Ferrari’s (NYSE:RACE) new Daytona SP3, ends a long wait by lovers of its Icona-series cars. Ferrari fans have waited more than 3 yrs for the 2nd Icona after the Monza in Y 2018.
Ferrari’s Iconas are special series of Supercars produced in limited numbers, reserved for ultra wealthy private collectors and inspired by legendary models from the past.
With an 840hp, aspirated V12 mid-rear-mounted engine, the Daytona SP3 pays homage to the Ferrari 330 P3/4, which dominated the 24 Hours of Daytona in Y 1967.
There will be 599 Daytona SP3s with a $2.26-M in Italy. Deliveries will start at the end of Y 2020 and are expected to be completed in Y 2024, the order book is filling fast.
Iconas made up just 2% of the units it shipped in the last Quarter, while V12 cars accounted for 12% of group shipments. It will make less than a combined 1,600 V12 812 Competizione and 812 Competizione A models, launched this year, with a starting price at $564,000.
Ferrari presented its latest Icona Saturday just as CEO Benedetto Vigna sets the Italian luxury sports car maker on the road to electrification.
CEO Vigna is a tech industry veteran who in September became CEO of Ferrari, which has promised to deliver its 1st fully EV in Y 2025.
Ferrari’s Iconas are special series cars produced in limited numbers, reserved for ultra wealthy private collectors and inspired by legendary models from the past.
Ferrari already has 3 electric hybrid models in its range, including the 296 GTB sports car it unveiled this yr.
The Daytona SP3 Driving Experience
Our overall technical outlook is still Bullish, all 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 271.31, within its 52 wk range of 127.73 – 271.90 in NY just shy of its all time high. Pre-market Monday RACE is trading at 273.96 +2.65 (+0.98%)
Key technical indicators have turned Very Bullish across the board. The candlestick pattern indicated the confirmation of the break out at 196.01 on 3 November and confirmed.
The Key resistance Friday was at 271.90, the Key support is at 266.49. All of our Key technical indicators are all Very Bullish in here.
Societe Generale places a Street high price target of $290 on RACE as compared to the average sell-side price target at 195.93. Most Street analysts still do not know how to view Ferrari.
Morgan Stanley called out $RACE it Top EV play as the firm can justify more than 100% of the company’s value with its ICE business. MS’s new price target of $350 reps more than 35% Northside potential for shares and is above the average analyst 1 yr target is at 200.79.
MS automotive analyst says, “Longer term, we see scope for Ferrari to offer a range of EV products at potentially higher prices than the average selling price of today’s Ferrari, while leveraging economies of scale on higher volumes.“
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, an 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.
820 institutions own RACE.
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 186.31.
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 call 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 prosperous Holiday week, Keep the Faith!