FERRARI NV (RACE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RACE - NL0011585146 - Common Stock
389.19 USD
+6.04 (+1.58%)
389.19 USD
0 (0%)
RACE gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 36 industry peers in the Automobiles industry. Both the health and profitability get an excellent rating, making RACE a very profitable company, without any liquidiy or solvency issues. RACE is not valued too expensively and it also shows a decent growth rate. These ratings would make RACE suitable 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.
In the past 5 years RACE has always been profitable.
Each year in the past 5 years RACE had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 16.52%, RACE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
RACE's Return On Equity of 45.01% is amongst the best of the industry. RACE outperforms 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.
The Average Return On Invested Capital over the past 3 years for RACE is significantly above the industry average of 5.83%.
The last Return On Invested Capital (22.10%) for RACE is above the 3 year average (19.26%), which is a sign of increasing profitability.
| 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.
In the last couple of years the Profit Margin of RACE has grown nicely.
RACE's Operating Margin of 29.02% is amongst the best of the industry. RACE outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of RACE has grown nicely.
With an excellent Gross Margin value of 51.20%, RACE belongs to the best of the industry, outperforming 100.00% 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 | 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
RACE has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it 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.
RACE has a debt to FCF ratio of 2.32. This is a good value and a sign of high solvency as RACE would need 2.32 years to pay back of all of its debts.
RACE has a Debt to FCF ratio of 2.32. This is amongst the best in the industry. RACE outperforms 88.89% of its industry peers.
A Debt/Equity ratio of 0.89 indicates that RACE is somewhat dependend on debt financing.
The Debt to Equity ratio of RACE (0.89) is comparable to the rest of the 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/WACC2.78
WACC7.95%
2.3 Liquidity
RACE has a Current Ratio of 2.08. This indicates that RACE is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.08, RACE belongs to the top of the industry, outperforming 86.11% of the companies in the same industry.
RACE has a Quick Ratio of 1.61. This is a normal value and indicates that RACE is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.61, RACE belongs to the top of the industry, outperforming 86.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.08 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.97% over the past year.
RACE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.92% yearly.
The Revenue has grown by 11.83% in the past year. This is quite good.
Measured over the past years, RACE shows a quite strong growth in Revenue. The Revenue has been growing by 12.13% on average per year.
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
RACE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.35% yearly.
Based on estimates for the next years, RACE will show a small growth in Revenue. The Revenue will grow by 6.41% on average per year.
EPS Next Y7.2%
EPS Next 2Y9.88%
EPS Next 3Y9.62%
EPS Next 5Y8.35%
Revenue Next Year7.72%
Revenue Next 2Y8.75%
Revenue Next 3Y7.87%
Revenue Next 5Y6.41%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
Based on the Price/Earnings ratio of 37.68, the valuation of RACE can be described as expensive.
RACE's Price/Earnings ratio is a bit cheaper when compared to the industry. RACE is cheaper than 77.78% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.47, RACE is valued a bit more expensive.
Based on the Price/Forward Earnings ratio of 33.08, the valuation of RACE can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RACE indicates a somewhat cheap valuation: RACE is cheaper than 69.44% of the companies listed in the same industry.
RACE's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 34.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.68 | ||
| Fwd PE | 33.08 |
4.2 Price Multiples
75.00% of the companies in the same industry are more expensive than RACE, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, RACE is valued cheaper than 80.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.2 | ||
| EV/EBITDA | 25.12 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of RACE may justify a higher PE ratio.
PEG (NY)5.24
PEG (5Y)2.1
EPS Next 2Y9.88%
EPS Next 3Y9.62%
5. Dividend
5.1 Amount
With a yearly dividend of 0.88%, RACE is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.48, 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 2.41, 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 paid a dividend for at least 10 years, which is 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 2Y9.88%
EPS Next 3Y9.62%
389.19
+6.04 (+1.58%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners41.88%
Inst Owner Change2.46%
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap75.47B
Revenue(TTM)6.68B
Net Income(TTM)1.59B
Analysts76.52
Price Target488.68 (25.56%)
Short Float %2.42%
Short Ratio3.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
Yearly Dividend2.09
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)-11.14%
PT rev (3m)-9.65%
EPS NQ rev (1m)-0.89%
EPS NQ rev (3m)-2.58%
EPS NY rev (1m)0.25%
EPS NY rev (3m)0.4%
Revenue NQ rev (1m)0.58%
Revenue NQ rev (3m)-0.57%
Revenue NY rev (1m)0.36%
Revenue NY rev (3m)0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.68 | ||
| Fwd PE | 33.08 | ||
| P/S | 9.42 | ||
| P/FCF | 48.2 | ||
| P/OCF | 27.9 | ||
| P/B | 18.5 | ||
| P/tB | 57.32 | ||
| EV/EBITDA | 25.12 |
EPS(TTM)10.33
EY2.65%
EPS(NY)11.77
Fwd EY3.02%
FCF(TTM)8.07
FCFY2.07%
OCF(TTM)13.95
OCFY3.58%
SpS41.34
BVpS21.04
TBVpS6.79
PEG (NY)5.24
PEG (5Y)2.1
Graham Number69.93
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
WACC7.95%
ROIC/WACC2.78
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 Y7.2%
EPS Next 2Y9.88%
EPS Next 3Y9.62%
EPS Next 5Y8.35%
Revenue 1Y (TTM)11.83%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%7.42%
Revenue Next Year7.72%
Revenue Next 2Y8.75%
Revenue Next 3Y7.87%
Revenue Next 5Y6.41%
EBIT growth 1Y15.89%
EBIT growth 3Y20.71%
EBIT growth 5Y15.51%
EBIT Next Year46.53%
EBIT Next 3Y22.29%
EBIT Next 5Y14.41%
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 37.68 and the Price/Book (PB) ratio is 18.5.
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%.