Bull Of The Day: Ferrari (RACE

Core Viewpoint - Ferrari (RACE) is highlighted as a strong buy due to recent earnings performance and potential sales growth driven by a resilient economy [1] Company Overview - Ferrari NV is a holding company engaged in the design, engineering, production, and sale of luxury sports cars, with models including F12Berlinetta, 488GTB, and LaFerrari [2] - The company was founded in 1939 by Enzo Anselmo Ferrari and is headquartered in Maranello, Italy [2] Earnings History - Ferrari has posted four consecutive earnings beats against the Zacks Consensus Estimate, with an average positive earnings surprise of 10.78% over the last year [4] - The most recent earnings report showed a profit of $2.42 per share, exceeding the consensus estimate of $2.36, resulting in a positive surprise of 2.5% [4] Earnings Estimates Revisions - Earnings estimates for Ferrari have been revised upwards, with the full year 2025 estimate increasing from $9.60 to $10.25 and 2026 from $10.81 to $11.61 over the last 60 days [5] Growth Projections - Analysts project revenue of $8.2 billion for the current fiscal year, indicating a 13.5% growth [6] - For the next fiscal year, the consensus anticipates revenue of $9.04 billion, reflecting a 10.2% growth [6] Valuation Metrics - The forward price-to-earnings (PE) ratio for Ferrari stands at 47.5x, which could decrease with higher earnings [7] - The price-to-book ratio is at 31.35x, considered high for an auto manufacturer, potentially deterring value-conscious investors [7] - The price-to-sales ratio is reported at 16x, indicating a lofty valuation [7]