Like many car manufacturers today, Aston Martin does not work well. The American definitions and poor demand in China forced the brand to reduce its financial view of this year. On Thursday, the company announced that it would likely collapse even by the end of 2025, rather than a profit. Now, the company sells its share in the Formula 1 team. An analyst suggests that Aston can go special to survive.
Aston Martin signed a binding intention letter to sell the ownership share of 4.6 percent in the F1 team to an unknown buyer of $ 146 million. Cash injection in car business on roads should help in daily operations, without a significant impact on the race team.
While Aston will not have a financial share in the F1 group, the team will remain known as the Aston Martin Aramco Formula One team thanks to a long -term trade agreement between the two entities. If you follow closely, you will know that the team was previously using the name race point before the brand renamed in 2021. Before that, it was known as the Force India.
At the same time, it is scheduled to increase from 27.67 percent to 33 percent of 27.67 percent out of 27.67 percent out of 27.67 percent, with another flow of cash. Combating, cash injection must mean operations without interruption until the end of the year.
Can Aston Martin fluctuate from the stock market?
An analyst believes that Aston Martin can go special to increase the strengthening of its financial data.
Urua Mohamed, an analyst at the third Bridge, who was interviewed Citam. “Our experts say that simplification of the property structure can improve the lightness of movement, attract the partners in the long run, and reduce the administrative and financial burdens of the general inclusion.”
Aston issued publicly in October 2018, at a price of 19 pounds ($ 25.30), where the company was evaluated for $ 5.76 billion. Currently, the shares are traded at only 71 pence ($ 0.94), compared to a rating of $ 1.01 billion, according to My immigration.
“Internal, Aston Martin takes steps to reduce costs, with a special focus on the material for improving materials,” says Mohamed. “However, cost reduction measures take time to liquidate, and the total margin is not expected to recover until 2027 or later.”
The company has one strong advantage in these unspecified times: wealthy buyers, who are almost not affected by economic swinging such as the average car buyer.
“Despite these challenges, the Aston Martin customer base offers some isolation,” says Muhammad. “Buyers in the super luxury sector tend to be less sensitive to inflation and economic courses, giving the company more flexibility in prices.”
