AML Share price fall
Discussion
RobDown said:
Europe is virtually in recession now. Asia has slowed markedly (Singapore GDP down 3.4% in Q2). The US is going to cut interest rates in a few days time to stave off its own economic slowdown.
Genuine question here; but why is that? Why is Europe nearly in recession? Is it a knock on effect from slowing down in China and the US-China tariffs etc.? In other words Trump? I understand the car market slowing down due to diesel, and uncertainty of fuel/climate etc etc. Is it the 'B' word??
2002 said:
rovcallum said:
Wouldn't surprise me if Dr P is shown the door if the share price hits £5. Not totally his fault but it will clear the air.
I doubt it as, despite this drop, is he not the best they've got to push the firm forward? I mean who else is going to do it?Its going to take something unbelievable to recover the stock to IPO levels, its a zero sum game, someone, somewhere has taken a very big bath on this.
In recent times, any profit warning by a company tends to result in the share price taking a dump, and the vultures begin circling, saying the company's going under, the CEO should be hung, drawn and quartered... rarely does the news go down well. Glass half empty or half full. Aston continues to make a profit - it's had much, much worse times in its own history, when it wasn't taking chances, lacked ambition and assumed nature would just find a way.
The twist with Aston Martin and how us, the merry band of owners talk about it, is as interesting as the share price itself (to me at least). If we look at the key points (linked to that thread I started a few months ago about AML's future and what it needs to do to appease the disillusioned among you).
New Vantage hasn't been a flop; it's not been as successful right off the bat as was hoped, but it's a very different car to the last, in very different times. Entry level it might be in the range, the game has changed, and a sub £100k new model isn't going to produce acceptable profit for the company. Complaints about the size and shape of headlights, the choice of engine, the dashboard, the grille... haven't stopped it selling in parts of the world where the old Vantage wouldn't have sold.
The influx of low miles, used ones on the UK market (and possibly overseas ones too) - the back story for many is they were bought by owners who wanted a car to plug a gap while they awaited a DBS Superleggera or Zagato Shooting Brake delivery. They were only temporary, short term ownership prospects, and it doesn't cast a negative light on the actual car when you appreciate the owner's viewpoint.
The inconvenient truth is that PistonHeads is not representative of the overall reception new Vantage has had. What I'm saying is that just because a few people on a forum proclaim a car to be ugly, that isn't going to qualify the car itself as a failure, if they decide not to chop in their old V8VS or V12S. Of course AML would love that to be the case, but if it wanted to solely do that, how many VH Vantages exist in total? Build a car just to satisfy a few, or step things up and open up more doors - it's a business, not a private club (if we're honest, some would like it to remain a more private club, to stroke the ego and feel more special).
There's bigger issues facing Aston Martin at the moment, the same issues facing every car maker. This of course, is Brexit, and also the war on internal combustion engines. Factor those two together when you're a small car company, growing at a sensible rate, with ambition, and it's a difficult environment to operate in. Brexit and the apocalyptic fallout of it will probably end ringing in the ears of car makers for the next 2 or 3 years, so it's a case of weathering the storm between now and then.
With Bojo the clown front and centre, it could be a cake walk, it could be a train crash. Time will tell...
Had new Vantage arrived sporting a home brewed twin turbo V8 and in-house developed DCT, how much do you think it would be costing the customer, to recoup some of the investment R&D? I appreciate I bang the drum in defence of the 2nd Century cars quite a bit, to the point where I'm a black sheep in the forum - but it's worth mentioning again, that the sports car and prestige car industry is very different and technologically was decades ahead of where Aston's product range was in a 2016, when it was still selling cars designed close to 15 years previous.
Big strides had to be made to remain relevant, and it got over that hump, with a brilliant GT in the DB11, and exceptional sports car in Vantage, and a beautiful brute in the DBS Superleggera.
The mid-engine super cars will no doubt grate on some of the existing customer base, so the thing left to ponder is where do you go to talk good experiences and positive views regarding AML now? PH has become to the 2nd Century cars, what AMOC's forum used to be towards Gaydon era cars, where there are two common themes:
1) Talk fondly about the previous generation of cars. "they don't make them like they used to".
2) Talk negatively about the current and future plans, cars and thought process of the company.
But anyway, as you were. I expect the share price to stabilise, and creep back up, but we need the Monty Python sketch known as Brexit to start turning in our favour first.
The twist with Aston Martin and how us, the merry band of owners talk about it, is as interesting as the share price itself (to me at least). If we look at the key points (linked to that thread I started a few months ago about AML's future and what it needs to do to appease the disillusioned among you).
New Vantage hasn't been a flop; it's not been as successful right off the bat as was hoped, but it's a very different car to the last, in very different times. Entry level it might be in the range, the game has changed, and a sub £100k new model isn't going to produce acceptable profit for the company. Complaints about the size and shape of headlights, the choice of engine, the dashboard, the grille... haven't stopped it selling in parts of the world where the old Vantage wouldn't have sold.
The influx of low miles, used ones on the UK market (and possibly overseas ones too) - the back story for many is they were bought by owners who wanted a car to plug a gap while they awaited a DBS Superleggera or Zagato Shooting Brake delivery. They were only temporary, short term ownership prospects, and it doesn't cast a negative light on the actual car when you appreciate the owner's viewpoint.
The inconvenient truth is that PistonHeads is not representative of the overall reception new Vantage has had. What I'm saying is that just because a few people on a forum proclaim a car to be ugly, that isn't going to qualify the car itself as a failure, if they decide not to chop in their old V8VS or V12S. Of course AML would love that to be the case, but if it wanted to solely do that, how many VH Vantages exist in total? Build a car just to satisfy a few, or step things up and open up more doors - it's a business, not a private club (if we're honest, some would like it to remain a more private club, to stroke the ego and feel more special).
There's bigger issues facing Aston Martin at the moment, the same issues facing every car maker. This of course, is Brexit, and also the war on internal combustion engines. Factor those two together when you're a small car company, growing at a sensible rate, with ambition, and it's a difficult environment to operate in. Brexit and the apocalyptic fallout of it will probably end ringing in the ears of car makers for the next 2 or 3 years, so it's a case of weathering the storm between now and then.
With Bojo the clown front and centre, it could be a cake walk, it could be a train crash. Time will tell...
Had new Vantage arrived sporting a home brewed twin turbo V8 and in-house developed DCT, how much do you think it would be costing the customer, to recoup some of the investment R&D? I appreciate I bang the drum in defence of the 2nd Century cars quite a bit, to the point where I'm a black sheep in the forum - but it's worth mentioning again, that the sports car and prestige car industry is very different and technologically was decades ahead of where Aston's product range was in a 2016, when it was still selling cars designed close to 15 years previous.
Big strides had to be made to remain relevant, and it got over that hump, with a brilliant GT in the DB11, and exceptional sports car in Vantage, and a beautiful brute in the DBS Superleggera.
The mid-engine super cars will no doubt grate on some of the existing customer base, so the thing left to ponder is where do you go to talk good experiences and positive views regarding AML now? PH has become to the 2nd Century cars, what AMOC's forum used to be towards Gaydon era cars, where there are two common themes:
1) Talk fondly about the previous generation of cars. "they don't make them like they used to".
2) Talk negatively about the current and future plans, cars and thought process of the company.
But anyway, as you were. I expect the share price to stabilise, and creep back up, but we need the Monty Python sketch known as Brexit to start turning in our favour first.
Edited by anonymous-user on Friday 26th July 15:03
I was a bit skeptical of a few posters here saying they're an Aston owner but not interested in the new Vantage (or anything else AM ATM) but just having had a conversation with my mate (who is a mulitmillilonaire previous 4.7 Vantage owner) briefly mentioned Astons stock prices, he says he's not interested in any of the current AM models and doesn't like the look pr interior of the Vantage at all so won't be buying. Oh dear.
I also read an article that reckons that AMs IPO was just a payday for existing executives/owners.
I also read an article that reckons that AMs IPO was just a payday for existing executives/owners.
avinalarf said:
8Speed said:
avinalarf said:
What....what .....don't upset me.....or I'll ......Il'll get Tony Hall to pay you a visit.
How can you say that....how very dare you.....
Not perhaps the most appealing of Aston designs but I think it evolved into a much better looking car with the later versions (fared in headlights, flared wheel arches, etc).How can you say that....how very dare you.....
Anyway, Avinalarf, I imagine you looked rather stylish driving around at the time in your car with your scarf fluttering out of the window.
The beautiful wood dash was very seductive.
it drew a lot of positive attention from the general public that didn't realise it was an Aston.
You will know that there could be problems with the electrics and that the relatively low purchase prices made it difficult to justify spending huge amounts on them to bring them up to scratch.
I reluctantly sold mine after 3 years as I felt that some large bills were becoming inevitable in the near future.
Of course soon after I sold it prices doubled.
Re. the rest of your post.....one has to look stylish when driving an Aston, the epitome of style.
At the moment I'm going through a " Rock Chick " phase brought on by binging on Sons of Anarchy on Netflix.
If you were MB I dont see the point of buying AM unless as a vanity project. They already have AMG for race pedigree and motorsport. Never say never but I can imagine MB have enough problems of their own without taking on AM at the moment.
I really cannot see how the DBX is going to be the financial saviour for Aston Martin. The comment earlier about being at the cayenne price point is bang on, but I think we all know its going to be somewhere far north of that so hopes of volume are extremely optimistic, if not deluded. The RR is the defacto king of luxury 4x4s and I can get a 5 figure discount on new right now if I want one. The luxury suv market is dominated by LR, if they are discounting to sell (as are all of them) thats not a good sign for the rest, or newcomers.
The far east market is often referred to as the other way AM will become a volume car manufacturer. Anecdotal evidence suggests the chinese have little or no knowledge of Aston Martin. Bringing a new brand to a new market, developing brand awareness/recognition and brand value, is a big, long term job. It is not something that can be achieved in a couple of years, if at all. Putting the name on the bootlid feels almost farcical.
I really cannot see how the DBX is going to be the financial saviour for Aston Martin. The comment earlier about being at the cayenne price point is bang on, but I think we all know its going to be somewhere far north of that so hopes of volume are extremely optimistic, if not deluded. The RR is the defacto king of luxury 4x4s and I can get a 5 figure discount on new right now if I want one. The luxury suv market is dominated by LR, if they are discounting to sell (as are all of them) thats not a good sign for the rest, or newcomers.
The far east market is often referred to as the other way AM will become a volume car manufacturer. Anecdotal evidence suggests the chinese have little or no knowledge of Aston Martin. Bringing a new brand to a new market, developing brand awareness/recognition and brand value, is a big, long term job. It is not something that can be achieved in a couple of years, if at all. Putting the name on the bootlid feels almost farcical.
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