Edison Investment Research - Avon Rubber PLC (AVON) Avon Rubber - Protection of growth

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Edison Investment Research

Andy Chambers

Avon Rubber - Protection of growth

The trading update released with the AGM indicates that growth in Avon Protection is continuing to offset challenging conditions for milkrite | Interpuls in dairy markets. As a result, managementâ€™s expectations for the full year are maintained and our group estimates are unchanged. The shares trade on a modest FY20 P/E premium to defence peers, which we feel is warranted by higher margins and growth in cash flow and EPS.

31/01/2019 2 EN

Underlying

Avon Rubber PLC

Avon Rubber is a technology group focusing on respiratory protection systems and milking point solutions through its two businesses, Avon Protection and milkrite , InterPuls. Avon Protection is a provider in Chemical, Biological, Radiological and Nuclear respiratory protection systems for the world's Military, Law Enforcement and Fire markets. milkrite , InterPuls provides milking point solutions to customers across the world.

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GB0000667013 London Stock Exchange United Kingdom

Provider

Edison Investment Research

Edison is an investment research and advisory company, with offices in North America, Europe, the Middle East and AsiaPac. The heart of Edison is our world renowned equity research platform and deep multi-sector expertise. At Edison Investment Research, our research is widely read by international investors, advisors and stakeholders. Edison Advisors leverages our core research platform to provide differentiated services including investor relations and strategic consulting.

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Analysts

Andy Chambers

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Avon Rubber - Protection of growth

Avon Technologies (AVON LN) - Strong delivery but priced-in - HOLD

Avon Technologies (AVON LN) - Defence as a haven asset!? - HOLD

Avon Technologies (AVON LN ) - Good progress but valuation full - HOLD

Manx Financial Group - Termination of coverage

musicMagpie - Termination of coverage

Topps Tiles - Accelerating growth through Q125

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