C&C - Period end trading update in line with expectations

Davy Research
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C&C’s period end trading update implies that FY2018 results are broadly in line with our expectations for EBIT and cash conversion. Key themes are consistent with the interim update – its outlook statement suggests a broadly positive outlook for the group’s segments in a challenging market. With a free cash flow yield of 7.1% and a dividend yield of 5.3%, we believe the shares are undervalued.