Ferrari - AI Stock Analysis

Analysis generated July 11, 2025

Ferrari N.V. (NYSE: RACE) is an Italian luxury sports car manufacturer established in 1939 as Auto Avio Costruzioni. Over the years, Ferrari has grown to become one of the most emblematic and recognizable brands globally, synonymous with high-performance, elegance, and exclusivity in the automotive industry. Ferrari produces cars that are not only high-powered machines but also works of art that appeal to collectors and enthusiasts alike.

Fundamental Analysis

Ferrari's financial performance in the latest quarter, with a revenue of $1.79 billion, marks a significant progress. This revenue reflects a 3.18% increase compared to the previous quarter and a 13.01% increase year over year. These numbers signify robust growth and solid demand for Ferrari's luxurious offerings.

The company reported a net income of $412 million, representing a 7.14% increase from the previous quarter and a remarkable 17.15% increase year over year. Such growth in net income indicates rising profitability and efficient cost management.

EBITDA for the last quarter stood at $692 million, an increase of 5.84% compared to the prior quarter and 13.11% year over year. A steady increase in EBITDA showcases Ferrari’s ability to generate strong earnings before interest, taxes, depreciation, and amortization.

However, the current P/E ratio of 47.39 is relatively high, potentially indicating that Ferrari's stock might be overvalued. Such a high P/E ratio could imply that the market has high expectations for future earnings, but it could also mean limited upside potential and a bearish outlook.

Technical Analysis

Ferrari's stock price is currently $491.51, showing a 1.89% increase over the past month and a 13.82% rise over the past year. This indicates a positive short-term momentum and an encouraging long-term trend, affirming a bullish outlook.

The stock's Simple Moving Average (SMA10) is 490.82, up from the previous 490.60. This small increase in the SMA10 suggests a potential upward trend in price movement.

The Relative Strength Index (RSI) is at 33.2, indicating a neutral condition. While this doesn't strongly suggest overbought or oversold conditions, it is crucial for investors to watch for any sudden changes in RSI, as it can guide future trading decisions.

Alternative Data Analysis

From the perspective of job postings and employee sentiment, Ferrari currently has 11 open positions, down by 8% over the last couple of months. This dip could signal attempts to streamline operations, but it is not a favorable sign for a company aiming at growth.

The business outlook among employees is trending positively, with a 17% increase in optimism in recent months, suggesting confidence in the company's future.

Customer acquisition trends show mixed signals. Estimated webpage visits stand at 2.6 million, down by a worrisome 31%. However, there is a substantial increase in mobile app downloads, up by 1546%, suggesting a shift towards digital engagement and possibly an expanding customer base.

Customer engagement metrics show no significant changes in social media followings, with 32 million followers on Instagram and 1.3 million followers on Twitter.

Lastly, AltIndex's AI score for Ferrari is 64, which comes out as a buy signal. This score synthesizes fundamental, technical, and alternative data analysis to provide an aggregate recommendation.

Conclusion and Recommendation

Given the robust financial performance, positive technical indicators, and encouraging trends in customer engagement, Ferrari presents a compelling case for investment. However, the high P/E ratio and certain downward trends in job postings and website traffic should be carefully considered. The final AI score of 64 indicates a buy recommendation, suggesting a positive outlook for Ferrari's stock in the foreseeable future. Potential investors should balance Ferrari's strong brand and financial health with the high valuation and mixed alternative data signals to make well-informed decisions.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.