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Avon Rubber - 52-week high for shares after positive statement

September 2010

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • AVON
  • Price:
  • 118p
Since our update in June, Avon has announced that Q3 trading remained strong.  The division supplying gas masks and emergency hoods has seen quarterly sales increase 20%, with an “improved level of activity in the US homeland security markets and a significant increase in orders from US fire departments since the release of federal grant funding in March.†Even the ancillary engineering fabrication side, which supplies rubber storage fuel tanks to the military and which Avon tried to sell but then withdrew from the market last year, has suddenly woken up with receipt of a $5m order. Elsewhere, Avon's dairy business, which supplies rubberware for the automated milking process, has also seen sales up 11% and the full ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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