Shares of Aston Martin Lagonda Global Holdings (LSE: AML) launched a new Formula One car on Wednesday as the luxury carmaker prepares for its return to the most famous car racing in the world.
Fundamental analysis: New F1 car unveiledThe British carmaker unveiled its new F1 vehicle named “AMR21” car at a virtual event that was broadcast from London. Aston Martin’s newest formula will start competing in the upcoming 2021 F1 World Championship on March 28 in Bahrain.
The luxury carmaker has faced numerous financial challenges last year when its stock price plummeted amid the coronavirus pandemic. Aston Martin is now hoping that its return to F1 will help boost sales of its road vehicles including the DB11, the Vanquish, and the Vantage.
“To have a platform such as Formula One to market our initiatives, show our technology, and ultimately bring that technology into our road cars … is a huge game changer,” said Aston Martin Executive Chairman Lawrence Stroll.
The Canadian billionaire bought the F1 team nearly three years ago and stepped up as an executive chairman of Aston Martin in April 2020, taking a majority shareholding in the carmaker in the meantime.
The new AMR21 will be driven by former F1 champion Sebastian Vettel and Lawrence Stroll’s son Lance Stroll.
“I have always kept my eye on the competition and this team has consistently impressed me with what they have been able to do without the biggest of budgets,” Vettel said about Aston Martin.
Technical analysis: Bulls eyeing new highsAston Martin stock price closed the week almost 3.8% lower after failing more than 5.7% last week. This way, shares are trading about 15% off the 11-month highs set in February.
Aston Martin weekly chart (TradingView) The price action may move first towards the horizontal support line around the 1800p mark. However, there’s a major resistance block located above the 2500p handle and this zone may act as a magnet in attracting the price action.
SummaryBritish carmaker Aston Martin unveiled its new F1 car “AMR21” on Wednesday as it gears up for its return to the 2021 Formula One World Championship. Shares have moved lower this week while bulls prepare to attack higher levels.
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