CTEC

Convatec Group PLC

Health Care First-pass screen £4.1bn

420/1000 Overall fit

AI beneficiary 35% 12

Operating leverage 25% 76

Valuation 25% 32

Downside protection 15% 71

First-pass take

Convatec is a high-quality medical-device consumables company with strong operating leverage (margin expansion 250bps over two years, path to mid-20s% by 2027) and defensive chronic-care revenues across 100 countries. However, it has zero AI exposure—the document contains no mention of AI/ML, enterprise AI spending, or data-centre/semiconductor enablement. Its 7.2% organic growth is solid for healthcare but modest for the fund's strategy.

Flags

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