Ferrari NV

The Federal Reserve raised interest rates by 25 basis points to a target range of 3.75%-4.00%, its first increase in three years, while leaving the door open for another hike later this year. Easing crude oil prices and softer U.S. Treasury yields helped offset the hawkish signal, with the S&P 500 rising 0.7% and the Nasdaq gaining 2.6% for the week, while the Dow shed 733 points. The Bank of England held its policy rate steady at 3.75% as surging energy prices fuelled fresh inflation concerns, and the Bank of Japan raised its benchmark rate to its highest level in decades. In Europe, Volkswagen anticipates more than 4,000 additional job cuts at its Porsche subsidiary as part of a massive restructuring drive, and Ferrari said its wholly owned Italian subsidiary Ferrari S.p.A. signed a partnership agreement with Rakuten Group effective January 1, 2027. China's retail sales growth weakened in August, falling short of expectations, while Chinese markets rose 0.6% and Japan's Nikkei 225 rose 2.6%.

Ferrari N.V. announced a partnership with Rakuten Group, Inc. on September 17, effective January 1, 2027, though the company gave no scope or price tag for the deal. The real substance sits in Ferrari's second-quarter results, where revenue rose 8% and operating profit rose 10%, or 11% and 16% at constant currency, prompting the carmaker to raise its 2026 revenue guidance to about €7.60 billion from about €7.50 billion. Industrial free cash flow jumped 39% to €276 million, and Ferrari returned more than €800 million to shareholders through a dividend and buybacks, while its order book covers 2027 in full and the new 12Cilindri Manuale is already fully allocated. Some of the strength is timing: operating profit benefited from temporarily lower depreciation and amortization during a model changeover, and net profit leaned on a 23.0% tax rate reflecting an estimated Patent Box benefit, while EBITDA margin slipped to 39.0% from 39.7% and currency pressure from the dollar and yen cut reported growth. Deliveries totaled 3,366 cars, hedge fund holders slipped to 41 from 43, short interest sits at 2.93% of the float, and the forward P/E stood at 32.57 as of September 18.

Ferrari said its wholly owned Italian subsidiary Ferrari S.p.A. has signed a partnership agreement with Rakuten Group, with the deal set to take effect on January 1, 2027. Ferrari described Rakuten as a global technology company but did not disclose the financial terms of the agreement or provide details on the specific scope of the partnership. The companies also have not specified whether the arrangement will be tied to Scuderia Ferrari's Formula 1 operations or to Ferrari's broader commercial and lifestyle activities. Rakuten, a Japanese company, has previously used sports partnerships as part of its global brand and customer-engagement strategy.

Ferrari N.V. has purchased 35,641 common shares under the third tranche of its multi-year buyback program, spending approximately 12.7 million euros between September 2 and 4, 2026. The third tranche, announced on September 1, 2026, is part of a larger 3.5 billion euro buyback program expected to run through 2030. The purchases were made on both the Euronext Milan and the New York Stock Exchange, with the NYSE transactions totaling about 5.5 million US dollars. As of September 4, the company held 1,626,445 common shares in treasury, representing 0.92 percent of total issued common shares. Since the start of the multi-year program on January 5, 2026, Ferrari has repurchased 1,736,825 shares for a total consideration of 523,435,344.28 euros.

Ferrari's one-of-one Luce electric vehicle sold for $40 million, a record for a new car, while its U.S.-listed shares gained about 0.7% to $417.61 Monday morning. The Luce Chassis 0, built through Ferrari's Tailor Made division, fetched roughly 63 times the price of the standard $550,000 model, with proceeds supporting education initiatives through the Ferrari Foundation. Ferrari traded at $417.53, about 17.17% below its GF Value estimate of $504.11, suggesting the stock was trading below its estimated intrinsic value. The sale underscores Ferrari's ability to turn its first electric vehicle into a symbol of exclusivity, with the next test being whether Luce deliveries and future electric models can maintain the brand's legendary margins.

Ferrari reported second-quarter revenue of 1.9 billion euros, up 8.4% year over year, and diluted earnings per share of 2.62 euros, 10% higher than the same period last year, beating Wall Street expectations. The company shipped 3.7% fewer cars but still grew operating income by 9.5%, driven by higher-than-anticipated personalizations that add high-margin revenue. The article argues Ferrari's wide economic moat, proven pricing power, and durable financial performance make it a compounder that Warren Buffett would appreciate, unlike Tesla whose automotive segment faces macro and competitive headwinds. Ferrari's shares have risen 746% over the past decade.

Yahoo Finance reports that Monterey Car Week 2026 is expected to draw over 100,000 visitors and feature a projected rebound in classic car auction sales to nearly $500 million, multiple high-profile vehicle reveals, and CEO commentary on the luxury economy. Hagerty forecasts total auction sales could reach $496 million at the optimistic top end, the highest since 2022, driven by a 28% rise in live auction sales over the past 12 months and strong stock market performance. Among the anticipated reveals are a Lamborghini Revuelto SV, a one-of-one Bugatti Destrier, the Ferrari 12Cilindri Manuale with its innovative manual-automatic transmission, and a trio of special-edition Aston Martin DB12 S sports cars, along with debuts from McLaren, Cadillac, and Acura. CEOs including Lamborghini's Stephan Winkelmann, McLaren's Nick Collins, Aston Martin's Adrian Hallmark, and Bugatti's Mate Rimac are expected to discuss the resilience of high-net-worth consumer demand amid a K-shaped economy.

Ferrari reported higher second-quarter profit as customers spent more on personalized supercars, helping the luxury automaker top earnings estimates and raise its full-year guidance. Revenue rose 8% to 1.94 billion euros, or $2.25 billion, beating the $2.14 billion consensus, while earnings per share came in at 2.62 euros, or $3.05, topping expectations of $2.83. Total shipments declined 3.7% to 3,366 units, but a richer sports-car mix and personalization—which exceeded 20% of cars and spare-parts revenue—drove the gains. CEO Benedetto Vigna said the company’s order book fully covers 2027, and Ferrari raised its fiscal 2026 revenue forecast to about 7.60 billion euros, or $8.84 billion, with adjusted earnings per share expected at least 9.68 euros, or $11.25.

Ferrari has disclosed the latest transactions under its second tranche of the multi-year share buyback program, purchasing 11,966 common shares on the Euronext Milan over two trading days for a total consideration of 4,010,331.82 euros. The second tranche, a 250 million euro program announced on April 10, 2026, is part of a broader approximately 3.5 billion euro buyback expected to run through 2030. Since the start of this second tranche, Ferrari has invested 187,393,142.03 euros for 620,677 shares on the Euronext Milan and 40,797,556.26 US dollars for 118,319 shares on the New York Stock Exchange. As of July 30, 2026, the company held 1,514,061 common shares in treasury, representing 0.85% of total issued common shares. Since the multi-year program began on January 5, 2026, Ferrari has repurchased a total of 1,624,441 common shares across both exchanges for a combined consideration of 483,392,467.03 euros.

The Financial Times reports that Italian luxury sports car maker Ferrari has reached its annual sales target for its first electric vehicle, the Luce, driven by strong demand in China. The company had set a sales goal of just under 500 units for the Luce this year, and achieved it less than two months after the car went on sale on May 25. Priced at 550,000 euros, the Luce is a four-door, five-seat family car, and its exterior, designed by former Apple designers Jony Ive and Marc Newson, is distinctive and has drawn mixed reactions. A Ferrari spokesperson declined to comment.

Ferrari N.V. purchased 53,932 common shares on the Euronext Milan between July 13 and July 17, 2026, at an average price of €327.93 per share for a total consideration of €17.7 million excluding fees. These purchases are part of the second tranche of a multi-year share buyback program totaling approximately €3.5 billion expected to be executed by 2030. Since the announcement of this second tranche, the company has invested €164.8 million for 550,911 shares on the EXM and $40.8 million for 118,319 shares on the NYSE. As of July 17, 2026, Ferrari held 1,444,295 common shares in treasury, representing 0.81% of total issued common shares, a decrease from prior disclosures due to a completed share cancellation approved at the April 15, 2026 Annual General Meeting. Since the start of the multi-year program on January 5, 2026, the company has repurchased a total of 1,554,675 common shares for €460.8 million.

The automotive industry is evolving toward technologically advanced vehicles and high-margin services, and three global automakers are uniquely positioned to outperform. Ferrari defies industry norms with gross margins above 50%, EBITDA and operating margins two to three times higher than competitors, and resilience to economic downturns due to its exclusivity and ultra-wealthy customer base; its valuation is currently below its five-year average partly because of backlash over its first fully electric vehicle, the Luce, though over 40% of its 2025 shipments were hybrids. BYD, which sold 2.26 million full EVs last year versus Tesla's 1.64 million, and 4.6 million vehicles including plug-in hybrids, thrives on unparalleled vertical integration that keeps costs low, and its overseas sales jumped nearly 95% year over year to a record 175,349 vehicles in June, with foreign markets now generating 43% of total sales. General Motors leverages its co-dominance in full-size internal combustion engine trucks and SUVs, which carry fatter margins, and has spent tens of billions on share buybacks that helped push its valuation roughly three times higher toward the end of 2025, while expanding high-margin OnStar and Super Cruise services with attach rates in the 30% to 40% range after initial prepaid periods end.

Ferrari N.V. has purchased an additional 28,000 common shares on the Euronext Milan under the second tranche of its multi-year share buyback program. The purchases occurred on July 8 and 9, 2026, at an average price of €328.4580 per share, for a total consideration of approximately €9.2 million excluding fees. Since the start of this second tranche, the company has invested €147.1 million for 496,979 shares on the EXM and $40.8 million for 118,319 shares on the NYSE. As of July 10, 2026, Ferrari held 18,034,969 treasury shares, representing 9.30% of total issued common shares. The overall multi-year program, announced during the 2025 Capital Markets Day, targets approximately €3.5 billion in buybacks by 2030, with total purchases since January 5, 2026, reaching 1,500,743 shares for €443.1 million.

Bell Global Equities Fund initiated a new position in Ferrari N.V. during May 2026, citing the luxury sports car maker's irreplaceable brand, supply-constrained production, and strong pricing power. The fund noted that Ferrari's order book extends through 2027, providing exceptional earnings visibility, and that a roughly 40% decline from its highs created an attractive entry point. Ferrari closed at $375.03 per share on July 8, 2026, with a market capitalization of $65.67 billion. The stock posted a one-month return of -7.95% and a 52-week gain of 19.46%.

Ferrari's most followed narrative places fair value at $426.11 compared with the last close at $391.86, suggesting the stock could be 8% undervalued. The narrative leans on steady revenue gains, firmer margins, and a rich future earnings multiple, supported by infrastructure expansion including a new e-building and paint shop for enhanced personalization, as well as the launch of six new models in 2025 including the anticipated full electric. However, the current P/E of 37.3x is much higher than the global auto industry at 15x and peers at 20.7x, meaning any disappointment on growth or margins could have an outsized impact on the share price. The stock has returned 12.93% over the past month and 17.12% over three months, though the one-year total shareholder return declined 18.49%.

Alcoa has signed a binding agreement to acquire most of South32's aluminum value chain for $4.1 billion, a deal that underscores the growing substitution of aluminum for copper in industries like automotive manufacturing. The transaction includes assets in Australia, South Africa, and Brazil but excludes the Mozal operation in Mozambique, and Alcoa expects it to generate about $900 million in synergies. Automakers such as Ferrari are increasingly using aluminum for power cables to reduce weight and cost, with Ferrari reporting up to 20% wiring weight savings in models like the 296 hybrid. JPMorgan estimates that aluminum substitution could affect about 2% of global copper demand this year and potentially as much as 6% by 2030, driven by copper prices that are now over 4.2 times higher than aluminum. While aluminum is less conductive and requires thicker cables, its cost advantage and lighter weight make it an attractive alternative where space and performance constraints allow.

Ferrari's first electric vehicle, the Luce, has an order book stretching toward the end of 2027, CEO Benedetto Vigna confirmed, even after its May unveiling sparked online backlash over its minimalist design. In China, the entire initial allotment of Luce vehicles, priced from roughly $586,000, sold out immediately, according to CarNewsChina. Ferrari's stock, which dipped 6% on the day of the unveiling, has since risen over 10% while the S&P 500 remained slightly lower. The pattern echoes past automotive launches like Ford's Mustang Mach-E and Lamborghini's Urus, which faced initial criticism but later achieved strong sales. Ferrari's operating margins continue to dwarf those of competitors, reinforcing its status as a high-end luxury business less vulnerable to economic cycles.

Lewis Hamilton secured his first Formula 1 victory for Ferrari, supported by new race engineer Carlo Santi, as the team introduced major technical upgrades including revised aerodynamics and updated wheel rim designs. Further engine developments are planned, underscoring Ferrari's renewed title push. Ferrari stock last closed at $362.13, with a 2.0% return over the past week and 3.6% over the past month, though it is down 20.2% over the past year and up 84.5% over five years. Analysts have a consensus target of about $436.94, roughly 21% above the current price, but a Simply Wall St valuation flags the stock as trading about 194.2% above estimated fair value. Recent significant insider selling and the rich valuation mean sentiment shifts after racing setbacks could weigh more heavily on the stock.

duPont REGISTRY Live has set a new all-time online auction record with the sale of the world's only Ferrari Enzo finished in Rosso Dino for $13,018,950, including buyer's premium. The no-reserve sale eclipses the previous online auction record of $5.36 million set by a LaFerrari Aperta in 2022, marking the most expensive automobile ever processed through an online auction platform. The result comes just seven months after the launch of duPont REGISTRY Live and validates the platform's ability to handle high-value collector car transactions without a physical auction room. The company's proprietary duPont REGISTRY Index had earlier valued the Ferrari Enzo at $11,110,000, underscoring the role of data and analytics in the evolving market.

Ferrari is steering its most loyal customers toward purchasing the new Luce EV, a nearly $600,000 electric vehicle, as a condition for maintaining access to future limited-edition sports cars. According to a Bloomberg report, one buyer said Ferrari made it clear that taking the Luce mattered if he wanted to keep his place among top clients, while another collector noted that access to one-off models depends on buying the Luce or cheaper entry-level Ferraris. The practice is part of Ferrari's long-standing patronage system where the brand directly manages its client list, often requiring buyers to purchase less desirable models to qualify for highly coveted, value-appreciating special editions like the upcoming 12Cilindri or a potential GTO manual transmission variant.