Ferrari

RACE

Market cap $69.3B

Ferrari NV CEO Benedetto Vigna says the company's earnings projections are "ambitious," but they always deliver on promises. Vigna also talks about the Elettrica, Ferrari's first all-electric vehicle, which will reach showrooms toward the end of next year.

The most oversold stocks in the consumer discretionary sector presents an opportunity to buy into undervalued companies.

Ferrari's brand is built on growling gas engines. Can a supercar that hums still set pulses racing?

FERRARI N.V.: PERIODIC REPORT ON THE BUYBACK PROGRAM M aranello (Italy), October 13, 2025 – Ferrari N.V.

Everyone loves to have found a hidden gem, or the next big high-flying stock, and share the victory story next to the office coffee pot. Unfortunately, this is far easier said than done, and finding the next high-growth stock, especially one that you can hold stress-free for the long term, is a challenge.

Welcome to the show! Ferrari (RACE -3.08%) gave investors a sneak peek at its upcoming first full-electric model last week, with an unveiling laser light show that might rival Las Vegas' Sphere.

Putting money to work in the auto industry isn't a smooth ride. These types of companies are generally very capital intensive, register low growth and profits, and face cyclical demand.

Ferrari's shine is fading after the iconic automaker trims its EV ambitions and warns on the road ahead. Porsche's China slowdown adds more pain for luxury carmakers.

Ferrari's new 2030 targets are conservative, implying only ~5% annual revenue growth to €9B, but management has a six-year record of beating guidance, suggesting these are floors, not ceilings. The company's value creation comes from scarcity, pricing power, and personalization, not volume expansion. Shipments were nearly flat in 2024, yet EBITDA rose by double digits, proving margin-led compounding strength. After a 16% pullback, the stock trades around 39× forward earnings. A reversion to 40–42× on stable fundamentals supports a $500–520 target, offering ~25% upside within nine months.

The heavy selling pressure might have exhausted for Ferrari (RACE) as it is technically in oversold territory now. In addition to this technical measure, strong agreement among Wall Street analysts in revising earnings estimates higher indicates that the stock is ripe for a trend reversal.