FERRARI NV (RACE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RACE - NL0011585146 - Common Stock
393.21 USD
-0.02 (-0.01%)
393.2 USD
-0.01 (0%)
We assign a fundamental rating of 7 out of 10 to RACE. RACE was compared to 36 industry peers in the Automobiles industry. RACE has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. RACE has a correct valuation and a medium growth rate. These ratings would make RACE suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year RACE was profitable.
In the past year RACE had a positive cash flow from operations.
RACE had positive earnings in each of the past 5 years.
Each year in the past 5 years RACE had a positive operating cash flow.
1.2 Ratios
The Return On Assets of RACE (16.52%) is better than 100.00% of its industry peers.
RACE has a better Return On Equity (45.01%) than 100.00% of its industry peers.
RACE has a Return On Invested Capital of 22.10%. This is amongst the best in the industry. RACE outperforms 100.00% of its industry peers.
RACE had an Average Return On Invested Capital over the past 3 years of 19.26%. This is significantly above the industry average of 5.86%.
The 3 year average ROIC (19.26%) for RACE is below the current ROIC(22.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.52% | ||
| ROE | 45.01% | ||
| ROIC | 22.1% |
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
Looking at the Profit Margin, with a value of 22.91%, RACE belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
RACE's Profit Margin has improved in the last couple of years.
RACE has a Operating Margin of 29.02%. This is amongst the best in the industry. RACE outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of RACE has grown nicely.
RACE has a better Gross Margin (51.20%) than 100.00% of its industry peers.
RACE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.02% | ||
| PM (TTM) | 22.91% | ||
| GM | 51.2% |
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.
The number of shares outstanding for RACE has been reduced compared to 1 year ago.
RACE has less shares outstanding than it did 5 years ago.
RACE has a worse debt/assets ratio than last year.
2.2 Solvency
RACE has an Altman-Z score of 8.66. This indicates that RACE is financially healthy and has little risk of bankruptcy at the moment.
RACE has a better Altman-Z score (8.66) than 94.44% of its industry peers.
The Debt to FCF ratio of RACE is 2.32, which is a good value as it means it would take RACE, 2.32 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.32, RACE belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
A Debt/Equity ratio of 0.89 indicates that RACE is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.89, RACE is in line with its industry, outperforming 47.22% of the companies in the same industry.
Although RACE does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 2.32 | ||
| Altman-Z | 8.66 |
ROIC/WACC2.82
WACC7.84%
2.3 Liquidity
A Current Ratio of 2.08 indicates that RACE has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.08, RACE belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
A Quick Ratio of 1.61 indicates that RACE should not have too much problems paying its short term obligations.
With an excellent Quick ratio value of 1.61, RACE belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
RACE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.97%, which is quite good.
RACE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.92% yearly.
RACE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.83%.
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)12.97%
EPS 3Y23.51%
EPS 5Y17.92%
EPS Q2Q%2.88%
Revenue 1Y (TTM)11.83%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%7.42%
3.2 Future
The Earnings Per Share is expected to grow by 7.93% on average over the next years.
The Revenue is expected to grow by 6.28% on average over the next years.
EPS Next Y7.75%
EPS Next 2Y9.36%
EPS Next 3Y9.44%
EPS Next 5Y7.93%
Revenue Next Year7.97%
Revenue Next 2Y7.81%
Revenue Next 3Y7.6%
Revenue Next 5Y6.28%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 37.63, which means the current valuation is very expensive for RACE.
Based on the Price/Earnings ratio, RACE is valued a bit cheaper than 77.78% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.49, RACE is valued a bit more expensive.
RACE is valuated quite expensively with a Price/Forward Earnings ratio of 33.37.
Based on the Price/Forward Earnings ratio, RACE is valued a bit cheaper than 69.44% of the companies in the same industry.
RACE's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.69.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.63 | ||
| Fwd PE | 33.37 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RACE is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RACE indicates a somewhat cheap valuation: RACE is cheaper than 77.78% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.18 | ||
| EV/EBITDA | 25.11 |
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)4.85
PEG (5Y)2.1
EPS Next 2Y9.36%
EPS Next 3Y9.44%
5. Dividend
5.1 Amount
RACE has a yearly dividend return of 0.88%, which is pretty low.
Compared to an average industry Dividend Yield of 3.24, RACE pays a better dividend. On top of this RACE pays more dividend than 80.56% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, RACE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
5.2 History
On average, the dividend of RACE grows each year by 18.29%, which is quite nice.
RACE has been paying a dividend for at least 10 years, so it has a reliable track record.
RACE has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)18.29%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
RACE pays out 32.88% of its income as dividend. This is a sustainable payout ratio.
The dividend of RACE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.88%
EPS Next 2Y9.36%
EPS Next 3Y9.44%
393.21
-0.02 (-0.01%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners45.8%
Inst Owner Change2.53%
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap76.25B
Revenue(TTM)6.68B
Net Income(TTM)1.59B
Analysts75.65
Price Target487.14 (23.89%)
Short Float %2.63%
Short Ratio4.01
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
Yearly Dividend2.11
Dividend Growth(5Y)18.29%
DP32.88%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.75%
Min EPS beat(2)-1.9%
Max EPS beat(2)-1.61%
EPS beat(4)2
Avg EPS beat(4)2.94%
Min EPS beat(4)-1.9%
Max EPS beat(4)11.77%
EPS beat(8)6
Avg EPS beat(8)4.89%
EPS beat(12)9
Avg EPS beat(12)4.24%
EPS beat(16)13
Avg EPS beat(16)4.56%
Revenue beat(2)0
Avg Revenue beat(2)-2.67%
Min Revenue beat(2)-4.23%
Max Revenue beat(2)-1.1%
Revenue beat(4)1
Avg Revenue beat(4)-0.98%
Min Revenue beat(4)-4.23%
Max Revenue beat(4)2.78%
Revenue beat(8)3
Avg Revenue beat(8)0.1%
Revenue beat(12)6
Avg Revenue beat(12)1.03%
Revenue beat(16)7
Avg Revenue beat(16)0.53%
PT rev (1m)-2.02%
PT rev (3m)-9.93%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.58%
EPS NY rev (1m)0.52%
EPS NY rev (3m)0.92%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.57%
Revenue NY rev (1m)0.23%
Revenue NY rev (3m)0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.63 | ||
| Fwd PE | 33.37 | ||
| P/S | 9.41 | ||
| P/FCF | 48.18 | ||
| P/OCF | 27.89 | ||
| P/B | 18.49 | ||
| P/tB | 57.29 | ||
| EV/EBITDA | 25.11 |
EPS(TTM)10.45
EY2.66%
EPS(NY)11.78
Fwd EY3%
FCF(TTM)8.16
FCFY2.08%
OCF(TTM)14.1
OCFY3.59%
SpS41.78
BVpS21.27
TBVpS6.86
PEG (NY)4.85
PEG (5Y)2.1
Graham Number70.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.52% | ||
| ROE | 45.01% | ||
| ROCE | 27.75% | ||
| ROIC | 22.1% | ||
| ROICexc | 27.97% | ||
| ROICexgc | 47.99% | ||
| OM | 29.02% | ||
| PM (TTM) | 22.91% | ||
| GM | 51.2% | ||
| FCFM | 19.53% |
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%
ROICexgc growth 3Y1.86%
ROICexgc 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-Score8
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 2.32 | ||
| Debt/EBITDA | 1.18 | ||
| Cap/Depr | 151.4% | ||
| Cap/Sales | 14.21% | ||
| Interest Coverage | 25.44 | ||
| Cash Conversion | 87.87% | ||
| Profit Quality | 85.25% | ||
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.61 | ||
| Altman-Z | 8.66 |
F-Score8
WACC7.84%
ROIC/WACC2.82
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)12.97%
EPS 3Y23.51%
EPS 5Y17.92%
EPS Q2Q%2.88%
EPS Next Y7.75%
EPS Next 2Y9.36%
EPS Next 3Y9.44%
EPS Next 5Y7.93%
Revenue 1Y (TTM)11.83%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%7.42%
Revenue Next Year7.97%
Revenue Next 2Y7.81%
Revenue Next 3Y7.6%
Revenue Next 5Y6.28%
EBIT growth 1Y15.89%
EBIT growth 3Y20.71%
EBIT growth 5Y15.51%
EBIT Next Year47.48%
EBIT Next 3Y19.71%
EBIT Next 5Y14.3%
FCF growth 1Y103.88%
FCF growth 3Y19.78%
FCF growth 5Y9.32%
OCF growth 1Y54.15%
OCF growth 3Y14.52%
OCF growth 5Y8.09%
FERRARI NV / RACE FAQ
Can you provide the ChartMill fundamental rating for FERRARI NV?
ChartMill assigns a fundamental rating of 7 / 10 to RACE.
What is the valuation status of FERRARI NV (RACE) stock?
ChartMill assigns a valuation rating of 4 / 10 to FERRARI NV (RACE). This can be considered as Fairly Valued.
Can you provide the profitability details for FERRARI NV?
FERRARI NV (RACE) has a profitability rating of 9 / 10.
What are the PE and PB ratios of FERRARI NV (RACE) stock?
The Price/Earnings (PE) ratio for FERRARI NV (RACE) is 37.63 and the Price/Book (PB) ratio is 18.49.
How sustainable is the dividend of FERRARI NV (RACE) stock?
The dividend rating of FERRARI NV (RACE) is 5 / 10 and the dividend payout ratio is 32.88%.