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Avon Rubber

LSE:AVON
Snowflake Description

Flawless balance sheet with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
AVON
LSE
£382M
Market Cap
  1. Home
  2. GB
  3. Capital Goods
Company description

Avon Rubber p.l.c. designs, manufactures, and sells chemical, biological, radiological, and nuclear respiratory protection systems for military, law enforcement, and fire markets worldwide. The last earnings update was 112 days ago. More info.


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AVON Share Price and Events
7 Day Returns
-0.8%
LSE:AVON
1.3%
GB Aerospace & Defense
2.1%
GB Market
1 Year Returns
0%
LSE:AVON
-7.1%
GB Aerospace & Defense
3.1%
GB Market
AVON Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Avon Rubber (AVON) -0.8% -4.6% 2.9% 0% 51.7% 102.8%
GB Aerospace & Defense 1.3% -4.5% 8.5% -7.1% -5.1% -6.5%
GB Market 2.1% 2.6% 9.7% 3.1% 17.2% 4.4%
1 Year Return vs Industry and Market
  • AVON outperformed the Aerospace & Defense industry which returned -7.1% over the past year.
  • AVON underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 3.1% over the past year.
Price Volatility
AVON
Industry
5yr Volatility vs Market

AVON Value

 Is Avon Rubber undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Avon Rubber to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Avon Rubber.

LSE:AVON Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 9 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:AVON
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6.7%
Aerospace & Defense Unlevered Beta Simply Wall St/ S&P Global 0.91
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.912 (1 + (1- 19%) (0.03%))
0.941
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.94
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.941 * 6.65%)
7.49%

Discounted Cash Flow Calculation for LSE:AVON using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Avon Rubber is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

LSE:AVON DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 7.49%)
2019 19.72 Analyst x5 18.35
2020 20.90 Analyst x5 18.09
2021 21.40 Analyst x5 17.23
2022 21.05 Est @ -1.65% 15.77
2023 20.88 Est @ -0.79% 14.55
2024 20.84 Est @ -0.18% 13.52
2025 20.89 Est @ 0.24% 12.60
2026 21.00 Est @ 0.54% 11.79
2027 21.16 Est @ 0.74% 11.05
2028 21.35 Est @ 0.89% 10.37
Present value of next 10 years cash flows £143.33
LSE:AVON DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= £21.35 × (1 + 1.23%) ÷ (7.49% – 1.23%)
£345.30
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £345.30 ÷ (1 + 7.49%)10
£167.77
LSE:AVON Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £143.33 + £167.77
£311.09
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £311.09 / 30.52
£10.19
LSE:AVON Discount to Share Price
Calculation Result
Value per share (GBP) From above. £10.19
Current discount Discount to share price of £12.50
= -1 x (£12.50 - £10.19) / £10.19
-22.6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Avon Rubber is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Avon Rubber's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Avon Rubber's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:AVON PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-09-30) in GBP £0.65
LSE:AVON Share Price ** LSE (2019-03-22) in GBP £12.5
United Kingdom of Great Britain and Northern Ireland Aerospace & Defense Industry PE Ratio Median Figure of 9 Publicly-Listed Aerospace & Defense Companies 19.34x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 805 Publicly-Listed Companies 15.82x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Avon Rubber.

LSE:AVON PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:AVON Share Price ÷ EPS (both in GBP)

= 12.5 ÷ 0.65

19.26x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Avon Rubber is good value based on earnings compared to the GB Aerospace & Defense industry average.
  • Avon Rubber is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Avon Rubber's expected growth come at a high price?
Raw Data
LSE:AVON PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 19.26x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
0.7%per year
United Kingdom of Great Britain and Northern Ireland Aerospace & Defense Industry PEG Ratio Median Figure of 8 Publicly-Listed Aerospace & Defense Companies 1.9x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 575 Publicly-Listed Companies 1.37x

*Line of best fit is calculated by linear regression .

LSE:AVON PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 19.26x ÷ 0.7%

27.91x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Avon Rubber is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Avon Rubber's assets?
Raw Data
LSE:AVON PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-09-30) in GBP £2.78
LSE:AVON Share Price * LSE (2019-03-22) in GBP £12.5
United Kingdom of Great Britain and Northern Ireland Aerospace & Defense Industry PB Ratio Median Figure of 12 Publicly-Listed Aerospace & Defense Companies 2.15x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,360 Publicly-Listed Companies 1.5x
LSE:AVON PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:AVON Share Price ÷ Book Value per Share (both in GBP)

= 12.5 ÷ 2.78

4.5x

* Primary Listing of Avon Rubber.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Avon Rubber is overvalued based on assets compared to the GB Aerospace & Defense industry average.
X
Value checks
We assess Avon Rubber's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Aerospace & Defense industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Aerospace & Defense industry average (and greater than 0)? (1 check)
  5. Avon Rubber has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

AVON Future Performance

 How is Avon Rubber expected to perform in the next 1 to 3 years based on estimates from 9 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
0.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Avon Rubber expected to grow at an attractive rate?
  • Avon Rubber's earnings growth is positive but not above the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Avon Rubber's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
  • Avon Rubber's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:AVON Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:AVON Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 0.7%
LSE:AVON Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 2.9%
United Kingdom of Great Britain and Northern Ireland Aerospace & Defense Industry Earnings Growth Rate Market Cap Weighted Average 11.9%
United Kingdom of Great Britain and Northern Ireland Aerospace & Defense Industry Revenue Growth Rate Market Cap Weighted Average 5.1%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11.1%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:AVON Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:AVON Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-09-30 188 2
2021-09-30 179 32 20 5
2020-09-30 178 31 20 9
2019-09-30 171 29 19 9
LSE:AVON Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-09-30 166 31 20
2018-06-30 162 32 21
2018-03-31 162 33 23
2017-12-31 163 33 22
2017-09-30 159 33 22
2017-03-31 156 31 19
2016-12-31 149 31 18
2016-09-30 143 30 18
2016-03-31 138 23 15
2015-12-31 136 20 15

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Avon Rubber's earnings are expected to grow by 0.7% yearly, however this is not considered high growth (20% yearly).
  • Avon Rubber's revenue is expected to grow by 2.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:AVON Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from Avon Rubber Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:AVON Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-09-30
2021-09-30 0.70 0.76 0.66 3.00
2020-09-30 0.69 0.76 0.65 4.00
2019-09-30 0.66 0.70 0.62 4.00
LSE:AVON Past Financials Data
Date (Data in GBP Millions) EPS *
2018-09-30 0.65
2018-06-30 0.70
2018-03-31 0.74
2017-12-31 0.72
2017-09-30 0.72
2017-03-31 0.62
2016-12-31 0.61
2016-09-30 0.59
2016-03-31 0.50
2015-12-31 0.50

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Avon Rubber is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Avon Rubber's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Avon Rubber has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

AVON Past Performance

  How has Avon Rubber performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Avon Rubber's growth in the last year to its industry (Aerospace & Defense).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Avon Rubber's year on year earnings growth rate has been positive over the past 5 years.
  • Avon Rubber's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Avon Rubber's 1-year earnings growth is negative, it can't be compared to the GB Aerospace & Defense industry average.
Earnings and Revenue History
Avon Rubber's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Avon Rubber Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:AVON Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-09-30 165.50 19.80 43.00
2018-06-30 161.75 21.30 40.45
2018-03-31 162.00 22.50 38.30
2017-12-31 162.60 22.00 39.30
2017-09-30 159.20 21.80 39.90
2017-03-31 155.50 18.80 39.90
2016-12-31 149.20 18.35 38.00
2016-09-30 142.90 17.90 36.10
2016-03-31 137.80 15.04 31.61
2015-12-31 136.06 15.10 29.24
2015-09-30 134.32 15.17 26.86
2015-03-31 126.11 13.44 23.16
2014-12-31 125.44 12.12 24.17
2014-09-30 124.78 10.81 25.19
2014-06-30 125.77 10.01 25.04
2014-03-31 126.75 9.21 24.90
2013-12-31 125.80 9.03 22.63
2013-09-30 124.85 8.84 20.36
2013-06-30 120.72 8.56 20.42
2013-03-31 116.59 8.28 20.48
2012-12-31 111.62 8.06 19.87
2012-09-30 106.64 7.83 19.26
2012-06-30 107.93 7.59 19.03
2012-03-31 109.22 7.34 18.81

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Avon Rubber has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Avon Rubber used its assets more efficiently than the GB Aerospace & Defense industry average last year based on Return on Assets.
  • Avon Rubber's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Avon Rubber's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Aerospace & Defense industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Avon Rubber has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

AVON Health

 How is Avon Rubber's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Avon Rubber's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Avon Rubber is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Avon Rubber's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Avon Rubber's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 938x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Avon Rubber Company Filings, last reported 5 months ago.

LSE:AVON Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-09-30 84.80 0.10 46.60
2018-06-30 84.80 0.10 46.60
2018-03-31 61.90 1.30 40.40
2017-12-31 61.90 1.30 40.40
2017-09-30 55.60 1.80 26.50
2017-03-31 48.00 2.20 14.80
2016-12-31 48.00 2.20 14.80
2016-09-30 42.00 2.50 4.50
2016-03-31 47.89 9.24 0.82
2015-12-31 47.89 9.24 0.82
2015-09-30 42.20 13.49 0.33
2015-03-31 32.73 0.00 7.27
2014-12-31 32.73 0.00 7.27
2014-09-30 25.02 0.00 2.93
2014-06-30 25.02 0.00 2.93
2014-03-31 28.29 5.76 0.22
2013-12-31 28.29 5.76 0.22
2013-09-30 20.70 11.06 0.18
2013-06-30 20.70 11.06 0.18
2013-03-31 31.03 11.39 1.52
2012-12-31 31.03 11.39 1.52
2012-09-30 23.90 8.90 0.18
2012-06-30 23.90 8.90 0.18
2012-03-31 24.82 9.85 0.08
  • Avon Rubber's level of debt (0.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (52.9% vs 0.1% today).
  • Debt is well covered by operating cash flow (31400%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 226x coverage).
X
Financial health checks
We assess Avon Rubber's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Avon Rubber has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

AVON Dividends

 What is Avon Rubber's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.28%
Current annual income from Avon Rubber dividends. Estimated to be 2.15% next year.
If you bought £2,000 of Avon Rubber shares you are expected to receive £26 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Avon Rubber's pays a lower dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.05%).
  • Avon Rubber's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.22%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:AVON Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Aerospace & Defense Industry Average Dividend Yield Market Cap Weighted Average of 9 Stocks 4%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 704 Stocks 4.3%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1.1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:AVON Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2022-09-30 0.46 1.00
2021-09-30 0.33 5.00
2020-09-30 0.27 8.00
2019-09-30 0.21 9.00
LSE:AVON Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2018-11-30 0.160 1.267
2018-11-14 0.160 1.201
2017-11-30 0.123 0.940
2017-11-15 0.123 1.073
2017-05-16 0.104 1.043
2017-01-17 0.095 0.945
2015-11-18 0.073 0.804
2015-11-17 0.073 0.669
2014-11-19 0.056 0.675
2013-11-29 0.043 0.683
2013-05-01 0.038 0.785
2012-11-21 0.036 0.913
2012-01-31 0.030 0.992
2011-11-23 0.030 0.970
2011-05-04 0.020 0.685
2011-04-15 0.020 0.799
2010-11-24 0.030 1.347
2009-05-21 0.000 0.000
2009-03-23 0.000 0.000

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Avon Rubber has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Avon Rubber only paid a dividend in the past 8 years.
Current Payout to shareholders
What portion of Avon Rubber's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (4.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.3x coverage).
X
Income/ dividend checks
We assess Avon Rubber's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Avon Rubber afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Avon Rubber has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

AVON Management

 What is the CEO of Avon Rubber's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Paul McDonald
COMPENSATION £804,000
AGE 44
TENURE AS CEO 2.1 years
CEO Bio

Mr. Paul McDonald has been Chief Executive at Avon Rubber p.l.c. since February 15, 2017 and serves as its Director. Mr. McDonald served as the Managing Director of Avon Dairy Solutions at Avon Rubber plc from March 2008 to February 15, 2017. Mr. McDonald was responsible for leading Avon's global dairy business and the continued expansion of the Milk-Rite brand and global distribution network. He also oversees the operations, sales and product development functions. He joined Avon in April 2003 as General Manager of UK Operations. He previously worked in the Automotive sector and gained his first General Management position at the age of 26 with Teleflex Fluid Systems.

CEO Compensation
  • Paul's compensation has been consistent with company performance over the past year.
  • Paul's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Avon Rubber management team in years:

4.6
Average Tenure
48
Average Age
  • The tenure for the Avon Rubber management team is about average.
Management Team

Paul McDonald

TITLE
CEO & Director
COMPENSATION
£804K
AGE
44
TENURE
2.1 yrs

Nick Keveth

TITLE
CFO & Director
COMPENSATION
£463K
AGE
48
TENURE
1.8 yrs

Mike Hamner

TITLE
Vice President of Operations
AGE
47

Mike Harral

TITLE
Chief Technical Officer
AGE
58
TENURE
7.2 yrs

Miles Ingrey-Counter

TITLE
General Counsel & Company Secretary
AGE
45
TENURE
11.4 yrs

Gary Dunn

TITLE
Vice President of Sales & Marketing
AGE
62

Leon Klapwijk

TITLE
President of Avon Protection

James Wilcox

TITLE
President of Military

Matt Evans

TITLE
Sales & Marketing Director
AGE
59

Craig Sage

TITLE
Managing Director of Milkrite | Interpuls
Board of Directors Tenure

Average tenure and age of the Avon Rubber board of directors in years:

3
Average Tenure
48
Average Age
  • The tenure for the Avon Rubber board of directors is about average.
Board of Directors

David Evans

TITLE
Chairman
COMPENSATION
£129K
AGE
72
TENURE
7.1 yrs

Paul McDonald

TITLE
CEO & Director
COMPENSATION
£804K
AGE
44
TENURE
2.1 yrs

Nick Keveth

TITLE
CFO & Director
COMPENSATION
£463K
AGE
48
TENURE
1.8 yrs

Pim R. Vervaat

TITLE
Senior Independent Director
COMPENSATION
£51K
AGE
53
TENURE
3.2 yrs

Chloe Ponsonby

TITLE
Non-Executive Director
COMPENSATION
£51K
AGE
43
TENURE
3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
17. Sep 18 Buy Nicholas Keveth Individual 17. Sep 18 17. Sep 18 2,202 £13.88 £30,573
26. Jul 18 Buy Nicholas Keveth Individual 26. Jul 18 26. Jul 18 1,383 £14.45 £19,979
26. Jul 18 Buy Chloe Ponsonby Individual 26. Jul 18 26. Jul 18 1,400 £14.45 £20,230
30. May 18 Sell David Evans Individual 30. May 18 30. May 18 -5,000 £14.05 £-70,250
16. May 18 Buy Nicholas Keveth Individual 16. May 18 16. May 18 1,433 £14.19 £20,334
X
Management checks
We assess Avon Rubber's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Avon Rubber has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

AVON News

Simply Wall St News

What Should We Expect From Avon Rubber p.l.c.'s (LON:AVON) Earnings In The Years Ahead?

Avon Rubber p.l.c.'s (LON:AVON) announced its latest earnings update in September 2018, whicha

Simply Wall St -

Is Avon Rubber p.l.c.’s (LON:AVON) Cash Outlook Optimistic?

I’ve analysed below, the health and outlook of Avon Rubber’s cash flow, which will help you understand the stock from a cash standpoint. … Is Avon Rubber generating enough cash. … I will be analysing Avon Rubber’s FCF by looking at its FCF yield and its operating cash flow growth.

Simply Wall St -

Avon Rubber p.l.c. (LON:AVON): Does The -9.2% Earnings Drop Reflect A Longer Term Trend?

After looking at Avon Rubber p.l.c.'s (LON:AVON) latest earnings announcement (30 September 2018), I found it useful to revisit the company's performance in the past couple of years and assess this against the most recent figures. … Check out our latest analysis for Avon Rubber. … Furthermore, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 18%, indicating the rate at which AVON is growing has slowed down

Simply Wall St -

A Look At The Intrinsic Value Of Avon Rubber p.l.c. (LON:AVON)

by taking the expected future cash flows and discounting them to their present value. … discounted cash flows (DCF) … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model.

Simply Wall St -

A Close Look At Avon Rubber p.l.c.’s (LON:AVON) 18% ROCE

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Have Insiders Been Selling Avon Rubber p.l.c. (LON:AVON) Shares This Year?

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … (LON:AVON), you may well want to know whether insiders have been buying or selling. … It is perfectly legal for company insiders, including board members, to buy and sell stock in a company.

Simply Wall St -

What Do Investors Need To Know About Avon Rubber p.l.c.'s (LON:AVON) Future?

Based on Avon Rubber p.l.c.'s (LON:AVON) earnings update in September 2018, … as a -4.9% fall in profits is expected in the upcoming year

Simply Wall St -

Should You Be Excited About Avon Rubber p.l.c.'s (LON:AVON) 23% Return On Equity?

Our data shows Avon Rubber has a return on equity of 23% for the last year. … One way to conceptualize this, is that for each £1 of shareholders' equity it has, the company made £0.23 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Don't Sell Avon Rubber plc (LON:AVON) Before You Read This

To keep it practical, we'll show how Avon Rubber plc's (LON:AVON) P/E ratio could help you assess the value on offer. … Based on the last twelve months, Avon Rubber's P/E ratio is 19.18. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Avon Rubber plc (LON:AVON): What Can We Expect In The Future?

Avon Rubber plc's (LON:AVON) announced its latest earnings update in September 2018, whicha

Simply Wall St -

AVON Company Info

Description

Avon Rubber p.l.c. designs, manufactures, and sells chemical, biological, radiological, and nuclear respiratory protection systems for military, law enforcement, and fire markets worldwide. It operates in two segments, Avon Protection and milkrite | InterPuls. The company offers masks and filters with portfolio of respirators, filters, powered, and supplied air and long term pedigree for military contracting and supplying chain; escape hoods; underwater rebreathers; and thermal image camera technology and self-contained breathing apparatus, as well as accessories. It also provides milking point solutions, such as milking cluster technology products, which include liner, tubing, claw, and calf nurser products to remove milk from the animal for dairy farmers; precision air systems within the milking process to maximize the performance and efficiency of the system; control solution, a physical control system of the milking system to provide automation opportunities to minimize labor inputs; and intelligence solution, a critical part of the dairy system, which extracts data from the animal and integrates this within the farm herd management system or dairy management system, as well as farm services offerings, such as clusters, pulsators, and tags to the farm on a lease hire basis. The company was founded in 1885 and is headquartered in Melksham, the United Kingdom.

Details
Name: Avon Rubber p.l.c.
AVON
Exchange: LSE
Founded: 1885
£381,550,350
30,524,028
Website: http://www.avon-rubber.com
Address: Avon Rubber p.l.c.
Hampton Park West,
Semington Road,
Melksham,
Wiltshire, SN12 6NB,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE AVON Ordinary Shares London Stock Exchange GB GBP 02. Jan 1992
OTCPK AVNB.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
BATS-CHIXE AVONl Ordinary Shares BATS 'Chi-X Europe' GB GBP 02. Jan 1992
Number of employees
Current staff
Staff numbers
784
Avon Rubber employees.
Industry
Aerospace and Defense
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/22 20:35
End of day share price update: 2019/03/22 00:00
Last estimates confirmation: 2019/02/12
Last earnings filing: 2018/11/30
Last earnings reported: 2018/09/30
Last annual earnings reported: 2018/09/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.