It sounds like the White Ensign aftermarket parts set is the one to get; I don't think it was on the market yet when I built my little Graf Spee. [Later edit: small wonder I wasn't aware of it back then. The White Ensign website lists this set as "coming soon." It looks outstanding - and includes a replacement for the "sail" mechanism in addition to everything else.]
On the other hand, the Gold Medal set includes parts for the Bismarck, Tirpitz, Scharnhorst, Gneisenau, Prinz Eugen, and Z-class destroyers. I don't think there's enough on the sheet to do more than one ship, but with some additional rails and ladders one could outfit quite a fleet. Something to take into consideration if price is an issue - as it is for so many of us these days.
I remember building that old Aurora kit when I was a preteen. By modern standards it was indeed either a piece of junk or a toy, depending on the generosity of one's viewpoint. It's worth noting, though, that for quite a long time the Aurora Graf Spee, Yamato, and King George V were virtually the only plastic German, Japanese, and British warship kits available in the U.S. If you lived in the vicinity of a really good hobby shop you might have access to some of the early Airfix offerings, but to the ship modeler buying kits at the drug or department store Aurora, Lindberg, and Revell were the only games in town.
Out of curiosity I just checked the appendix to Dr. Graham's fine history of Revell. That company's first non-American modern warship (as opposed to merchant vessels and sailing ships) seems to have been the 1/570 Bismarck, which initially appeared in 1963. By that time Revell had been producing warships for a decade (starting with the Missouri in 1953), but all of them were American. (I don't know of a comparable history of Lindberg; I think its awful Hood and Bismarck kits appeared a couple of years before that.) Aurora deserves some credit for - if nothing else - having the nerve to tackle some subjects that the competition wouldn't touch.
I had the pleasure recently of reviewing a superb book, The Battlecruiser H.M.S. Hood: An Illustrated Biography, 1916-1941, by Bruce Taylor. One of my favorites among the 200+ pictures in the book is a 1938 photo of the teams from the Hood and Graf Spee getting ready to play a football match. One can't help wondering how many of the people in that picture were alive three years later.
Youth, talent, hard work, and enthusiasm are no match for old age and treachery.