FERRARI NV (RACE) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RACE - NL0011585146 - Common Stock
376.19 USD
+5.34 (+1.44%)
376.19 USD
0 (0%)
RACE gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 35 industry peers in the Automobiles industry. RACE gets an excellent profitability rating and is at the same time showing great financial health properties. 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
RACE had positive earnings in the past year.
In the past year RACE had a positive cash flow from operations.
Each year in the past 5 years RACE has been profitable.
Each year in the past 5 years RACE had a positive operating cash flow.
1.2 Ratios
RACE has a better Return On Assets (16.52%) than 100.00% of its industry peers.
RACE has a Return On Equity of 45.01%. This is amongst the best in the industry. RACE outperforms 100.00% of its industry peers.
The Return On Invested Capital of RACE (22.10%) is better than 100.00% 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 5.91%.
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
With an excellent Profit Margin value of 22.91%, RACE belongs to the best 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.
Looking at the Operating Margin, with a value of 29.02%, RACE belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
RACE's Operating Margin has improved in the last couple of years.
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), RACE is creating value.
Compared to 1 year ago, RACE has less shares outstanding
The number of shares outstanding for RACE has been reduced compared to 5 years ago.
The debt/assets ratio for RACE is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 8.28 indicates that RACE is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 8.28, RACE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
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's Debt to FCF ratio of 2.32 is amongst the best of the industry. RACE outperforms 91.43% of its industry peers.
A Debt/Equity ratio of 0.89 indicates that RACE is somewhat dependend on debt financing.
RACE has a Debt to Equity ratio of 0.89. This is comparable to the rest of the industry: RACE outperforms 42.86% of its industry peers.
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 | 8.28 |
ROIC/WACC2.82
WACC7.84%
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 82.86% 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.
With an excellent Quick ratio value of 1.61, RACE belongs to the best of the industry, outperforming 82.86% 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.
Measured over the past years, RACE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.92% on average per year.
The Revenue has grown by 11.83% in the past year. This is quite good.
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
Based on estimates for the next years, RACE will show a small growth in Earnings Per Share. The EPS will grow by 7.93% on average per year.
Based on estimates for the next years, RACE will show a small growth in Revenue. The Revenue will grow by 6.28% on average per year.
EPS Next Y7.58%
EPS Next 2Y7.97%
EPS Next 3Y8.63%
EPS Next 5Y7.93%
Revenue Next Year7.83%
Revenue Next 2Y6.9%
Revenue Next 3Y7.05%
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 35.93, which means the current valuation is very expensive for RACE.
Based on the Price/Earnings ratio, RACE is valued a bit cheaper than 77.14% of the companies in the same industry.
RACE is valuated rather expensively when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 32.67, which means the current valuation is very expensive for RACE.
68.57% of the companies in the same industry are more expensive than RACE, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.88, RACE is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.93 | ||
| Fwd PE | 32.67 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RACE is valued a bit cheaper than the industry average as 74.29% of the companies are valued more expensively.
77.14% of the companies in the same industry are more expensive than RACE, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.98 | ||
| EV/EBITDA | 23.66 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RACE does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of RACE may justify a higher PE ratio.
PEG (NY)4.74
PEG (5Y)2
EPS Next 2Y7.97%
EPS Next 3Y8.63%
5. Dividend
5.1 Amount
With a yearly dividend of 0.93%, RACE is not a good candidate for dividend investing.
RACE's Dividend Yield is a higher than the industry average which is at 0.79.
Compared to an average S&P500 Dividend Yield of 1.94, RACE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
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
32.88% 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.
DP32.88%
EPS Next 2Y7.97%
EPS Next 3Y8.63%
376.19
+5.34 (+1.44%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners45.22%
Inst Owner Change0%
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap72.95B
Revenue(TTM)6.68B
Net Income(TTM)1.59B
Analysts74.17
Price Target478.12 (27.1%)
Short Float %2.88%
Short Ratio5.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.93% |
Yearly Dividend2.11
Dividend Growth(5Y)18.29%
DP32.88%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
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)-2.16%
PT rev (3m)-13.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.58%
EPS NY rev (1m)-0.16%
EPS NY rev (3m)0.61%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.57%
Revenue NY rev (1m)-0.12%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.93 | ||
| Fwd PE | 32.67 | ||
| P/S | 8.98 | ||
| P/FCF | 45.98 | ||
| P/OCF | 26.61 | ||
| P/B | 17.64 | ||
| P/tB | 54.67 | ||
| EV/EBITDA | 23.66 |
EPS(TTM)10.47
EY2.78%
EPS(NY)11.51
Fwd EY3.06%
FCF(TTM)8.18
FCFY2.18%
OCF(TTM)14.14
OCFY3.76%
SpS41.89
BVpS21.32
TBVpS6.88
PEG (NY)4.74
PEG (5Y)2
Graham Number70.87
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 | 8.28 |
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 Y7.58%
EPS Next 2Y7.97%
EPS Next 3Y8.63%
EPS Next 5Y7.93%
Revenue 1Y (TTM)11.83%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%7.42%
Revenue Next Year7.83%
Revenue Next 2Y6.9%
Revenue Next 3Y7.05%
Revenue Next 5Y6.28%
EBIT growth 1Y15.89%
EBIT growth 3Y20.71%
EBIT growth 5Y15.51%
EBIT Next Year47.32%
EBIT Next 3Y18.94%
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 for 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.
Can you provide the financial health for RACE stock?
The financial health rating of FERRARI NV (RACE) is 8 / 10.
What is the earnings growth outlook for FERRARI NV?
The Earnings per Share (EPS) of FERRARI NV (RACE) is expected to grow by 7.58% in the next year.