Aston Martin Lagonda Glo... Share Discussion Threads

[ignoble] 07/11/2019 09:53

I think Aston are now using Mercedes AMG engines, maybe that will expand
Who knows, Not I

Dyor etc.

[tomboyb] 07/11/2019 09:40

Debt pile is massive and that will cause waves that need to be resolved -

DBX needs to an "absolute" success in this very competitive market -

Interesting that Mercedes Benz have taken a 4.5% stake here -

They are not doing too well either -

[ignoble] 07/11/2019 09:37

Vantage... Cheapest in the range
£120,000

That could be a problem, ouch

Must admit, the first reviews of the the new 4 wheel drive have been very positive
Starting at a £156000, must order one for the wife to do her shopping.

In her dreams and mine, come to think about it

[tomboyb] 07/11/2019 09:32

Aston Martin swings to loss on lower Vantage demand
Luxury carmaker’s shares rise as it maintains profit guidance


Peter Campbell, Motor Industry Correspondent 2 HOURS AGOPrint this page

Aston Martin fell to a quarterly pre-tax loss following a steep fall in demand for its entry-level Vantage sports cars, but its shares rose as the company kept its full-year profit guidance intact.

The London-listed luxury carmaker swung to a pre-tax loss in the third quarter of £13.5m, compared with a profit of £3.1m a year earlier, on revenues that were 11 per cent down at £250m following a 16 per cent drop in car deliveries. In the second quarter, it made a loss of £79m.

Mark Wilson, Aston Martin’s chief financial officer, said the Vantage, which starts from £120,000 and competes against the more upmarket versions of the Porsche 911, had seen demand in its segment fall by 4 per cent globally. As the cheapest car in Aston’s range, it is also the most sensitive to economic fluctuations.

Andy Palmer, chief executive, said: “The segment of the market in which Vantage competes is declining, and notwithstanding a growing market share, Vantage demand remains weaker than our original plans. As a consequence, total wholesale volumes are down year-on-year as we balance growth, brand positioning and dealer inventories.”

However, its shares rose by 8 per cent after the results beat expectations and the company kept its guidance for the full year intact. The stock, which has fallen from £19 at its initial public offering last year, rose to 454.80p.

Over the first nine months of the year, Aston Martin has recorded pre-tax losses of £92.3m, compared with a profit of £23.9m in the same period a year earlier.

Mr Palmer said: “We see pressure on volumes continuing into the end of the year and now expect total wholesales to be lower than previously guided, but within the range of market expectations.”

The company issued a profit warning earlier in the year, after saying it had too many cars piling up unsold at dealerships.

Sales in the latest quarter in the UK fell 22 per cent, with Europe down by 17 per cent, and Asia-Pacific dropping by 34 per cent. The Americas grew 2 per cent.

The group’s hopes rest on the launch of its all-important sport utility vehicle, the DBX, which will be built in a new facility in Wales. The car will be revealed on November 20, and sales will begin in the second quarter of next year.

In September, the company was forced to raise $150m in fresh debt, paying steep borrowing costs in order to secure the bond, with a rate of 12 per cent and half of the repayment in debt. Following the issue, rating agency S&P downgraded the company to CCC+, one of the lowest tiers on the junk bond investment ladder.

[dealy] 07/11/2019 09:16

gains didn't last long. This stock is despised

[quidzinn] 07/11/2019 08:33

A successful launch of the DBX in Beijing on 20th November will help share price

Q

[dealy] 07/11/2019 07:59

the 10 year business plan doesn't show falling sales

[bookbroker] 07/11/2019 07:55

Or another takeover by a wealthier entity!

[bookbroker] 07/11/2019 07:54

Need a rights issue, best get it out the way sooner rather than later!

[bjfanc] 07/11/2019 07:52

How they going to pay the debt with failing sales.

[dealy] 07/11/2019 07:26

No disasters in today's announcement. Huge valuation gap to Ferrari and huge relative short position. This should recover to 600p by year end, 800p next year

[dealy] 05/11/2019 13:15

Mercedes Benz just announced a 4% holding. 3% was removed by Industrialinvest via the tender offer. That's 7% of the shares that can be bought back by shorters. The free float is only 20% so there are not many shares available for shorters to cover. May be we see a 2008 VW style short squeeze?

[dealy] 05/11/2019 07:14

Ferrari is trading at 5 times Aston Martin on an EV/Sales basis. That is absolutely ludicrous. That gap has to close

[dealy] 04/11/2019 09:20

big short squeeze coming. Also takeover interest could surface at this level

[ignoble] 01/11/2019 10:49

Starts at £150000
Top speed of 170mph

Why?

Having said that, as I understand it, it is being built in the UK
That bit I like

[ignoble] 01/11/2019 10:45

And their new 4 by 4 to come
Why bother, the market is saturated
I just don't understand what possessed Aston to think there is a market to justify the expense of the thing

Will Ferrari bother with one, I doubt it
They stick at what they are good at as do Morgan

[tomboyb] 01/11/2019 09:45

Debt is huge -

They do need cash but they will still struggle in this market -

Talk about kicking a company when it’s down. Aston Martin Lagonda has had a torrid time since it floated last year, but the high-end motor manufacturer was in reverse — yet again — after a searing note from Bank of America Merrill Lynch.

Analysts at the same bank that priced, organised and underwrote Aston’s listing relegated the stock from “neutral”; to “underperform”, having already demoted it from “buy” in July. They cut their price target from 550p to 400p, roughly 20 per cent of what it listed at, noting that weak near-term demand was affecting profitability and that a controversial bond sale last month had made Aston’s financial position more challenging. The shares, down 64.5 per cent this year, dropped 40½p, or 8.5 per cent, to 434¾p yesterday.

[sentimentrules] 01/11/2019 09:40

Anyone seeking a double bottom here will need head examined

[bookbroker] 01/11/2019 09:38

They need cash, not less debt, until they generate meaningful sales they are permanently strapped!

[tomboyb] 01/11/2019 09:35

If feasible I think a debt to equity conversion should take place at some point -

Otherwise this really looks like toast -

[bookbroker] 01/11/2019 09:33

Simply not a strong enough brand, financially likewise, to go it alone, irrespective of 007! How many other classic car brands apart from Ferrari ploughing their own furrow, and that was part of Fiat until recently!

[only who?] 31/10/2019 18:45

We don't make cars, we make lead balloons.

[tomboyb] 31/10/2019 15:48

Looks like 400p or less now coming -

[porsche1945] 28/10/2019 15:03

.....chief executive Andy Palmer said: 'We don't make cars, we make dreams.'

Nightmares more like.