Automotive Aristocrat Ferrari (NYSE:RACE) on Par with Apple, LVMH, Gucci

Automotive Aristocrat Ferrari (NYSE:RACE) on Par with Apple, LVMH, Gucci

Automotive Aristocrat Ferrari (NYSE:RACE) on Par with Apple, LVMH, Gucci


Ferrari has a current stock-market value of about $21.4-B, and an enterprise value of about 18.5X its expected Y 2018 earnings before interest, taxes, depreciation and amortization, based on the data compiled.

The iconic Italian carmaker posted over 30% adjusted EBITDA margin in Q-3 of Y 2017, a rare feat that puts the company in the league of Apple Inc. (NASDAQ:AAPL), or luxury goods makers LVMH (OTCMKT:LVMUY) and Gucci (OTCMKT:PPRUY).

Ferrari shares have risen from a January 2 low of 103.65 to 117.84 at the close in New York Friday, with robust luxury-sector environment a Key factor for the iconic maker of Super and HyperSuper sport and racing cars.

Ferrari is the Top company on HeffX-LTN automotive list with the Maranello outfit having posted the most impressive share price gains so far this year.

Higher Crude Oil prices are leading to increased luxury goods consumption in the Middle East and the APAC-region luxury consumption remains robust too.

Looking at Ferrari’s fundamentals I believe that the company’s share price should be strongly supported, as it has outperformed on Top line growth and is still seeing its margins being expanded meaning that there is more room to the Northside for Ferrari’s stock price

Ferrari’s adjusted EBITDA margin stood at 30% in Q-3 of Y 2017  Vs 7.5% at GM and 10.3% at BMW, to name more mainstream carmakers on our list.

Symbol Last Trade Date Change Open High Low Volume
NYSE:RACE 117.84 12 January 2018 0.68 118.59 118.68 117.42 393,000
HeffX-LTN Analysis for RACE: Overall Short Intermediate Long
Bullish (0.33) Bullish (0.40) Bullish (0.33) Bullish (0.26)

Have a terrific weekend

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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