Ferrari (NYSE:RACE) Stock Price 2X’d Since December
$RACE, $FACU, $F, $GM
Ferrari (NYSE:RACE) has solid fundamentals and marked an all-time high Wednesday at 118.10/share
Ferrari stock continues to trade in the Green, and ended the last week with a 2.4% gainer, at 116.76. The company’s stock has risen 35.7% QTD, and an impressive 100.8% YTD.
The stock posted an all-time high of 118.09 on 6 September.
People are asking, what is driving the optimism to Ferrari stock (see the chart below)
In Q-2 of Y 2017, Ferrari’s adjusted EPS stood at 0.86, about 40% higher than its Q-2 Y 2016 EPS.
Ferrari’s Q-2 revenue rose 13.5%, with a 5.4% Y-Y increase in its global shipments.
Similarly, its EBIT margin improved to 21.9%, compared with 19.3% in Q-2 of Y 2016.
Added to that Ferrari’s V12 engine car sales rose in Q-2 of Y 2017, which boosted profitability.
Overall Ferrari’s V12 engine profit margins are wider than its V8 engine margins. Ferrari has reported strong EPS growth in the last 8 months, which is the Key reason for investors’ positive sentiment.
Ferrari’s profit margins are very much wider than those of mainstream automakers like Ford Motor (NYSE:F), Fiat Chrysler (NYSE:FCAU), and General Motors (NYSE:GM).
Wednesday, Ferrari marked an all- time high at 118.10, attracting new buyers.
An immediate support for Ferrari stock stands at 115.37.
On the Northside, there is no resistance beyond 121.28.
|HeffX-LTN Analysis for RACE:||Overall||Short||Intermediate||Long|
|Very Bullish (0.56)||Bullish (0.44)||Very Bullish (0.65)||Very Bullish (0.58)|