FERRARI NV (RACE) Stock Fundamental Analysis
NYSE:RACE - New York Stock Exchange, Inc. - NL0011585146 - Common Stock - Currency: USD
Taking everything into account, RACE scores 7 out of 10 in our fundamental rating. RACE was compared to 37 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.
RACE had a positive operating cash flow in the past year.
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 Return On Assets of 15.96%. This is amongst the best in the industry. RACE outperforms 100.00% of its industry peers.
RACE has a Return On Equity of 44.32%. This is amongst the best in the industry. RACE outperforms 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 21.04%, RACE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for RACE is significantly above the industry average of 6.62%.
The last Return On Invested Capital (21.04%) for RACE is above the 3 year average (19.26%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.96% | ||
| ROE | 44.32% | ||
| ROIC | 21.04% |
ROA(3y)14.53%
ROA(5y)13.08%
ROE(3y)39.98%
ROE(5y)38.33%
ROIC(3y)19.26%
ROIC(5y)17.08%
1.3 Margins
RACE has a Profit Margin of 22.99%. This is amongst the best in the industry. RACE outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of RACE has grown nicely.
With an excellent Operating Margin value of 28.75%, RACE belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of RACE has grown nicely.
Looking at the Gross Margin, with a value of 50.52%, 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 Gross Margin of RACE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.75% | ||
| PM (TTM) | 22.99% | ||
| GM | 50.52% |
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
RACE has an Altman-Z score of 9.87. This indicates that RACE is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of RACE (9.87) is better than 94.59% of its industry peers.
The Debt to FCF ratio of RACE is 2.67, which is a good value as it means it would take RACE, 2.67 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of RACE (2.67) is better than 91.89% of its industry peers.
A Debt/Equity ratio of 0.93 indicates that RACE is somewhat dependend on debt financing.
RACE's Debt to Equity ratio of 0.93 is in line compared to the rest of the industry. RACE outperforms 45.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 2.67 | ||
| Altman-Z | 9.87 |
ROIC/WACC2.61
WACC8.06%
2.3 Liquidity
A Current Ratio of 2.19 indicates that RACE has no problem at all paying its short term obligations.
RACE has a better Current ratio (2.19) than 81.08% of its industry peers.
RACE has a Quick Ratio of 1.73. This is a normal value and indicates that RACE is financially healthy and should not expect problems in meeting its short term obligations.
RACE's Quick ratio of 1.73 is amongst the best of the industry. RACE outperforms 83.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.73 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.02% 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.
Looking at the last year, RACE shows a quite strong growth in Revenue. The Revenue has grown by 12.36% in the last year.
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)22.02%
EPS 3Y23.51%
EPS 5Y17.92%
EPS Q2Q%17.95%
Revenue 1Y (TTM)12.36%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%13.02%
3.2 Future
The Earnings Per Share is expected to grow by 7.72% on average over the next years.
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 Y8.15%
EPS Next 2Y11.32%
EPS Next 3Y10.77%
EPS Next 5Y7.72%
Revenue Next Year8.77%
Revenue Next 2Y9.8%
Revenue Next 3Y8.97%
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.
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
RACE is valuated quite expensively with a Price/Earnings ratio of 47.45.
RACE's Price/Earnings ratio is a bit cheaper when compared to the industry. RACE is cheaper than 72.97% of the companies in the same industry.
When comparing the Price/Earnings ratio of RACE to the average of the S&P500 Index (27.28), we can say RACE is valued expensively.
A Price/Forward Earnings ratio of 39.89 indicates a quite expensive valuation of RACE.
Based on the Price/Forward Earnings ratio, RACE is valued a bit cheaper than 70.27% of the companies in the same industry.
RACE's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.45 | ||
| Fwd PE | 39.89 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RACE indicates a somewhat cheap valuation: RACE is cheaper than 72.97% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RACE indicates a rather cheap valuation: RACE is cheaper than 86.49% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 64.85 | ||
| EV/EBITDA | 31.32 |
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)5.82
PEG (5Y)2.65
EPS Next 2Y11.32%
EPS Next 3Y10.77%
5. Dividend
5.1 Amount
RACE has a yearly dividend return of 0.74%, which is pretty low.
Compared to an average industry Dividend Yield of 3.87, RACE pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, RACE's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
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 27.81% 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.
DP27.81%
EPS Next 2Y11.32%
EPS Next 3Y10.77%
491.56
+2.19 (+0.45%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobiles
Earnings (Last)
Earnings (Next)
Inst Owners41.52%
Inst Owner Change6.6%
Ins Owners0.03%
Ins Owner ChangeN/A
Market Cap95.32B
Analysts75.45
Price Target537.44 (9.33%)
Short Float %1.64%
Short Ratio6.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
Yearly Dividend2.12
Dividend Growth(5Y)18.29%
DP27.81%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.93%
Min EPS beat(2)-1.9%
Max EPS beat(2)11.77%
EPS beat(4)3
Avg EPS beat(4)5.3%
Min EPS beat(4)-1.9%
Max EPS beat(4)11.77%
EPS beat(8)7
Avg EPS beat(8)5.42%
EPS beat(12)10
Avg EPS beat(12)4.82%
EPS beat(16)13
Avg EPS beat(16)4.5%
Revenue beat(2)1
Avg Revenue beat(2)0.84%
Min Revenue beat(2)-1.1%
Max Revenue beat(2)2.78%
Revenue beat(4)2
Avg Revenue beat(4)1.08%
Min Revenue beat(4)-1.38%
Max Revenue beat(4)4.01%
Revenue beat(8)3
Avg Revenue beat(8)0.39%
Revenue beat(12)7
Avg Revenue beat(12)1.73%
Revenue beat(16)7
Avg Revenue beat(16)-0.71%
PT rev (1m)1.03%
PT rev (3m)4.06%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.46%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.12%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.53%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 47.45 | ||
| Fwd PE | 39.89 | ||
| P/S | 11.78 | ||
| P/FCF | 64.85 | ||
| P/OCF | 35.74 | ||
| P/B | 22.72 | ||
| P/tB | 67.36 | ||
| EV/EBITDA | 31.32 |
EPS(TTM)10.36
EY2.11%
EPS(NY)12.32
Fwd EY2.51%
FCF(TTM)7.58
FCFY1.54%
OCF(TTM)13.75
OCFY2.8%
SpS41.72
BVpS21.64
TBVpS7.3
PEG (NY)5.82
PEG (5Y)2.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.96% | ||
| ROE | 44.32% | ||
| ROCE | 26.42% | ||
| ROIC | 21.04% | ||
| ROICexc | 28.3% | ||
| ROICexgc | 49.22% | ||
| OM | 28.75% | ||
| PM (TTM) | 22.99% | ||
| GM | 50.52% | ||
| FCFM | 18.17% |
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 Turnover0.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 2.67 | ||
| Debt/EBITDA | 1.27 | ||
| Cap/Depr | 155.48% | ||
| Cap/Sales | 14.8% | ||
| Interest Coverage | 31.28 | ||
| Cash Conversion | 86.15% | ||
| Profit Quality | 79.04% | ||
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.73 | ||
| Altman-Z | 9.87 |
F-Score7
WACC8.06%
ROIC/WACC2.61
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)22.02%
EPS 3Y23.51%
EPS 5Y17.92%
EPS Q2Q%17.95%
EPS Next Y8.15%
EPS Next 2Y11.32%
EPS Next 3Y10.77%
EPS Next 5Y7.72%
Revenue 1Y (TTM)12.36%
Revenue growth 3Y16.06%
Revenue growth 5Y12.13%
Sales Q2Q%13.02%
Revenue Next Year8.77%
Revenue Next 2Y9.8%
Revenue Next 3Y8.97%
Revenue Next 5Y6.28%
EBIT growth 1Y18.59%
EBIT growth 3Y20.71%
EBIT growth 5Y15.51%
EBIT Next Year40.75%
EBIT Next 3Y21.74%
EBIT Next 5Y14.22%
FCF growth 1Y123.25%
FCF growth 3Y19.78%
FCF growth 5Y9.32%
OCF growth 1Y63.89%
OCF growth 3Y14.52%
OCF growth 5Y8.09%