Headquartered in Maranello, Italy, and founded in 1947, Ferrari N.V. (RACE), designs, engineers, produces and sells luxury performance sports cars, asserts Ned Piplovic, editor of StockInvestor.
In addition to its racing and vehicle manufacturing operations, Ferrari licenses its brand to various producers and retailers of luxury and lifestyle goods. Furthermore, the company operates two Ferrari-themed amusement parks — Ferrari World in Abu Dhabi and Ferrari Land near Barcelona.
Since opening its first Ferrari Store retail location in Maranello in 2002, the company has expanded its operations to approximately 50 stores worldwide, including locations in Los Angeles and Miami. Moreover, the company operates a network of 180 dealerships in 60 markets globally.
Ferrari outperformed revenue and earnings expectations for the third quarter this year, which provided the necessary boost to accelerate the company’s share price to a new all-time high that is just short of the $170 level.
At the third quarterly pit stop of the year, Ferrari reported double-digit growth across nearly all categories. For the first three quarters in 2019, Ferrari managed to produce and ship 13% more units – 7,755 through end of September 2019 versus 6,853 in the same period last year.
In light of the cumulative results over the first three periods, the company boosted its outlook for full-year 2019 expectations. The company raised its net revenues expectations 5.7% to $4.1 billion (3.7 billion euro).
The company also raised its EPS expectations for full-year 2019 above the upper limit of the originally budgeted range between $3.89 (3.50 euro) and $4.11 (3.70 euro). The revised EPS expectations are between $4.11 (3.70 euro) and $4.17 (3.75 euro).
Ferrari’s performance so far in 2019 should provide enough confidence that the company might carry its current momentum and maintain a pace which will enable it to deliver a strong finish all the way to the checkered flag at the end of the year.
