Should I buy Aston Martin shares today?

first_img Our 6 ‘Best Buys Now’ Shares Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge! Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. After turning positive on Aston Martin (LSE: AML) shares recently, I’ve been taking a closer look at the company. Following the firm’s cash call and restructuring, I reckon the group’s long-term outlook has improved substantially.And as one of the most respected luxury car brands in the world, I believe customers will be willing to support the business through its turnaround. 5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…Aston Martin shares on offer Aston Martin has made some significant changes over the past year or so. A new management team has been bought in, the balance sheet has been strengthened, and costs have been rationalised. Before these changes, it was clear the group was in trouble. Aston was producing far too many cars. It had overestimated demand and had new cars sitting at dealerships, waiting to be sold.Having too many vehicles gave the firm two problems. It diluted the brand and meant costs were too high. For example, there’s no point operating a factory that can produce 1,000 cars a year when customers will only buy 800. One of the first things the new management did was to get rid of excess inventory. Then they reduced output (and costs) to match demand. Now the company only makes a vehicle if the demand is there. After rationalising the business, the new management raised a chunk of cash to strengthen the balance sheet. The fundraising weighed on Aston Martin shares, but it now means the corporation is “funded forever” according to management. So, that’s the balance sheet and cost base sorted out. The next challenge is producing new vehicles. Aston has a selection planned. From its long-awaited DBX SUV to the Valkarie hypercar, the firm has plenty for its fans to look out for in the next few years. Growth aheadAll of the above suggests to me that Aston Martin shares have a bright future. The company seems to have put the worst of its problems behind it. All it now has to do is prove that it’s heading in the right direction. The next few months will be critical for the business. If the carmaker can keep costs low and attract new customers, then 2021 could be the year Aston Martin shares make a strong comeback. With that being the case, I’m going to keep a close eye on the enterprise. If sales rise, and costs remain under control, I might buy Aston Martin shares for my portfolio. The business would only need to return to profit to prove that it has put the worst of its problems behind it. From there, the group needs to focus on doing what it does best, manufacturing high-quality luxury cars. If it can do that, customers should come flooding back. Investors may reap enormous benefits as a result.  Should I buy Aston Martin shares today? I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. See all posts by Rupert Hargreaves Enter Your Email Addresscenter_img “This Stock Could Be Like Buying Amazon in 1997” Rupert Hargreaves | Saturday, 21st November, 2020 | More on: AML I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Image source: Getty Images Rupert Hargreaves has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Simply click below to discover how you can take advantage of this.last_img

Leave a Reply

Your email address will not be published.Required fields are marked *