Ferrari Stock Speeds Up After Third-Quarter Beat

The equity sports affordably priced premiums at the moment

Digital Content Manager
Nov 3, 2020 at 10:59 AM
facebook X logo linkedin

The shares of Ferrari NV (NYSE:RACE) are up 6.5% at $195.04 at last check, after the luxury sports car manufacturer reported better-than-expected third-quarter earnings of $1.07 per share, and narrowed this year's guidance to the top end of its forecast. The company attributed the positive results to shipments finally recovering from a halt in production due to the coronavirus pandemic, adding that its order book is beating records and cancellation levels are low.

On the charts, the security has experienced unprecedented growth over the past year. And while shares have cooled off from an Aug. 26 all-time-high of $199.86, today's pop has helped the equity reclaim the 40-day moving average, which had briefly emerged as a ceiling, after a long period acting as support. In the last six months, RACE has gained 24.4%.

Analysts are split toward Ferrari stock, with three of the six in coverage carrying a tepid "hold" or worse rating, and the remaining three sporting a "buy" or better. Meanwhile, the 12-month consensus target price of $200.47 is a 3.2% premium to the equity's current perch.

Digging deeper, RACE could benefit from a short squeeze. Short interest is up 10.8% in the last two reporting periods, and the 1.75 million shares sold short account for 1.5% of the stock's available float. In other words, it would take more than eight days to buy back these bearish bets, at the equity's average pace of daily trading. 

Now certainly looks like a good time to take advantage of RACE options. The security's Schaeffer's Volatility Index (SVI) of 41% sits in the relatively low 28th percentile of all other annual readings, meaning the stock sports attractively priced premiums at the moment.


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI