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Cameco and Caesars Entertainment have been highlighted as Zacks Bull and Bear of the Day
Read MoreHide Full Article
For Immediate Release
Chicago, IL – January 23, 2026 – Zacks Equity Research shares Cameco (CCJ - Free Report) as the Bull of the Day and Caesars Entertainment (CZR - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Ford Motor Co. (F - Free Report) and Ferrari N.V. (RACE - Free Report) .
Cameco is one of the best pure-play nuclear-heavy AI energy stocks to buy.
The AI hyperscalers, the U.S. government, and other pillars of the global economy are kicking off a nuclear energy revival to fuel the power-hungry AI arms race while weaning off fossil fuels and becoming energy independent. This is why Wall Street is all-in on the AI energy trade.
Cameco stock has soared 110% in the past 12 months, as part of a massive surge over the last five years, which helped it surpass its previous 2007 peaks. Its recent run saw CCJ outpace AI giant Nvidia and nuclear energy powerhouse Constellation Energy.
Wall Street piled into CCJ because of the increasingly critical role the Canadian uranium miner plays in the nuclear energy revival and, therefore, the AI arms race.
CCJ is the second-largest uranium miner in the world and one of the only uranium stocks (fuel for nuclear reactors) that most U.S. retail investors can buy.
Uranium prices have skyrocketed over the last several years. Plus, demand is projected to outstrip supply for years as the U.S. attempts to quadruple nuclear capacity by 2050 while weaning off Russia and its sphere of influence, which dominates the nuclear fuel industry.
On top of all that, Cameco provides investors with long-term upside in nuclear energy construction through its 49% ownership stake in Westinghouse Electric.
CCJ’s recent upward earnings revisions land it a Zacks Rank #1 (Strong Buy) right now.
CCJ: The Best Uranium, Nuclear, and AI Energy Stock to Buy?
Cameco is the second-largest uranium miner in the world, reportedly producing roughly 17% of global output according to the World Nuclear Association. The Canadian uranium miner is also a leading supplier of uranium refining, conversion, and fuel manufacturing services.
CCJ is one of the only large-scale uranium stocks that most regular U.S. investors can buy. The Saskatoon, Saskatchewan, Canada-headquartered firm’s importance to the U.S. is growing rapidly as it attempts to cut itself off from Russia and its sphere of influence, which dominates a large chunk of the uranium ecosystem.
The U.S. is trying to reshore many critical areas of the economy, including uranium mining, enrichment, and more. But restarting the U.S. uranium industry will take a long time after it lay dormant for decades, making Cameco vital.
The nuclear energy renaissance sent uranium prices to their highest levels in over 15 years in 2024. Despite a pullback, uranium prices have soared roughly 170% since the start of 2021. More importantly, uranium demand is set to outstrip supply for years to come.
Bolstering its nuclear energy bull case further is Cameco’s 49% ownership of Westinghouse Electric—it closed the deal in late 2023 alongside Brookfield Renewable Partners (BEP), which owns the other 51%.
Westinghouse is one of the largest nuclear equipment and services businesses in the world. Its AP1000 nuclear reactors are the most recent large-scale reactors to come online in the U.S.
Westinghouse secured a substantial U.S. government contract to assist in the construction of 10 new large-scale nuclear reactors. The nuclear reactor company also offers upside in the small modular reactor (SMR) space via its next-gen AP300 reactors, which are competing alongside upstarts such as Oklo.
Why Investors Must Buy AI Energy and Nuclear Stocks
Nuclear energy could be the backbone of the entire growth, AI-driven economy at some point in the next few decades, just ask the AI hyperscalers and the U.S. government.
Electricity demand is set to grow ~25% by 2030 and ~75% by 2050, driven by AI data center expansion, electrification, reshoring, and more.
This is where nuclear power comes in. It’s been providing 50% of America’s carbon-free electricity for decades. Most importantly, nuclear power plants provide baseload power (unlike solar and wind), operating at full capacity ~93% of the time, making them the most reliable energy source by far, according to the U.S. Energy Department.
This is why Amazon, Meta, and the other AI hyperscalers are securing long-term nuclear power agreements.
Meta kicked off 2026 by landing three new nuclear energy deals to expand its efforts to power its AI growth. And we already touched on the U.S. government’s goal of quadrupling nuclear capacity by 2050.
Global data center infrastructure spending is expected to reach ~$7 trillion by 2030, with $1.3 trillion of this spending going toward power generation and the broader energy industry.
Buy CCJ Stock and Hold for Forever
Cameco is projected to grow its adjusted earnings by 100% in FY25 and 55% in 2026. The uranium miner’s recent upward earnings revisions earn it a Zacks Rank #1 (Strong Buy), with its most accurate 2026 estimate 13% above consensus.
Its revenue expansion outlook shows it’s on track to return to its 2007 highs in the near future.
Cameco stock has crushed the S&P 500 over the past 25 years, having soared nearly 4,000% vs. the benchmark’s 460%. This run includes a 850% surge in the last five years and a 115% run in the past 12 months.
CCJ has outclimbed AI chip giant Nvidia NVDA and nuclear energy powerhouse Constellation Energy CEG in the last year to help it meaningfully overtake its 2007 highs.
Despite its market-crushing run, Cameco trades at an 85% discount to its highs, below the S&P 500, and in line with the Energy sector in terms of its price/earnings-to-growth (PEG) ratio at 1.3.
The uranium stock could be a bit overheated in the short run after its recent charge to all-time highs, overtaking its October peaks.
Market timing is, however, exceedingly difficult. Investors might want to start a position in Cameco now and then add to their stockpile the next time it pulls back to a key moving average.
No matter what happens in the short run in terms of volatility or a well-deserved drawdown, Wall Street loves the uranium miner and nuclear reactor play. Twelve of the 17 brokerage recommendations Zacks has for Cameco are “Strong Buys,” next to four “Buys,” and one “Hold.”
Caesars Entertainment is one of the largest gaming and hospitality companies in the US. It owns, operates, or manages dozens of casinos, hotels, and resorts across the country.
CRZ stock has tanked off its post Covid-boom highs as its earnings outlook fades. Caesars Entertainment’s recent downward earnings revisions earn it a Zacks Rank #5 (Strong Sell).
Don’t Bet on Caesars Entertainment Stock Right Now?
Caesars Entertainment is a gaming and hospitality powerhouse. It owns, operates, and manages dozens of casinos, hotels, and resorts across the U.S., primarily under brands such as Caesars, Harrah's, Horseshoe, and Eldorado.
The company generates revenue from casino gaming (slots, table games, poker), hotel rooms, food and beverage services, live entertainment, conventions, and increasingly from online sports betting and iGaming through its digital segment.
The current company was formed when Eldorado Resorts completed its acquisition of Caesars Entertainment in July 2020, creating what it called the largest casino and entertainment company in the U.S.
Company revenue has stagnated in the last few years as Las Vegas giant deals with headwinds hitting the entire city. CZR’s earnings have been crushed as well. It reported a GAAP loss of -$1.28 per share in 2024 and an adjusted loss of -$0.55 on 2.5% lower sales.
Most recently, Caesars Entertainment posted an adjusted Q3 loss of -$0.27 a share, falling way short of our estimate for the third period in a row. It offered downbeat guidance again, citing setbacks such as “lower citywide visitation and poor table games hold” in Las Vegas and more.
Caesars Entertainment's adjusted earnings estimates have fallen off a cliff during the last several years, with its FY26 estimate down 25% in the last few months. Plus, its most accurate estimates came in 43% below its beaten-down consensus. This backdrop earns CRZ a Zacks Rank #5 (Strong Sell) right now, signaling that investors likely want to stay away from the stock for the time being.
Additional content:
Ford vs. Ferrari: Which Stock Looks More Attractive Right Now?
Ford Motor Co. and Ferrari N.V. are well-recognized automaker brands. Ford manufactures, markets and services cars, trucks, sport utility vehicles, electrified vehicles and Lincoln luxury vehicles while Ferrari designs, manufactures and sells sports cars. Ferrari also produces a limited-edition supercar, the LaFerrari, as well as limited series and one-off cars. Ferrari represents elite performance, speed and exclusivity, whereas Ford stands out for dependable, affordable vehicles with broad market appeal.
In the last six months, shares of Ferrari have plunged 34%, while Ford shares have risen 21%. F has outperformed the Zacks auto sector, but Ferrari has underperformed the same.
So which stock stands out as the stronger choice now? Let’s examine the fundamentals, growth catalysts and risks to determine which automaker earns a place in your portfolio.
The Case for Ford Stock
Ford’s consolidated third-quarter revenues came in at $50.5 billion, up 9.3% year over year. The company’s broad lineup, anchored by its F-Series trucks, Maverick pickup and popular SUVs, provides a solid foundation for growth. Its hybrid strategy adds resilience as EV adoption evolves. While the Model e segment faces near-term losses, Ford is positioning for long-term success with its Universal EV Platform, designed for affordable, digitally advanced vehicles starting around $30,000. The company plans to begin equipment installation for UEV production in Louisville and start LFP battery cell production in Michigan later this year, reinforcing its long-term electrification strategy.
Ford Pro remains a key growth engine, supported by strong order books, rising demand for Super Duty trucks, and expanding software and service offerings. The company plans to boost F-150 and Super Duty production by more than 50,000 units in 2026 to meet demand and offset losses from the Novelis fire. Strength across vehicles, software, and physical services underpins the segment’s momentum. Paid subscriptions rose 8% to 818,000 in the third quarter. Partnership with ServiceTitan enhances digital service capabilities, positioning Ford Pro as a major long-term earnings driver for the company.
In December, Ford and Renault Group unveiled a major strategic alliance to expand Ford’s EV lineup in Europe, boosting both companies’ competitiveness in the fast-changing regional auto market. Central to the deal is an agreement to develop two Ford-branded electric models built on Renault’s Ampere platform, tapping the group’s EV expertise and scale. Beyond passenger EVs, the partners also signed a letter of intent to explore jointly developing and producing select Ford- and Renault-branded light commercial vehicles for Europe.
Ford has a high dividend yield of more than 4%, way better than the S&P 500’s yield of 1.1%, on average. The company targets distributions of 40-50% of FCF going forward, demonstrating its commitment to shareholder return.
The Zacks Consensus Estimate for F’s 2026 EPS implies year-over-year growth of 38.1%. EPS estimates for 2025 and 2026 have fallen a penny and risen 3 cents, respectively, in the past seven days.
The Case for Ferrari Stock
Ferrari reported net revenues of $2.06 billion in the third quarter of 2025, up 14.2% from the corresponding quarter of 2024. Total shipments slightly rose to 3,401 units from 3,383 vehicles in the third quarter of 2024. However, shipments in Mainland China, Hong Kong and Taiwan unit and Americas unit declined 12% and 2% respectively.
Per Jing Daily, China’s luxury car buyers, particularly younger consumers, are placing greater emphasis on advanced technology, sustainability and digitally integrated lifestyles. Ferrari’s brand, built on heritage and exclusivity, appears misaligned with these evolving preferences. Although personalization is a global strength for the company, it has not been sufficiently tailored to Chinese cultural tastes and local expectations.
While the visibility of Formula 1 drivers helps generate attention, it does not translate into consistent, long-term sales momentum. Moreover, Ferrari’s absence in the electric vehicle segment represents a notable weakness in a market where new energy vehicles account for more than 40% of total new car sales.
Moreover, even as Ferrari lifted its long-term revenue ambition to roughly €9 billion ($10.4 billion) by 2030, the company now expects fully electric models to account for just 20% of its portfolio by that time, a reduction from its earlier 40% target. Hybrid vehicles are projected to represent another 40%, while the remaining share will continue to rely on internal combustion engines. Ferrari does not anticipate introducing a second electric model before at least 2028, pointing to limited demand for high-performance EVs.
The Zacks Consensus Estimate for RACE’s 2025 sales and EPS implies year-over-year growth of 14.9% and 14.6%, respectively. EPS estimates for 2025 and 2026 have fallen 13 cents each in the past 30 days.
Valuation Check: F vs. RACE
On a valuation basis, F trades at a more attractive EV/EBITDA multiple than RACE. This suggests that, relative to its earnings before interest, taxes, depreciation, and amortization, Ford stock is priced more reasonably.
Conclusion
Overall, Ford appears to be the more compelling investment choice than Ferrari at this stage. Ford offers diversified revenue streams, broad market exposure, and multiple growth levers across trucks, hybrids, EVs, software, and commercial services. Its strong recent stock performance reflects improving investor confidence, supported by solid revenue growth, a resilient product mix, and expanding high-margin businesses like Ford Pro.
Strategic initiatives, such as the Universal EV Platform, battery investments and the partnership with Renault, strengthen Ford’s long-term positioning in both North America and Europe, while its hybrid-first approach reduces risk amid uneven EV adoption. Also, the consensus estimate points to robust earnings growth through 2026, and the stock trades at a more attractive valuation relative to peers.
By contrast, Ferrari’s reliance on exclusivity and limited volumes constrains its growth potential. While the brand remains profitable, recent share price weakness, declining shipments in key regions like China and a cautious stance on electrification raise concerns. Ferrari’s slower EV rollout further clouds its outlook. For investors seeking scalable growth, reasonable valuation and clearer long-term catalysts, Ford stands out as the stronger option. F sports a Zacks Rank #1 (Strong Buy), while RACE has a Zacks Rank #5 (Strong Sell) at present.
Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can access their live picks without cost or obligation.
Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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Cameco and Caesars Entertainment have been highlighted as Zacks Bull and Bear of the Day
For Immediate Release
Chicago, IL – January 23, 2026 – Zacks Equity Research shares Cameco (CCJ - Free Report) as the Bull of the Day and Caesars Entertainment (CZR - Free Report) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Ford Motor Co. (F - Free Report) and Ferrari N.V. (RACE - Free Report) .
Here is a synopsis of all four stocks.
Bull of the Day:
Cameco is one of the best pure-play nuclear-heavy AI energy stocks to buy.
The AI hyperscalers, the U.S. government, and other pillars of the global economy are kicking off a nuclear energy revival to fuel the power-hungry AI arms race while weaning off fossil fuels and becoming energy independent. This is why Wall Street is all-in on the AI energy trade.
Cameco stock has soared 110% in the past 12 months, as part of a massive surge over the last five years, which helped it surpass its previous 2007 peaks. Its recent run saw CCJ outpace AI giant Nvidia and nuclear energy powerhouse Constellation Energy.
Wall Street piled into CCJ because of the increasingly critical role the Canadian uranium miner plays in the nuclear energy revival and, therefore, the AI arms race.
CCJ is the second-largest uranium miner in the world and one of the only uranium stocks (fuel for nuclear reactors) that most U.S. retail investors can buy.
Uranium prices have skyrocketed over the last several years. Plus, demand is projected to outstrip supply for years as the U.S. attempts to quadruple nuclear capacity by 2050 while weaning off Russia and its sphere of influence, which dominates the nuclear fuel industry.
On top of all that, Cameco provides investors with long-term upside in nuclear energy construction through its 49% ownership stake in Westinghouse Electric.
CCJ’s recent upward earnings revisions land it a Zacks Rank #1 (Strong Buy) right now.
CCJ: The Best Uranium, Nuclear, and AI Energy Stock to Buy?
Cameco is the second-largest uranium miner in the world, reportedly producing roughly 17% of global output according to the World Nuclear Association. The Canadian uranium miner is also a leading supplier of uranium refining, conversion, and fuel manufacturing services.
CCJ is one of the only large-scale uranium stocks that most regular U.S. investors can buy. The Saskatoon, Saskatchewan, Canada-headquartered firm’s importance to the U.S. is growing rapidly as it attempts to cut itself off from Russia and its sphere of influence, which dominates a large chunk of the uranium ecosystem.
The U.S. is trying to reshore many critical areas of the economy, including uranium mining, enrichment, and more. But restarting the U.S. uranium industry will take a long time after it lay dormant for decades, making Cameco vital.
The nuclear energy renaissance sent uranium prices to their highest levels in over 15 years in 2024. Despite a pullback, uranium prices have soared roughly 170% since the start of 2021. More importantly, uranium demand is set to outstrip supply for years to come.
Bolstering its nuclear energy bull case further is Cameco’s 49% ownership of Westinghouse Electric—it closed the deal in late 2023 alongside Brookfield Renewable Partners (BEP), which owns the other 51%.
Westinghouse is one of the largest nuclear equipment and services businesses in the world. Its AP1000 nuclear reactors are the most recent large-scale reactors to come online in the U.S.
Westinghouse secured a substantial U.S. government contract to assist in the construction of 10 new large-scale nuclear reactors. The nuclear reactor company also offers upside in the small modular reactor (SMR) space via its next-gen AP300 reactors, which are competing alongside upstarts such as Oklo.
Why Investors Must Buy AI Energy and Nuclear Stocks
Nuclear energy could be the backbone of the entire growth, AI-driven economy at some point in the next few decades, just ask the AI hyperscalers and the U.S. government.
Electricity demand is set to grow ~25% by 2030 and ~75% by 2050, driven by AI data center expansion, electrification, reshoring, and more.
This is where nuclear power comes in. It’s been providing 50% of America’s carbon-free electricity for decades. Most importantly, nuclear power plants provide baseload power (unlike solar and wind), operating at full capacity ~93% of the time, making them the most reliable energy source by far, according to the U.S. Energy Department.
This is why Amazon, Meta, and the other AI hyperscalers are securing long-term nuclear power agreements.
Meta kicked off 2026 by landing three new nuclear energy deals to expand its efforts to power its AI growth. And we already touched on the U.S. government’s goal of quadrupling nuclear capacity by 2050.
Global data center infrastructure spending is expected to reach ~$7 trillion by 2030, with $1.3 trillion of this spending going toward power generation and the broader energy industry.
Buy CCJ Stock and Hold for Forever
Cameco is projected to grow its adjusted earnings by 100% in FY25 and 55% in 2026. The uranium miner’s recent upward earnings revisions earn it a Zacks Rank #1 (Strong Buy), with its most accurate 2026 estimate 13% above consensus.
Its revenue expansion outlook shows it’s on track to return to its 2007 highs in the near future.
Cameco stock has crushed the S&P 500 over the past 25 years, having soared nearly 4,000% vs. the benchmark’s 460%. This run includes a 850% surge in the last five years and a 115% run in the past 12 months.
CCJ has outclimbed AI chip giant Nvidia NVDA and nuclear energy powerhouse Constellation Energy CEG in the last year to help it meaningfully overtake its 2007 highs.
Despite its market-crushing run, Cameco trades at an 85% discount to its highs, below the S&P 500, and in line with the Energy sector in terms of its price/earnings-to-growth (PEG) ratio at 1.3.
The uranium stock could be a bit overheated in the short run after its recent charge to all-time highs, overtaking its October peaks.
Market timing is, however, exceedingly difficult. Investors might want to start a position in Cameco now and then add to their stockpile the next time it pulls back to a key moving average.
No matter what happens in the short run in terms of volatility or a well-deserved drawdown, Wall Street loves the uranium miner and nuclear reactor play. Twelve of the 17 brokerage recommendations Zacks has for Cameco are “Strong Buys,” next to four “Buys,” and one “Hold.”
Bear of the Day:
Caesars Entertainment is one of the largest gaming and hospitality companies in the US. It owns, operates, or manages dozens of casinos, hotels, and resorts across the country.
CRZ stock has tanked off its post Covid-boom highs as its earnings outlook fades. Caesars Entertainment’s recent downward earnings revisions earn it a Zacks Rank #5 (Strong Sell).
Don’t Bet on Caesars Entertainment Stock Right Now?
Caesars Entertainment is a gaming and hospitality powerhouse. It owns, operates, and manages dozens of casinos, hotels, and resorts across the U.S., primarily under brands such as Caesars, Harrah's, Horseshoe, and Eldorado.
The company generates revenue from casino gaming (slots, table games, poker), hotel rooms, food and beverage services, live entertainment, conventions, and increasingly from online sports betting and iGaming through its digital segment.
The current company was formed when Eldorado Resorts completed its acquisition of Caesars Entertainment in July 2020, creating what it called the largest casino and entertainment company in the U.S.
Company revenue has stagnated in the last few years as Las Vegas giant deals with headwinds hitting the entire city. CZR’s earnings have been crushed as well. It reported a GAAP loss of -$1.28 per share in 2024 and an adjusted loss of -$0.55 on 2.5% lower sales.
Most recently, Caesars Entertainment posted an adjusted Q3 loss of -$0.27 a share, falling way short of our estimate for the third period in a row. It offered downbeat guidance again, citing setbacks such as “lower citywide visitation and poor table games hold” in Las Vegas and more.
Caesars Entertainment's adjusted earnings estimates have fallen off a cliff during the last several years, with its FY26 estimate down 25% in the last few months. Plus, its most accurate estimates came in 43% below its beaten-down consensus. This backdrop earns CRZ a Zacks Rank #5 (Strong Sell) right now, signaling that investors likely want to stay away from the stock for the time being.
Additional content:
Ford vs. Ferrari: Which Stock Looks More Attractive Right Now?
Ford Motor Co. and Ferrari N.V. are well-recognized automaker brands. Ford manufactures, markets and services cars, trucks, sport utility vehicles, electrified vehicles and Lincoln luxury vehicles while Ferrari designs, manufactures and sells sports cars. Ferrari also produces a limited-edition supercar, the LaFerrari, as well as limited series and one-off cars. Ferrari represents elite performance, speed and exclusivity, whereas Ford stands out for dependable, affordable vehicles with broad market appeal.
In the last six months, shares of Ferrari have plunged 34%, while Ford shares have risen 21%. F has outperformed the Zacks auto sector, but Ferrari has underperformed the same.
So which stock stands out as the stronger choice now? Let’s examine the fundamentals, growth catalysts and risks to determine which automaker earns a place in your portfolio.
The Case for Ford Stock
Ford’s consolidated third-quarter revenues came in at $50.5 billion, up 9.3% year over year. The company’s broad lineup, anchored by its F-Series trucks, Maverick pickup and popular SUVs, provides a solid foundation for growth. Its hybrid strategy adds resilience as EV adoption evolves. While the Model e segment faces near-term losses, Ford is positioning for long-term success with its Universal EV Platform, designed for affordable, digitally advanced vehicles starting around $30,000. The company plans to begin equipment installation for UEV production in Louisville and start LFP battery cell production in Michigan later this year, reinforcing its long-term electrification strategy.
Ford Pro remains a key growth engine, supported by strong order books, rising demand for Super Duty trucks, and expanding software and service offerings. The company plans to boost F-150 and Super Duty production by more than 50,000 units in 2026 to meet demand and offset losses from the Novelis fire. Strength across vehicles, software, and physical services underpins the segment’s momentum. Paid subscriptions rose 8% to 818,000 in the third quarter. Partnership with ServiceTitan enhances digital service capabilities, positioning Ford Pro as a major long-term earnings driver for the company.
In December, Ford and Renault Group unveiled a major strategic alliance to expand Ford’s EV lineup in Europe, boosting both companies’ competitiveness in the fast-changing regional auto market. Central to the deal is an agreement to develop two Ford-branded electric models built on Renault’s Ampere platform, tapping the group’s EV expertise and scale. Beyond passenger EVs, the partners also signed a letter of intent to explore jointly developing and producing select Ford- and Renault-branded light commercial vehicles for Europe.
Ford has a high dividend yield of more than 4%, way better than the S&P 500’s yield of 1.1%, on average. The company targets distributions of 40-50% of FCF going forward, demonstrating its commitment to shareholder return.
The Zacks Consensus Estimate for F’s 2026 EPS implies year-over-year growth of 38.1%. EPS estimates for 2025 and 2026 have fallen a penny and risen 3 cents, respectively, in the past seven days.
The Case for Ferrari Stock
Ferrari reported net revenues of $2.06 billion in the third quarter of 2025, up 14.2% from the corresponding quarter of 2024. Total shipments slightly rose to 3,401 units from 3,383 vehicles in the third quarter of 2024. However, shipments in Mainland China, Hong Kong and Taiwan unit and Americas unit declined 12% and 2% respectively.
Per Jing Daily, China’s luxury car buyers, particularly younger consumers, are placing greater emphasis on advanced technology, sustainability and digitally integrated lifestyles. Ferrari’s brand, built on heritage and exclusivity, appears misaligned with these evolving preferences. Although personalization is a global strength for the company, it has not been sufficiently tailored to Chinese cultural tastes and local expectations.
While the visibility of Formula 1 drivers helps generate attention, it does not translate into consistent, long-term sales momentum. Moreover, Ferrari’s absence in the electric vehicle segment represents a notable weakness in a market where new energy vehicles account for more than 40% of total new car sales.
Moreover, even as Ferrari lifted its long-term revenue ambition to roughly €9 billion ($10.4 billion) by 2030, the company now expects fully electric models to account for just 20% of its portfolio by that time, a reduction from its earlier 40% target. Hybrid vehicles are projected to represent another 40%, while the remaining share will continue to rely on internal combustion engines. Ferrari does not anticipate introducing a second electric model before at least 2028, pointing to limited demand for high-performance EVs.
The Zacks Consensus Estimate for RACE’s 2025 sales and EPS implies year-over-year growth of 14.9% and 14.6%, respectively. EPS estimates for 2025 and 2026 have fallen 13 cents each in the past 30 days.
Valuation Check: F vs. RACE
On a valuation basis, F trades at a more attractive EV/EBITDA multiple than RACE. This suggests that, relative to its earnings before interest, taxes, depreciation, and amortization, Ford stock is priced more reasonably.
Conclusion
Overall, Ford appears to be the more compelling investment choice than Ferrari at this stage. Ford offers diversified revenue streams, broad market exposure, and multiple growth levers across trucks, hybrids, EVs, software, and commercial services. Its strong recent stock performance reflects improving investor confidence, supported by solid revenue growth, a resilient product mix, and expanding high-margin businesses like Ford Pro.
Strategic initiatives, such as the Universal EV Platform, battery investments and the partnership with Renault, strengthen Ford’s long-term positioning in both North America and Europe, while its hybrid-first approach reduces risk amid uneven EV adoption. Also, the consensus estimate points to robust earnings growth through 2026, and the stock trades at a more attractive valuation relative to peers.
By contrast, Ferrari’s reliance on exclusivity and limited volumes constrains its growth potential. While the brand remains profitable, recent share price weakness, declining shipments in key regions like China and a cautious stance on electrification raise concerns. Ferrari’s slower EV rollout further clouds its outlook. For investors seeking scalable growth, reasonable valuation and clearer long-term catalysts, Ford stands out as the stronger option. F sports a Zacks Rank #1 (Strong Buy), while RACE has a Zacks Rank #5 (Strong Sell) at present.
You can see the complete list of today’s Zacks Rank #1 stocks here.
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Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.
Today you can access their live picks without cost or obligation.
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Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index.Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.