Ferrari (NYSE:RACE) Stock in Your ‘Christmas Stocking’
Ferrari (NYSE:RACE) stock outperformed the world’s auto giants and the broader market in Y 2016 with a return of 21%.
Similarly, so far in Y 2017, the stock has had a Supercar ride. Despite its recent weakness, Ferrari was trading at 83.4% YTD gains as of 12 December.
Tesla (NASDAQ:TSLA) has risen 59.6% YTD, while General Motors (NYSE:GM) and Honda Motor (NYSE:HMC) have risen 19.2% and 14.8%, respectively, YTD.
These views are from the 10 analysts covering Ferrari now, not including HeffX-LTN Aristocrat list long term which you can see here.
The analysts’ 12-month consensus target price for Ferrari is 113.58, which reflects an upside potential of 6.5% from its current market price of 106.65.
In the past month, the analysts’ consensus target price has risen from 110.48.
In Q-3 of Y 2017, Ferarri reported a 25% Y-Y rise in its earnings.
Its revenues rose 7% Y-Y, and
Its adjusted operating margin expanded to 24.2%, up from 22% one year ago.
During Ferrari’s Q-3 Y 2017 earnings call, management also revised the company’s FY 2017 guidance marginally upward.
Some how the upward revision did not seem to appear to impress investors, likely because they expected a much higher revision after the solid growth we saw in the 1st 3 Quarters of the year.
However, if Ferrari beat its Y 2017 guidance by a good margin, which we believe it will this correction mode will prove a buying opportunity, thank you Santa Claus.
|NYSE:RACE||104.96||14 December 2017||-0.84||106.45||107.09||104.89||226,011|
|HeffX-LTN Analysis for RACE:||Overall||Short||Intermediate||Long|
|Bearish (-0.32)||Bearish (-0.48)||Bearish (-0.33)||Neutral (-0.15)|