Aston Martin IPO

[gazza5]

So anyone planning on getting any Aston Martin shares?

[keith333]

Valuation of £4 to £5 billion for a company that made a profit of £42 million in the last six months. I'm oot!

[NickCQ]

keith333 said:

Valuation of £4 to £5 billion for a company that made a profit of £42 million in the last six months. I'm oot!

Indeed. They can't attain that valuation on just the car manufacturing business - so it's a bet on whether they can generate enough earnings pimping out the brand with various 'lifestyle' products for Bond walts. Not one for me!

[The Moose]

gazza5 said:

So anyone planning on getting any Aston Martin shares?

Maybe on the short?!?!

[anonymous-user]

keith333 said:

Valuation of £4 to £5 billion for a company that made a profit of £42 million in the last six months. I'm oot!

Elon Musk (Mr Tesla) probably thinks Aston Martin look good value at that price.

[Simpo Two]

HL is on it: https://www.hl.co.uk/news/articles/how-to-buy-asto...

[ringram]

..an inital public offering of a freshly laid turd..

Who wants some?

[p1doc]

I did wonder about investment but figures do not seem to add up but might buy a couple depending on cost just to say o own shares in aston martin as closest I will get to an aston martin lol

[gazza5]

Hmm - my thoughts exactly chaps.

The valuation seems way off to me, I will be keeping a eye on it, but can see it becoming a HMV in terms of high valuation, share price just goes down, down, down.

[R8Steve]

The Moose said:

Maybe on the short?!?!

+1

Looks a certainty based on proposed figures.

[Heres Johnny]

keith333 said:

Valuation of £4 to £5 billion for a company that made a profit of £42 million in the last six months. I'm oot!

I agree - who do they think they are, Tesla?

Its not as if they've been blessed with a profitable track record, although in fairness, with 2 -3 newish products out, some big investment must have gone on in the background even if half of it was by Merc on the engines and the electronics..

[emicen]

Depends whether you let your head or your heart pull the trigger.

[gibbon]

I love the brand, and have had two Aston Martins, I wont be buying into the IPO, sadly, doesnt add up to me.

[anonymous-user]

gibbon said:

I love the brand, and have had two Aston Martins, I wont be buying into the IPO, sadly, doesnt add up to me.

In the same way as Tesla if you like what they’re doing, buy the car, not the shares!

[red_slr]

rockin said:

In the same way as Tesla if you like what they’re doing, buy the car, not the shares!

Mmm not sure I agree with that. Tesla is about as far away from Aston as you could get. Not just in product but customer base etc.

[Heres Johnny]

red_slr said:

rockin said:

In the same way as Tesla if you like what they’re doing, buy the car, not the shares!

Mmm not sure I agree with that. Tesla is about as far away from Aston as you could get. Not just in product but customer base etc.

Disagree completely. Tesla are a long way from Aston on ethos and the desire to call out pedos save the planet, but they both have a loyal fan base prepared to spend 100k+ on a car that belies the product. The only car I've had more build quality issues with than my Tesla is the Aston Martin I bought (mainly paint but also a random willingness to refuse to move, in the Tesla its software glitches, in the Aston it was the paddle shift gearbox deciding neutral was a good place to stay).

I'm actually warming to Aston again, I know many hate the vantage and I choked when they put what amounted to a messerschmitt engine in a spitfire, but I think the current range is a great platform to build from.

I've a simple ethos - if you like the car, buy it, but a good car doesn't mean its a good company.
And a good company doesn't mean the share price is a steal. Invest with the head and not the heart.

[DonkeyApple]

keith333 said:

Valuation of £4 to £5 billion for a company that made a profit of £42 million in the last six months. I'm oot!

How much of that is going to Dave and Bez’s Holiday fund?

[Jon39]

DonkeyApple said:

How much of that is going to Dave and Bez’s Holiday fund?

Perhaps I have misunderstood DA, but they have not been in charge for many years.

[Jon39]

keith333 said:

Valuation of £4 to £5 billion for a company that made a profit of £42 million in the last six months. I'm oot!

Interesting that almost all contributors so far, have concerns about the fundamentals.
Perhaps you are aware of the bumpy profitability history of this 105 year old company, that so many of us love.

There is a further aspect about the reported 2017 profit. Almost all of the new model development costs, did not go onto the profit and loss account.

'Aston Martin spent 224 million pounds on R&D last year (one-quarter of sales) but only 11 million pounds of that was expensed in the profit and loss statement. The rest — some 95 per cent (far above other car manufacturers) — was capitalized on its balance sheet.   If Aston Martin was based in the U.S., where GAAP accounting rules usually prohibit companies from capitalizing R&D costs, it would have reported another full-year loss.' 

[DonkeyApple]

Jon39 said:

DonkeyApple said:

How much of that is going to Dave and Bez’s Holiday fund?

Perhaps I have misunderstood DA, but they have not been in charge for many years.

Not since other investors thought it more prudent that all the money went towards selling more cars rather than the Dave and Bez holiday fund but I don’t think they sold their holdings in the holding company though.

They were still holding as of a couple of years ago:

https://beta.companieshouse.gov.uk/company/0606717...