Ferrari's Scarcity Strategy for Profit Growth by 2030
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6d ago
0mins
Source: Fool
- Scarcity Advantage: Ferrari's strategy of producing 'one car less than demand' ensures high pre-sold orders and resale values, stabilizing its business model and enhancing brand value, which is expected to continue through 2030.
- Electrification Challenge: Ferrari plans to introduce internal combustion, hybrid, and fully electric vehicles by 2030, viewing electrification as a test of brand scarcity, where success hinges on maintaining emotional distinctiveness rather than pursuing volume.
- Monetizing Customer Relationships: By 2030, Ferrari is expected to rely more on long-term monetization of customer relationships through personalization, restoration, and racing experiences, leading to higher margins and increased customer loyalty rather than one-time sales.
- Importance of Management Discipline: Ferrari's scarcity strategy requires management to resist short-term growth temptations and avoid rapid model line expansions, ensuring the brand's uniqueness and sustained long-term value growth.
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Analyst Views on RACE
Wall Street analysts forecast RACE stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for RACE is 448.83 USD with a low forecast of 349.74 USD and a high forecast of 555.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
11 Buy
3 Hold
1 Sell
Moderate Buy
Current: 333.460
Low
349.74
Averages
448.83
High
555.00
Current: 333.460
Low
349.74
Averages
448.83
High
555.00
About RACE
Ferrari NV, known as Ferrari, is an Italy-based designer, manufacturer and retailer of sports cars that is incorporated in the Netherlands. It operates under the Ferrari brand. Its sports cars portfolio includes, among others, F12berlinetta, FF, Ferrari 488 GTB, 488 Spider, 458 Speciale, Ferrari California T, F12tdf and LaFerrari. The Company also offers financing services through Ferrari Financial Services. It also produces limited series and one-off cars. The Company divides its regional markets in EMEA (Europe, the Middle East, India and Africa), Americas, Greater China and Rest of APAC (Asia-Pacific region, excluding Greater China) and is active in over 60 markets worldwide through a network of authorized dealers.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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Ferrari (RACE) Stock Viewed as Strong Buy After Double-Digit Sell-Off
- Stock Sell-Off Analysis: Ferrari's stock experienced a double-digit sell-off on January 22, 2026, leading analysts to view this as a prime buying opportunity, likely attracting more long-term investors.
- Market Confidence Rebuilding: Despite short-term volatility, analysts maintain an optimistic outlook on Ferrari's growth potential, believing that its brand value and market positioning will continue to drive stock price recovery, thereby boosting investor confidence.
- Financial Performance Outlook: Ferrari's financial health remains strong, with expectations of stable revenue growth in the coming quarters, which analysts believe will provide robust support for the stock price and attract institutional investor interest.
- Investor Strategy Recommendation: Analysts recommend that investors increase their positions in Ferrari stock at the current depressed price levels, anticipating substantial returns when the market rebounds, reflecting confidence in the company's long-term development.
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