“F1 Supremo sat under the learning tree of Enzo Ferrari“– Paul Ebeling
The former F1 boss, Bernie Ecclestone, 90 anni, says “Ferrari are Formula One“.
Mr. Ecclestone, often referred to as the F1 Supremo in his days running F1, served as Chief Executive of the Tier 1 motor sport for 40 yrs following a stint in charge of The Brabham Team in the 70’s and 80’s. He resigned his Chief Executive position in January 2017 after Liberty Media’s bought him out and took over ownership of the enterprise.
Mr. Ecclestone was controversial and out spoken during his yrs in Formula One but feels sometimes he was misunderstood.
“Sometimes I word things in such a way that they aren’t taken how I meant them to be,” he told a magazine reporter recently.
“I’ve got myself into a bit of trouble, but I can honestly say a person is a person to me.
“I take people as I see them. It doesn’t matter what color they are or whether they are a man or a woman, their religion or nationality, whether they are rich or poor, their politics. Look at me, I’m below average height but I don’t feel bad about it. I’m exactly the same as someone who’s taller.”
The man that Mr. Ecclestone has a super relationship with was the late Enzo Ferrari, founder of Ferrari.
The F1 World Championship was 1st held in Y 1950 and Ferrari have been part of each 1 ever since. In Mr. Ecclestone’s eyes, Ferrari simply are the core of F1 racing.
“Mr. Ferrari. He was very special and he helped me a lot,” explained when asked who he most admired.
“He taught me that the sport is on the table and the business is under it. Formula 1 is Ferrari and Ferrari is Formula 1. It’s that simple. Colin Chapman was another. He was a genius. A very quick driver too.”
When asked if there are any parts of F1 he misses, Mr. Ecclestone said: “I miss some of the deals, especially with the promoters at some of the circuits – a few might have gone under if we hadn’t been involved and helped a little – and the deals with some of the big sponsors, who have renewed for decades. I watch the races. And I still get the odd call for advice.”
Ferrari is The Aristocrat of the automotive sector.
Our overall technical outlook is still Bullish, a Key indicators are Bullish long-term. Ferrari reported strong earnings for Q-3 on 3 November and did the same for Q-4 and F-Y 2020 as reported on 2 February.
Ferrari is closed Tuesday 209.18 within its 52 wk range of 127.73 – 233.66 in NY. It’s all time high in NY was marked at 233.66 intraday on 29 December.
All technical indicators have turned Neutral to Bullish. Ferrari’s stock is oversold in here, but the pattern indicates the confirmation of the break out at 196.01 on 3 November and has confirmed.
The Key support is at 206.74 and the Key resistance is at 211.06 at the close Tuesday in NY.
Note: At the beginning of Y 2020 I called RACE at 230 by year’s end, the stock was trading at 165.22 on 1 January 2020, on 29 December 2020 it marked 233.66 intraday, its all time high
The Maranello Outfit’s shares were raised to Buy from Hold at HSBC, and Buys at Morgan Stanley and Bank of America.
UBS is now calling the stock at 365. Citi downgraded the stock from Neutral to sell. I have not seen any other Street downgrades.
Ferrari will continue to create value in the long term as it becomes the world’s 1st Super Luxury brand.
Ferrari is a quality 1st long term luxury products investment, BAML raised its call to 270 long term.
I have raised my long term target to 375, a Strong Bull call, the strongest on the Street and am holding the mark during this recent profit taking, and seeing RACE as a buying opportunity.
Ferrari has an average rating of Buy and a consensus target price at 243.60.
The Maranello Outfit’s shares were raised to Buy from Hold at HSBC.
Ferrari will continue to create value in the long term. Ferrari is a quality 1st long term luxury products investment, and I am calling it 375 long term , the Top on the Street, and adjusting it to 250/share short term.
A number of large investors have recently bought shares of RACE, and there has been just 1 instance of insider selling over the past yr that we have seen.
The stock is considered defensive in the sector.
Have a healthy day, Keep the Faith!