Deutsche Bank Raises Ferrari Target Price to 520 Euros

Summary

Deutsche Bank has upgraded Ferrari’s price target from 430 euros to 520 euros, citing the upcoming F80 supercar as a key growth driver expected to generate over 450 million euros in additional earnings. The bank also anticipates ambitious mid-term targets, including EBIT margins exceeding 30% and a 3 billion euro share buyback.Zhitong+ 2

Impact Analysis

So basically, Deutsche Bank is betting big on Ferrari’s future, particularly with the F80 supercar. The interesting part isn’t just the price target hike to 520 euros, but the underlying reasons. The F80 is expected to add over 450 million euros in earnings, which isn’t yet priced into the market consensus. This suggests a significant upside potential. Additionally, the upcoming Capital Markets Day is expected to reveal ambitious targets like EBIT margins over 30% and a 3 billion euro share buyback, which could further boost investor confidence and stock performance. The market’s initial reaction with a 2.3% rise to 420.9 euros shows some optimism, but there’s likely more room to run as these factors get fully priced in. Watch for further updates on the F80’s performance and the details from the Capital Markets Day for more cues on Ferrari’s trajectory.