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Ferrari (RACE) Stock Sinks As Market Gains: What You Should Know
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Ferrari (RACE - Free Report) closed at $316.11 in the latest trading session, marking a -0.33% move from the prior day. This move lagged the S&P 500's daily gain of 0.28%. Meanwhile, the Dow gained 0.08%, and the Nasdaq, a tech-heavy index, added 0.61%.
Heading into today, shares of the luxury sports car maker had gained 3.48% over the past month, lagging the Auto-Tires-Trucks sector's gain of 22.47% and the S&P 500's gain of 4.86% in that time.
Investors will be hoping for strength from Ferrari as it approaches its next earnings release, which is expected to be August 2, 2023. On that day, Ferrari is projected to report earnings of $1.71 per share, which would represent year-over-year growth of 17.93%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.57 billion, up 14.27% from the year-ago period.
RACE's full-year Zacks Consensus Estimates are calling for earnings of $6.63 per share and revenue of $6.33 billion. These results would represent year-over-year changes of +23.69% and +17.98%, respectively.
Investors should also note any recent changes to analyst estimates for Ferrari. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Over the past month, the Zacks Consensus EPS estimate has moved 1.53% higher. Ferrari is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Ferrari is currently trading at a Forward P/E ratio of 47.84. Its industry sports an average Forward P/E of 15.53, so we one might conclude that Ferrari is trading at a premium comparatively.
It is also worth noting that RACE currently has a PEG ratio of 3.04. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. RACE's industry 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. This industry currently has a Zacks Industry Rank of 125, which puts it in the top 50% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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) Stock Sinks As Market Gains: What You Should Know
Ferrari (RACE - Free Report) closed at $316.11 in the latest trading session, marking a -0.33% move from the prior day. This move lagged the S&P 500's daily gain of 0.28%. Meanwhile, the Dow gained 0.08%, and the Nasdaq, a tech-heavy index, added 0.61%.
Heading into today, shares of the luxury sports car maker had gained 3.48% over the past month, lagging the Auto-Tires-Trucks sector's gain of 22.47% and the S&P 500's gain of 4.86% in that time.
Investors will be hoping for strength from Ferrari as it approaches its next earnings release, which is expected to be August 2, 2023. On that day, Ferrari is projected to report earnings of $1.71 per share, which would represent year-over-year growth of 17.93%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.57 billion, up 14.27% from the year-ago period.
RACE's full-year Zacks Consensus Estimates are calling for earnings of $6.63 per share and revenue of $6.33 billion. These results would represent year-over-year changes of +23.69% and +17.98%, respectively.
Investors should also note any recent changes to analyst estimates for Ferrari. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Over the past month, the Zacks Consensus EPS estimate has moved 1.53% higher. Ferrari is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Ferrari is currently trading at a Forward P/E ratio of 47.84. Its industry sports an average Forward P/E of 15.53, so we one might conclude that Ferrari is trading at a premium comparatively.
It is also worth noting that RACE currently has a PEG ratio of 3.04. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. RACE's industry 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. This industry currently has a Zacks Industry Rank of 125, which puts it in the top 50% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.