Ferrari drops 5.12% after the release of record first quarter results, which RBC Capital believes are in line with expectations, adding that the company has maintained its guidance for 2022. Despite the many problems for the automotive sector, it is not Growth stops for Ferrari which closed the first quarter of 2022 with double-digit growth.
In the first three months of 2022 they were 3,251 units delivered with a growth of 17.3% (or 480 units) compared to the first quarter of 2021. The deliveries of the quarter were driven by the Ferrari Roma and the SF90 family, together with Portofino M. The quarterly deliveries reflected the choices of geographic allocation in response to the congestion of the ports encountered in the first months of the year. Consequently, the EMEA region had a 19.5% increase in deliveries, while the Americas fell by 12.8%. The46.9% increase in deliveries to China Continentale, Hong Kong and Taiwan.
I Net revenues of the Maranello house were found to be equal to 1.186 billion euros (+ 17.3% compared to the first quarter of 2021); this is thanks to an 18.3% increase in revenues from the sale of cars and spare parts.
Ebitda was 423 million euros, slightly below the analyst consensus of 425 million euros, but up 12.5% over the previous year; with an EBITDA margin of 35.6%. The positive change is mainly due to the contribution deriving from the richer product mix, thanks to the SF90 family and customizations.
The prancing horse closed the first three months of the year with a net profit of 239 million euros, up 16.4% compared to the previous year with diluted earnings per share of € 1.29.
The free cash flow generation of 299 million euros was very strong, driven by Ebitda and the collection of advances for the Daytona SP3 and for the 812 Competizione A.
As of March 31, 2022, a net industrial debt of 136 million eurosdown compared to 297 million euros at 31 December 2021. Finally, as at 31 March 2022 the total liquidity available was 2,162 million euros.
On April 13, 2022, the shareholders’ meeting approved the proposal to distribute a dividend of € 1.362 per share and will be paid on May 6, 2022.
Ferrari confirmed its forecasts for the year made three months ago, including one for an adjusted EBITDA of between 1.65 and 1.70 billion euros.
Upside potential of 12.3%
Looking at the consensus su Bloomberg we see how 39.1% of analysts following the stock have a bullish view (Buy), 9 say they keep the stock in their portfolio while 5 have a bearish view on Ferrari. The 12-month target price is € 222, which implies a potential return of 12.3% compared to the current listing on the Milan stock exchange.
“The first quarter was characterized by a record level of revenues, EBITDA and industrial free cash flow, the latter almost doubled to around 300 million Euros, thanks in particular to the collection of advances on the Daytona SP3. commented the managing director Benedetto Vigna.
The technical point:
Graphically, Ferrari’s technical picture is weakening, especially after today’s test, which was immediately rejected by the car market. bearish trendline built from the end of 2021 and confirmed also in April of this year. Now the prices have the 200-period moving average was also cut down and in case of continuation of the weakness the next support levels that could support the prices are first at quota 192 euro. A drop in prices below the support at 188 euros which could favor an extension towards 176 euros. On the upside in addition to the resistance given by the moving average at 200 (to 201 euros) and the bearish trendline, the static resistances are found first at 206 euros and then at 213 euros per share.