RACE Stock Recent News

Investors interested in Automotive - Original Equipment stocks are likely familiar with OPENLANE (KAR) and Ferrari (RACE). But which of these two stocks offers value investors a better bang for their buck right now?

The auto industry is in distress but not extreme distress; stable companies with low valuations like Toyota, Honda, and Li Auto are likely to outperform. Despite recent selloffs, markets remain richly priced; value investing may now have a chance to redeem itself, especially in distressed industries. Established automakers face declining margins and sales, while newer EV manufacturers see rising sales but flat or negative profits.

Depending on whom you ask or what financial institution you listen to, the current odds of a U.S. recession in the near term fall roughly between 45% to 60%. The probability has been on the rise of late thanks largely to increased trade policy uncertainty and a potential slowdown in global growth due to U.S. tariffs.

Maranello (Italy), 16 April 2025 - Ferrari N.V. (“Ferrari” or the “Company”) (NYSE/EXM: RACE) announced today that all resolutions proposed to Shareholders at the Ferrari's Annual General Meeting of Shareholders (the “AGM”) held today in Amsterdam, the Netherlands, were passed.

Luxury sportscar maker Ferrari will continue to develop petrol, hybrid and full-electric vehicles, its Chief Executive Bendetto Vigna said on Wednesday during the company's annual shareholders' meeting.

Given how much news is swirling about this month regarding tariffs, you have likely heard about the 25% tariffs that the Trump administration slapped on all imported vehicles that began last week. On top of those steep import taxes, next month is scheduled to bring another 25% tariff on all automotive parts shipped in from outside the U.S. market.

The global luxury industry is bracing for its longest downturn in more than two decades, as Donald Trump's sweeping new tariffs fuel concerns of a worldwide recession. Hopes that affluent Americans might prop up the struggling sector are fading, with Wall Street analysts warning of sliding sales and profits across the $400-billion-a-year industry.

President Donald Trump's new tariffs will also apply to Ferrari cars ordered months ago but still not delivered to the United States, a spokesperson for the Italian luxury automaker said on Thursday.

RACE KEEPS MOVING HIGHER EVEN AS BROAD MARKET DECLINES

Ferrari (RACE) was a big mover last session on higher-than-average trading volume. The latest trend in earnings estimate revisions might not help the stock continue moving higher in the near term.