Ferrari (RACE) Beats Q1 Earnings and Revenue Estimates

Core Insights - Ferrari reported quarterly earnings of $2.42 per share, exceeding the Zacks Consensus Estimate of $2.36 per share, and up from $2.12 per share a year ago, representing an earnings surprise of 2.54% [1] - The company achieved revenues of $1.88 billion for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 1.99%, and an increase from $1.72 billion year-over-year [2] - Ferrari has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.54 on revenues of $1.97 billion, and for the current fiscal year, it is $9.30 on revenues of $7.54 billion [7] - The trend of estimate revisions for Ferrari is favorable, contributing to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Market Performance - Ferrari shares have increased approximately 9.8% since the beginning of the year, contrasting with a decline of -3.9% in the S&P 500 [3] - The performance of Ferrari's stock may be influenced by management's commentary during the earnings call and the overall industry outlook [3][4] Industry Context - The Automotive - Original Equipment industry, to which Ferrari belongs, is currently ranked in the bottom 26% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]