We expected difficult conditions in Flexonics, but anticipated downgrades are a bit worse than we would have hoped, c.10% in FY16 to PBT of c.£95m, with strong decline expected in heavy truck, off-highway and Industrial. This would equate to EPS of c.17.5p, and a P/E of c.12.6x, which we feel remains too cheap given the Group’s aerospace potential. The new Chief Executive is also implementing a number of initiatives to drive the Group forward which we will hear more about at the analyst presenta ....
