Avon Technologies Share Discussion Threads

[fuji99] 18/11/2021 08:52

Profit taking cannot hold it down anymore.

[charlesjames1] 17/11/2021 16:24

Well I’m in for £7000. I’ll look back in the new year.

[onup1] 17/11/2021 15:43

Several funds reducing

[fuji99] 17/11/2021 15:21

Yes they are loading just in case the bid is THE BEST OPTION ...
MI Chelverton UK Equity Growth Fund acquiring 5.1%.

[mbdx7em21] 17/11/2021 15:06

Northern Trust snapping up 5.16%?

[fuji99] 17/11/2021 14:58

IMO the review will put every option on the table and the one that will be probably retained - if it can happen - would be the one that will make the management even more wealthier: A takeover - and they now have, during this review, the opportunity to justify it ...

[justiceforthemany] 17/11/2021 14:42

M&A activity in the short-medium term is definitely probable. Depends on board of course and how keen they are.

[conwyrebel] 17/11/2021 13:43

Will be soon…

[fuji99] 17/11/2021 13:23

My prediction is that AVON will not go through the full 2022 before being taken over. Meggit and Ultra Electronics were the recent prays. AVON is less sensitive when compared to others as it manufactures protection equipment so could go easily to any bidder - - -

[jeffian] 16/11/2021 23:03

"Avon’s price-to-earnings ratio is also very low."

As picked up in an earlier post, that rather depends on what figures it is based on. If they are using historic figures, these are distorted by the sale of the Milkrite business.

[justiceforthemany] 16/11/2021 22:54

Do I buy? So, what is my outlook? Avon Protection managed to reduce its debt between 2020 and 2021. Delays aren’t good but they don’t mean total failure. Avon’s price-to-earnings ratio is also very low. But, based on current revenues it could struggle to pay its 2.54% dividend.

Despite this, I will be adding it to my portfolio.

It’s a risky move, but once Avon improves its products, I think we could see a significant share price resurgence.

[davidro77] 16/11/2021 21:29

A Quality Stock you say? Never have I seen such a car crash in strategy and execution combined over the past 12/18 months. I wonder what the naked trader will say about this, he'd an open position around 1800p. Expect we'll find he amazingly dumped it just before the crash or it will go down as one of his worst in years!

[buywell3] 16/11/2021 21:27

Is the chart hook now set ?

[justiceforthemany] 16/11/2021 21:18

The higher margin, high growth Respiratory and Helmet businesses are likely to be the mainstay going forward here, projected to comprise c. 85% of FY22 revenue. The -51% drop on Friday was the market pricing in a sale/total write down ($30-$40M) of the armour business - the institutions probably already know the decision...however the board should try their utmost to liaise with the US DoD & understand the reasons behind their decision - there must be a solution and a pathway to approval.

[kadvfn1] 16/11/2021 14:23

Looks like institution just swapping lol

[mbdx7em21] 16/11/2021 12:27

Alantra EQMC Asset Management SGIIC, S.A. snapped up 5.6%?

[dope007] 16/11/2021 11:09

Quality? They just ballsed it right up. That ain't quality, and niche mkts often remain niche and limit growth potential. Potential that is currently priced in, hence the 50% dump on failure

[fuji99] 16/11/2021 10:40

31 million shares issued is price sensitive. It can creep up very quickly. For any prospective takeover bid, they will never allow a takeover of less than a billion. All what happened is a wake up call to AVON Management. They have a niche market in a very selective area of technology. IMO they will change completely their future approach. They could also sell the business. To pick such a quality stock at 5 year low, is only one opportunity in a million.

[dope007] 16/11/2021 10:25

Extra £10. I don't think so. No way is this going to £600 mill mkt cap on such meagre sales

[fuji99] 16/11/2021 10:07

You may regret it in the next few weeks/months. You may have missed an extra £10 a share. Good luck anyway.

[scepticalinvestor] 16/11/2021 09:40

Well sold out at 1107. Been a lovely ride from 940

[jdh1602] 15/11/2021 16:27

Time for a Co. rename to Avon Exposure...

[average down mug] 15/11/2021 15:44

🤡☝A039;looks like you going to finish on a day high! Well done bodes well for tomorrow another 20%?? Gl holders I only have £1k in looking for a free Chinese at 1300

[fuji99] 15/11/2021 15:28

Jeffian- What I meant by "management" are mainly the CEO and the CFO. Technical Managers leading R & D, Design and Testing are the ones who are responsible as they are those following up the product from design to testing, not the CEO or the CFO. Of course these two are informed by the progress on a regular basis. Concerning the failure, we cannot predict in advance the result thus cannot "be aware" of the pass/fail outcome until we actually complete testing. Thus why a thorough investigation is a must to determine the cause and the source of the failure. As you rightly said, these are "life critical" products if not meeting the pass criteria can kill people. So the pass/fail criteria for a specific application set by the client are stringent and tough and could be different for each type of gun/caliber, bullet speed etc. In any case this part of the business is less than 20% and the share price has actually spiked down as if almost 50% of the business has experienced failure.

[monte1] 15/11/2021 15:25

Perhaps internal testing was carried out with a spud gun rather than the M16 of the Client testing team?