Ferrari share stumble spoils electric vehicle tech launch

Core Insights - Ferrari's shares dropped over 16% due to disappointment with its new long-term financial targets, resulting in a loss of approximately 13.5 billion euros ($15.67 billion) in market capitalization [1][2][3] Financial Targets - The company set a revenue target of 9 billion euros for 2030, which is an increase from the 7.1 billion euro forecast for this year, but it is considered less ambitious than market expectations [2][4] - Analysts noted that Ferrari's new 2030 guidance falls below both Citi and consensus expectations, contributing to the negative market reaction [4] Electrification Strategy - Ferrari has revised its electrification strategy, now aiming for a 2030 lineup consisting of 40% internal combustion engine (ICE) models, 40% hybrids, and 20% fully electric vehicles, a shift from the previous plan that targeted 40% EVs, 40% hybrids, and 20% ICE models [4] - The company plans to launch an average of four new models per year between 2026 and 2030, maintaining a steady rhythm to stimulate interest among wealthy clients [6] Electric Vehicle Development - The unveiling of the technology behind Ferrari's first electric car, the Elettrica, marks a significant milestone for the company in the transition to electric vehicles [3][6] - CEO Benedetto Vigna indicated that a second Ferrari EV could be expected within the 2030 plan, although sources suggest that it may not launch before 2028 due to weak demand for high-performance electric luxury cars [5]