“Charles Leclerc may be starting the Russian Grand Prix at the back, but he finished Friday’s running happy with the upgraded power unit in his Ferrari, and has a plan to pass his rivals from the back in Sunday’s race” — Paul Ebeling
That new power unit is the reason Mr. Leclerc will start the race at Sochi at the back , numerous grid penalties for the change putting him on the back row alongside Red Bull’s Max Verstappen who is also taking a new engine for the race.
Mr. Leclerc explained why he was so happy with the opening day of practice in Russia, having finished 3rd in FP1 and 10th in FP2.
“It went very good, it was a positive day,” he said. “Obviously whenever you put such… a big change for everyone, for the mechanics, for us; it’s a new car. So, it’s good to see that everything was working as expected, and now we’ve been focusing mostly on the race because from qualifying anyway we start last, so we’ve done a good job today by taking as much information as we could and I am happy with our Friday.”
Asked whether he could feel a difference with this new-spec Ferrari engine, Mr. Leclerc answered: “I feel that it is a little bit better, which is great. And obviously the data confirms it, so yes, it’s great to feel it and to see it.”
As for team mate Carlos Sainz, who finished 7th in both Friday sessions, he said: “It was a good day for the team. I think we managed to test the PU on Charles’s side without any problems, which looks encouraging.
“And from my side I had a good day on track, just taking it easy little by little, getting used to this car on this track which is a very confidence-biased track where you need a lot of commitment in these 90-degree corners.”
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 finished Friday at 217.46 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.
Key technical indicators are Bullish mid to long term. The candlestick pattern indicates the confirmation of the break out at 196.01 on 3 November and confirmed.
The Key support is at 216.85 and the resistance is light through 223.51. The 24 September BE candle augurs the Very Bullish trend will continue. The stock is very oversold in here.
Friday, Morgan Stanley called out $RACE a “sleeper” EV play as the firm can justify more than 100% of the company’s value with its ICE business.
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. 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 231.99.
The Maranello Outfit’s shares were raised downgraded from Buy to 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 have been very few instances of insider selling over the past yr that we have seen. And Ferrari continues to buy back its stock in here.
The stock is considered defensive in the sector.
Have a super racing weekend, Keep the Faith!