MENU

5 super flash cars with super fat margins

The flashest cars have the fattest margins, according to a new survey from German-based Duisburb-Essen University’s Centre for Automotive Research. Porsche places first for profit margins, pulling in an approximate profit of $24,500 per vehicle. That averages out to around 18.4% of the showroom price.

Ferrari and Maserati fought neck and neck for second place, snagging about $21,500 per car. But both these vehicles usually cost more than your average Porsche, meaning relatively smaller margins. From there, Audi and BMW pull in around $5,500 and $5,000, respectively, allowing more margin wiggle room for these lower-level luxury cars.

Foolish takeaway

While this news doesn’t directly impact Australian stocks, it does point to luxury cars as a more lucrative line-up. If Automotive Holdings Group (ASX: AHE) and AP Eagers (ASX: APE) can push more Porsches through their businesses, they can expect to see larger profit margins down the line.

With the global recovery still revving and stalling, the luxury auto market has been mixed in developed countries such as Australia. Flash cars may not be the hottest cars on the lot, but any uptick in sales will bode well for these Aussie auto stocks.

In the market for high yielding ASX shares? Get “3 Stocks for the Great Dividend Boom” in our special FREE report. Click here now to find out the names, stock symbols, and full research for our three favourite income ideas, all completely free!

More reading

Motley Fool contributor Justin Loiseau has no position in any stocks mentioned in this article. You can follow him on Twitter  @TMFJLo .

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…

Including:

The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!