FERRARI NV (RACE.MI) Stock Fundamental Analysis
BIT:RACE - Euronext Milan - NL0011585146 - Common Stock - Currency: EUR
We assign a fundamental rating of 7 out of 10 to RACE. RACE was compared to 32 industry peers in the Automobiles industry. RACE scores excellent points on both the profitability and health parts. This is a solid base for a good stock. RACE is valied quite expensively at the moment, while it does show a decent growth rate. With these ratings, RACE could be worth investigating further for quality investing!.
1. Profitability
1.1 Basic Checks
RACE had positive earnings in the past year.
In the past year RACE had a positive cash flow from operations.
RACE had positive earnings in each of the past 5 years.
RACE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RACE has a better Return On Assets (16.02%) than 94.12% of its industry peers.
With an excellent Return On Equity value of 43.06%, RACE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Return On Invested Capital of RACE (20.08%) is better than 94.12% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RACE is significantly above the industry average of 9.20%.
The last Return On Invested Capital (20.08%) for RACE is above the 3 year average (19.26%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.02% | ||
| ROE | 43.06% | ||
| ROIC | 20.08% |
ROA(3y)14.53%
ROA(5y)13.08%
ROE(3y)39.98%
ROE(5y)38.33%
ROIC(3y)19.26%
ROIC(5y)17.08%
1.3 Margins
RACE has a better Profit Margin (22.79%) than 100.00% of its industry peers.
In the last couple of years the Profit Margin of RACE has grown nicely.
RACE has a Operating Margin of 28.15%. This is amongst the best in the industry. RACE outperforms 100.00% of its industry peers.
RACE's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 50.13%, RACE belongs to the top of the industry, outperforming 97.06% of the companies in the same industry.
RACE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.15% | ||
| PM (TTM) | 22.79% | ||
| GM | 50.13% |
OM growth 3Y4.01%
OM growth 5Y3.02%
PM growth 3Y5.43%
PM growth 5Y4.29%
GM growth 3Y-0.75%
GM growth 5Y-0.76%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so RACE is creating value.
RACE has less shares outstanding than it did 1 year ago.
RACE has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, RACE has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 10.30 indicates that RACE is not in any danger for bankruptcy at the moment.
RACE's Altman-Z score of 10.30 is amongst the best of the industry. RACE outperforms 91.18% of its industry peers.
RACE has a debt to FCF ratio of 3.58. This is a good value and a sign of high solvency as RACE would need 3.58 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.58, RACE belongs to the best of the industry, outperforming 94.12% of the companies in the same industry.
RACE has a Debt/Equity ratio of 0.95. This is a neutral value indicating RACE is somewhat dependend on debt financing.
RACE has a Debt to Equity ratio of 0.95. This is comparable to the rest of the industry: RACE outperforms 47.06% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 3.58 | ||
| Altman-Z | 10.3 |
ROIC/WACC2.49
WACC8.07%
2.3 Liquidity
A Current Ratio of 2.45 indicates that RACE has no problem at all paying its short term obligations.
The Current ratio of RACE (2.45) is better than 97.06% of its industry peers.
A Quick Ratio of 1.92 indicates that RACE should not have too much problems paying its short term obligations.
The Quick ratio of RACE (1.92) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.45 | ||
| Quick Ratio | 1.92 |
3. Growth
3.1 Past
RACE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.79%, which is quite impressive.
RACE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.92% yearly.
Looking at the last year, RACE shows a quite strong growth in Revenue. The Revenue has grown by 11.83% in the last year.
RACE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.13% yearly.
EPS 1Y (TTM)22.79%
EPS 3Y23.51%
EPS 5Y17.92%
EPS Q2Q%32.1%
Revenue 1Y (TTM)11.83%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%13.99%
3.2 Future
Based on estimates for the next years, RACE will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.04% on average per year.
Based on estimates for the next years, RACE will show a quite strong growth in Revenue. The Revenue will grow by 8.10% on average per year.
EPS Next Y8.03%
EPS Next 2Y12.39%
EPS Next 3Y11.19%
EPS Next 5Y11.04%
Revenue Next Year8.19%
Revenue Next 2Y9.48%
Revenue Next 3Y8.59%
Revenue Next 5Y8.1%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 48.74, which means the current valuation is very expensive for RACE.
RACE's Price/Earnings ratio is a bit more expensive when compared to the industry. RACE is more expensive than 61.76% of the companies in the same industry.
RACE is valuated expensively when we compare the Price/Earnings ratio to 29.35, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 45.11 indicates a quite expensive valuation of RACE.
RACE's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. RACE is more expensive than 64.71% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.10. RACE is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.74 | ||
| Fwd PE | 45.11 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RACE is valued a bit more expensive than 70.59% of the companies in the same industry.
RACE's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 85.28 | ||
| EV/EBITDA | 32.03 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
RACE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)6.07
PEG (5Y)2.72
EPS Next 2Y12.39%
EPS Next 3Y11.19%
5. Dividend
5.1 Amount
With a yearly dividend of 0.72%, RACE is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.74, RACE is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.33, RACE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.72% |
5.2 History
On average, the dividend of RACE grows each year by 18.29%, which is quite nice.
Dividend Growth(5Y)18.29%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
28.91% of the earnings are spent on dividend by RACE. This is a low number and sustainable payout ratio.
RACE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP28.91%
EPS Next 2Y12.39%
EPS Next 3Y11.19%
BIT:RACE (3/7/2025, 7:00:00 PM)
412.3
-3.1 (-0.75%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners39.38%
Inst Owner ChangeN/A
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap79.95B
Analysts73.04
Price Target469.95 (13.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.72% |
Yearly Dividend1.81
Dividend Growth(5Y)18.29%
DP28.91%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.64%
Min EPS beat(2)3.51%
Max EPS beat(2)11.77%
EPS beat(4)4
Avg EPS beat(4)6.31%
Min EPS beat(4)2.16%
Max EPS beat(4)11.77%
EPS beat(8)8
Avg EPS beat(8)6.56%
EPS beat(12)11
Avg EPS beat(12)5.03%
EPS beat(16)14
Avg EPS beat(16)4.86%
Revenue beat(2)1
Avg Revenue beat(2)0.7%
Min Revenue beat(2)-1.38%
Max Revenue beat(2)2.78%
Revenue beat(4)2
Avg Revenue beat(4)0.99%
Min Revenue beat(4)-1.45%
Max Revenue beat(4)4.01%
Revenue beat(8)4
Avg Revenue beat(8)0.59%
Revenue beat(12)7
Avg Revenue beat(12)1.64%
Revenue beat(16)7
Avg Revenue beat(16)-0.97%
PT rev (1m)4.17%
PT rev (3m)5.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.25%
EPS NY rev (1m)0.38%
EPS NY rev (3m)-0.01%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.37%
Revenue NY rev (1m)0.26%
Revenue NY rev (3m)-0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.74 | ||
| Fwd PE | 45.11 | ||
| P/S | 11.98 | ||
| P/FCF | 85.28 | ||
| P/OCF | 41.5 | ||
| P/B | 22.62 | ||
| P/tB | 66.46 | ||
| EV/EBITDA | 32.03 |
EPS(TTM)8.46
EY2.05%
EPS(NY)9.14
Fwd EY2.22%
FCF(TTM)4.83
FCFY1.17%
OCF(TTM)9.94
OCFY2.41%
SpS34.43
BVpS18.22
TBVpS6.2
PEG (NY)6.07
PEG (5Y)2.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.02% | ||
| ROE | 43.06% | ||
| ROCE | 25.22% | ||
| ROIC | 20.08% | ||
| ROICexc | 26.24% | ||
| ROICexgc | 44.36% | ||
| OM | 28.15% | ||
| PM (TTM) | 22.79% | ||
| GM | 50.13% | ||
| FCFM | 14.04% |
ROA(3y)14.53%
ROA(5y)13.08%
ROE(3y)39.98%
ROE(5y)38.33%
ROIC(3y)19.26%
ROIC(5y)17.08%
ROICexc(3y)24.63%
ROICexc(5y)22.3%
ROICexgc(3y)43.96%
ROICexgc(5y)41.2%
ROCE(3y)24.18%
ROCE(5y)21.45%
ROICexcg growth 3Y1.86%
ROICexcg growth 5Y-2.51%
ROICexc growth 3Y6.8%
ROICexc growth 5Y2.03%
OM growth 3Y4.01%
OM growth 5Y3.02%
PM growth 3Y5.43%
PM growth 5Y4.29%
GM growth 3Y-0.75%
GM growth 5Y-0.76%
F-Score7
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.95 | ||
| Debt/FCF | 3.58 | ||
| Debt/EBITDA | 1.32 | ||
| Cap/Depr | 148.35% | ||
| Cap/Sales | 14.82% | ||
| Interest Coverage | 37.33 | ||
| Cash Conversion | 75.67% | ||
| Profit Quality | 61.6% | ||
| Current Ratio | 2.45 | ||
| Quick Ratio | 1.92 | ||
| Altman-Z | 10.3 |
F-Score7
WACC8.07%
ROIC/WACC2.49
Cap/Depr(3y)142.28%
Cap/Depr(5y)150.94%
Cap/Sales(3y)15.05%
Cap/Sales(5y)16.58%
Profit Quality(3y)64.5%
Profit Quality(5y)56.09%
High Growth Momentum
Growth
EPS 1Y (TTM)22.79%
EPS 3Y23.51%
EPS 5Y17.92%
EPS Q2Q%32.1%
EPS Next Y8.03%
EPS Next 2Y12.39%
EPS Next 3Y11.19%
EPS Next 5Y11.04%
Revenue 1Y (TTM)11.83%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%13.99%
Revenue Next Year8.19%
Revenue Next 2Y9.48%
Revenue Next 3Y8.59%
Revenue Next 5Y8.1%
EBIT growth 1Y16.65%
EBIT growth 3Y20.71%
EBIT growth 5Y15.51%
EBIT Next Year48.21%
EBIT Next 3Y23.3%
EBIT Next 5Y16.88%
FCF growth 1Y10.59%
FCF growth 3Y19.78%
FCF growth 5Y9.32%
OCF growth 1Y12.23%
OCF growth 3Y14.52%
OCF growth 5Y8.09%