From Yahoo Finance: 2025-06-09 14:25:00

Ferrari N.V. (RACE) was trading at $482.61 on June 6th, with trailing and forward P/E ratios of 47.96 and 46.51 respectively. Porsche struggles to convince investors it’s a luxury brand, while Ferrari’s effortless exclusivity and brand value lead to its premium status in the market.

Porsche’s 2022 IPO highlighted its ties to Volkswagen and the Porsche-Piëch dynasty, diluting its equity story. In contrast, Ferrari’s 2015 spin-off from Fiat Chrysler offered investors direct access to the brand, free from holding company baggage. Ferrari’s identity as a luxury icon drives its market value, while Porsche is still perceived as a car company.

Axon (AXON) presents a bullish thesis with its AI-driven ecosystem for law enforcement and strong recurring revenue. While Axon’s premium valuation is notable, its high-margin TASER segment, cloud offerings, and clean balance sheet position it as a long-term compounder. Ferrari (RACE) offers a different appeal based on brand purity rather than growth mechanics.

Despite not being on the list of the 30 Most Popular Stocks Among Hedge Funds, 51 hedge fund portfolios held RACE at the end of the first quarter. While acknowledging the potential of RACE as an investment, some AI stocks may offer greater promise for higher returns with limited downside risk. Those seeking an inexpensive AI stock that benefits from Trump tariffs should explore a free report on the best short-term AI stock.



Read more at Yahoo Finance: Ferrari N.V. (RACE): A Bull Case Theory