approximately 60%. This gave management the confidence to raise its revenue growth forecast for the full year to 50-60% (from 40-60%).
We ended 2025 with forceful operational and commercial momentum, driven by validation of our core product portfolio, fresh device advancements and growing clinical application.
CEO Craig Gulliford
Is it worth visiting?
Analysts so far expected 2026 revenues of £9.23m, with losses gradually narrowing over the next three years. The good news is that Creo should still have plenty of cash on its balance sheet, which will allow it to focus on getting more hospitals to adopt its medical tools.
Speaking of which, then SpydrBlade Flex the device has been approved, joining its flagship Motor boat product. The latter method is already in commercial exploit in major global markets, showing forceful growth in upper gastrointestinal procedures.
Is the stock worth considering? Well, it’s definitely a substantial risk due to the lack of profits. However, its market capitalization of £61m gives the company a forward-looking price-to-sales ratio of around 6, which is not high for a fast-growing company.
Considering that the company’s shares are down 50% compared to two years ago, today’s trend may have some consequences and is worth the attention of risk-takers. I? I’m going to stick with it because I think things will get better with time.
Is it worth investing £5,000 in Creo Medical Group Plc now?
If investing expert Mark Rogers and his team have stock advice, it can pay to listen. After all, Twelfth Magpie’s flagship Share Advisor newsletter, which it has run for almost a decade, provides thousands of paying members with the best share recommendations from across the UK and US markets.
Mark believes there are 6 standout stocks that investors should consider buying right now. Want to check if Creo Medical Group Plc is on the list?
Ben McPoland owns shares in Creo Medical.
