Company of the week: Aga Rangemaster

Shares in Aga (LSE: AGA) have soared during the last year. We tipped them at 73p in December 2012, when they were unloved, and they have now risen to around 185p, largely due to a resurgent housing market.

Aga’s management has worked hard to keep the business going when times were tough. That said, sales of its iconic Aga cookers have always tended to follow the fortunes of the UK housing market.

Throw in the fact that Aga has a lot of fixed costs which makes its profits very sensitive to changes in sales, and you [...]

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