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Ferrari (RACE) Declines More Than Market: Some Information for Investors
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Ferrari (RACE - Free Report) closed at $303.49 in the latest trading session, marking a -1.96% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 1.34%. Meanwhile, the Dow experienced a drop of 0.98%, and the technology-dominated Nasdaq saw a decrease of 1.62%.
Heading into today, shares of the luxury sports car maker had gained 3.5% over the past month, outpacing the Auto-Tires-Trucks sector's loss of 4.5% and the S&P 500's loss of 1.57% in that time.
Market participants will be closely following the financial results of Ferrari in its upcoming release. The company plans to announce its earnings on November 2, 2023. The company's upcoming EPS is projected at $1.60, signifying a 29.03% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.55 billion, indicating a 23.41% increase compared to the same quarter of the previous year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $7.01 per share and a revenue of $6.28 billion, representing changes of +30.78% and +17.1%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Ferrari. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.6% lower. Ferrari is currently a Zacks Rank #3 (Hold).
With respect to valuation, Ferrari is currently being traded at a Forward P/E ratio of 44.19. This signifies a premium in comparison to the average Forward P/E of 13.37 for its industry.
Investors should also note that RACE has a PEG ratio of 2.81 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Automotive - Original Equipment industry currently had an average PEG ratio of 0.7 as of yesterday's close.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. At present, this industry carries a Zacks Industry Rank of 153, placing it within the bottom 40% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Ferrari (RACE) Declines More Than Market: Some Information for Investors
Ferrari (RACE - Free Report) closed at $303.49 in the latest trading session, marking a -1.96% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 1.34%. Meanwhile, the Dow experienced a drop of 0.98%, and the technology-dominated Nasdaq saw a decrease of 1.62%.
Heading into today, shares of the luxury sports car maker had gained 3.5% over the past month, outpacing the Auto-Tires-Trucks sector's loss of 4.5% and the S&P 500's loss of 1.57% in that time.
Market participants will be closely following the financial results of Ferrari in its upcoming release. The company plans to announce its earnings on November 2, 2023. The company's upcoming EPS is projected at $1.60, signifying a 29.03% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $1.55 billion, indicating a 23.41% increase compared to the same quarter of the previous year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $7.01 per share and a revenue of $6.28 billion, representing changes of +30.78% and +17.1%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Ferrari. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.6% lower. Ferrari is currently a Zacks Rank #3 (Hold).
With respect to valuation, Ferrari is currently being traded at a Forward P/E ratio of 44.19. This signifies a premium in comparison to the average Forward P/E of 13.37 for its industry.
Investors should also note that RACE has a PEG ratio of 2.81 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Automotive - Original Equipment industry currently had an average PEG ratio of 0.7 as of yesterday's close.
The Automotive - Original Equipment industry is part of the Auto-Tires-Trucks sector. At present, this industry carries a Zacks Industry Rank of 153, placing it within the bottom 40% of over 250 industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.