How To Buy Aston Martin Stock
Welcome to Trading Brokers step by step guide to buying Aston Martin stock. Here you will find an easy to understand explanation of trading Aston Martin stock. This includes how to buy Aston Martin shares online, what you need to trade Aston Martin stock and how to open a trading account with a stock broker so that you can buy Aston Martin stock online today.
Maybe you have heard of buying Aston Martin stock online or through a friend. Perhaps you are looking to trade and are curious about the different options available to you. Whether you are looking to speculate, invest or just learn more, this guide on how to buy Aston Martin stock can help you along your journey.
Overview of Aston Martin
Aston Martin Lagonda Global Holdings plc (AML), founded in 1913, is a U.K-based manufacturer of luxury sports vehicles with a unique heritage recognized around the globe. Its sports cars are considered a cultural icon in Britain. It has held a royal warrant as a provider of cars to the Prince of Wales for more than three decades.
The Gaydon, United Kingdom-based company has more than 160 vehicle dealerships spread across 53 countries, making it a multinational brand. Its cars are well known for their luxury, unique appearance, and style.
The company holds a strong line up with a variety of recognized sports and performance GT vehicles. Some of its famous models include:
Aston Martin Vantage
The latest Aston Martin Vantage comes with a twin-turbo V-8 and 503 horsepower, supported by 8-speed automatic transmission. The company has made a lot of engineering and technology improvements in the model over the years. The latest version sprints from 0 to 60 miles per hour in just 3.6 seconds with a top speed of 200 mph.
Aston Martin DBX
Aston Martin is trying to strengthen its foothold in the SUV space with its latest DBX, which offers several personalization choices such as different themes. The DBX comes with a twin-turbo 4-liter V8 engine, with a horsepower of 542 and a nine-speed automatic transmission. Besides comfort and beauty, the vehicle is also powerful, as it can tow 5940 pounds. Customers can also go for off-roading with its descent-control features and adjustable ride.
Aston Martin DB11
The DB11 offers two distinct engine options. The first one is a twin-turbocharged 4-liter V-8 engine that has a horsepower of 503. The second option includes a twin-turbo 5.2-liter V-12 engine with a horsepower of 630. It comes with an 8-speed automatic transmission.
Factors controlling Aston Martin stock price
Whether you are in for the short, mid or long-term, it is vital you know those factors that can affect the Aston Martin stock price. We will look at some of the important factors that you need to consider if you are looking to invest in Aston Martin stock.
Over supply issue
Majority of customers buying Aston Martin cars belong to rich families. The company in the recent years faced oversupply issues, and the management tried to coupe with it by reducing the number of vehicles on forecourts to retain their pricing power and value of its vehicles. The company also delayed launch of some new models to save cash for producing mid-engine cars that can better compete in the market with rival brand such as Ferrari.
Aston Martin could dramatically improve its financial position if it managed to stabilize its costs and balance sheets.
Collaborations and funding
Aston Martin, already struggling with debt, needs more capital for developing newer models. Its balance sheet is under huge pressure and the company will need more financing and collaborations to smoothly run its operations. It has made some strategic investments to save costs. For instance, its partnership with Mercedes- Benz has given it access to a range of advances technologies.
Aston Martin is far behind its rivals in the electric vehicle space. The market has been evolving at a rapid rate, and people are increasingly switching to electric cars. The company needs to capitalize on the opportunities in the electric vehicle space to ensure its success in the long term.
Investing in Aston Martin
Investing in Aston Martin stock is when you buy Aston Martin shares to own them outright, usually with a view to holding them for the long term. Investors would usually look to buy Aston Martin stock in order to try and make a profit when the Aston Martin stock price increases in value.
Trading Aston Martin stock
Trading Aston Martin stock is when a trader speculates on the movement in the Aston Martin stock price without actually owning the shares in Aston Martin. Traders tend to buy and sell Aston Martin stock on a more frequent basis, usually speculating on daily, weekly or monthly price fluctuations.
You can buy and sell Aston Martin stock online through various methods including spot markets, futures contracts, options contracts, spread bets, CFDs (contracts for differences) and ETFs (exchange-traded funds).
Aston Martin CFDs
One of the most popular ways to trade Aston Martin stock is via CFDs (contracts for differences). When trading Aston Martin CFDs, you do not actually invest in Aston Martin shares, meaning you are not tied to them. You are only speculating on the rise or fall of the Aston Martin stock price. A CFD is a financial contract, typically between a broker and a trader, where one party agrees to pay the other the difference in the value of a security, between the opening and closing of the trade.
A CFD trader can go short or long, set stop and limit losses and apply trading scenarios that align with their own personal objectives. Traders would open long (buy) positions, if they think the stock price of Aston Martin will rise or short (sell) positions if they thought that the Aston Martin stock price will fall. The difference in price between the entry and exit price is the traders realised profit or loss, excluding any broker commission and fees.
For example, if you think Aston Martin shares are going to increase in price, you could buy a share CFD on the company. You will exchange the difference in price between when your position is opened and when it is closed, earning a profit if the shares increase in price and making a loss if they decrease in price.
On the contrary, if you think Aston Martin shares are going to decrease in price, you could sell a share CFD on the company. You will still exchange the difference in price between when your position is opened and when it is closed, earning a profit if the shares decrease in price and making a loss if they increase in price.
Aston Martin futures
Futures contracts are an agreement to buy or sell a specified asset at a certain date and price. Aston Martin investors can use futures trading to speculate on the price movement of Aston Martin stock in order to try and make a profit. Traders would look to go long (buy) a futures contract if they believe the price will rise or short (sell) a futures contract if they believe the price will fall. The difference in price between the price at the start and expiry date of the futures contract is the profit or loss from the contract.
Aston Martin spread betting
Spread betting is a financial derivative that enables traders to speculate on Aston Martin stock falling or rising without taking ownership of the underlying asset. If the trader makes a correct prediction and the asset does move in that direction, they could make a profit, minus any broker fees. On the other hand, if the price moves against their prediction, they would incur a loss.
Financial spread betting is similar in ways to CFD trading except that you are betting a fixed amount per point on the Aston Martin stock price movement (either up or down) and then pay or receive the difference between the opening and closing price of the bet.
Aston Martin options
Aston Martin options are financial instruments that are derivatives based on the value of Aston Martin’s stock. Traders usually enter into calls when they expect the price of the underlying asset to increase, and puts when they expect the price to decrease. Option contracts come with an expiration date before which the holder needs to exercise their option to buy or sell an underlying asset at an agreed-upon price. The stated price on an option is known as the strike price.
Buyers can choose to exercise their calls and puts or not whereas sellers are obligated according to the buyer decision. Therefore, the sellers (writers) can be exposed to more risk than buyers whose losses can be limited to the premium paid for the contract in the instance they do not exercise the contract. On the other hand, sellers could lose more depending on the Aston Martin market price.
Aston Martin ETFs
Exchange Traded Funds (ETFs) enable traders to invest in a basket of securities that trade intraday like individual stocks on an exchange, and are typically designed to track the performance of an existing market or group of markets.
Each ETF is usually focused on a specific sector, asset class, or category. ETFs can be commonly used to help diversify an investment portfolio and create a mini-portfolio, or, for the active trader, they can be used to try and take advantage of price movements.
Aston Martin is included in various ETF’s with shares in the U.S. ETF market. Traders who are interested in trading other companies alongside Aston Martin, may consider ETFs.
Where to buy Aston Martin stock?
Stock trades are processed via a stock exchange, where a stock broker represents each investor. The majority of investors will nowadays use an online stock broker to buy and sell stocks through a stock trading platform which will enable them to connect to the stock exchange. You can see a selection of our best stock brokers below with whom you can open an account to trade stocks online.
ASIC, BVI, CBI, FFAJ, JFSA, FSCA, IIROC, ADGM FRSA
Min $100 Deposit
FCA, CFTC, NFA, BaFin, FINMA, ASIC, FMA, MAS, FSA, FSCA, DFSA, JFSA, METI, MAFF
Min $250 Deposit
ASIC, FCA, DFSA, SCB, CySEC, BaFin, CMA
Min $200 Deposit
ASIC, CySEC, IFSC, DFSA
Min $5 Deposit
Why trade Aston Martin stock?
Trading the stock market has become a popular investment activity for many people, especially with the technology that we have these days making it more accessible than ever. There are a vast number of trading brokers, trading platforms and trading apps available for buying and selling Aston Martin stock with relative ease. The cost involved to get started makes trading Aston Martin stock accessible to traders of all experience levels from across the globe.
The availability of leverage has also contributed towards the increase in aspiring traders. Leverage allows traders to hold a position size greater than they would have been able to without it. E.g. An account balance of $1,000, could take a position size of $5,000 with 1:5 leverage. Whilst this can increase potential profits, it also greatly increases risk. It is therefore of the upmost importance that you have a clear understanding of the significant risks involved with online trading, especially when using leveraged positions.
The majority of traders would look to buy and sell Aston Martin stock to try and earn profit from the variation in Aston Martin’s stock price. When trading Aston Martin CFDs you can speculate long and short on prices rising or falling without actually needing to invest in Aston Martin shares. This can make it a more convenient trading method for anyone who has a trading account with an online broker. Alternatively, long term investors may purchase traditional shares in Aston Martin’s stock for a more long-term hold.
Buying Aston Martin stock can also be a way to diversify a trading portfolio and to hedge against shares in other stocks or investments in other asset classes such as forex, commodities, precious metals and cryptocurrencies.
However, before investing in Aston Martin, it is important you understand the dynamics that affect the Aston Martin stock price.
How to trade Aston Martin stock online?
If you have taken the time to read through the above, you should hopefully have an understanding of how to trade Aston Martin stock online. Here is a summary of the key steps:
1. Decide if trading Aston Martin stock is for you
Trading Aston Martin stock online carries an element of risk and can take more time than other forms of investing. You will need to research the company, manage your positions, follow market news and decide how to react to it. It is important to understand the risks and dedication that comes with trading Aston Martin stock online.
2. Educate yourself
Before trading Aston Martin stock, it is imperative to learn as much as possible about investing and trading online. Any mistake could prove to be costly. There is an abundance of free educational materials provided by many online brokers that can help you to improve your trading skills and knowledge.
Most brokerages will also provide a free demo trading account so that you can practice trading Aston Martin stock online with virtual funds in order to familiarise yourself with the trading platforms and practice your trading strategies until you feel confident enough to open a real trading account.
3. Choose a Aston Martin stock broker
In order to trade Aston Martin stock online, you will need a broker account and trading platform to execute your trade positions through to the market. When choosing a broker, there are a few important things to consider such as regulation, commission fees, platforms, tools, education, funding options and customer support.
If you do not have the time to research brokers, you can see a list of our best brokers that we have already prepared to help traders. If you would like to know more, you can also view our detailed guide on how to choose a trading broker.
4. Research Aston Martin
If you have made it this far then you may be ready to start trading Aston Martin stock online! The next step is to research Aston Martin to help increase your knowledge in the company. The best brokers should have this information conveniently displayed for you within their trading platform.
5. Have a trading plan
Some of the most important factors that can help determine Aston Martin stock trading performance can be the trading plan and discipline. It is important to have a solid trading plan personalised to your own needs that includes the money management and trading strategy that you will use. Most experts and professional traders would try to not let negative emotions such as fear, anger and greed affect their trading strategy.
6. Buy and sell Aston Martin stock
Once you feel ready to trade Aston Martin stock online, you can analyse the market to help decide if and when you will place your trades. After placing a trade on Aston Martin, you will need to keep track of how it performs and manage it according to your trading plan. Some investors will keep hold of Aston Martin trades for the long-term, whereas traders may buy and sell Aston Martin stock on a daily basis.
Is trading Aston Martin stock right for me?
Trading Aston Martin stock is a popular choice for long-term investors and active traders. It can be suitable for scalping, day trading and swing trading. Traders who would usually trade forex, trade indices, trade commodities, trade cryptocurrency, may look to diversify their portfolio.
However, it is important to understand the significant risks involved with trading Aston Martin stock online, especially when using leveraged positions. Most experts would suggest trading on a demo account with virtual funds to begin with.
This can be a useful way to familiarise yourself with how to trade Aston Martin stock and using trading platforms whilst allowing you to practice your trading strategies until you feel confident and produce consistent results. Most stock brokers provide unlimited demo accounts free of charge.
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