Ferrari’s $535K EV Is So Hot, Even Morgan Stanley Can’t Skip the 2-Year Wait

Ferrari is the iconic Italian carmaker known for churning out supercars that you could trade in to buy a small island. But instead of just sticking to what they know best (gas-guzzling, ear-splitting machines), Ferrari is taking a sharp turn into the world of electric vehicles (EVs). That’s right, the prancing horse is about to plug in. 

First off, Ferrari’s EV won’t be your average electric vehicle. It’s not some mass-market car like a Tesla Model 3 or a Nissan Leaf. We’re talking about a $535,000 electric masterpiece. Yeah, that’s more than half a million bucks to silently zip around town. You could buy a house or, you know, a silent Ferrari. Choices. 

But here's the part that really matters: Ferrari isn’t banking on selling to middle class america. They know their audience, and their buyers probably don’t even blink at a price tag like that. These are the same people who’ll buy a yacht while sipping champagne, probably from a bottle worth more than my car. And that’s where Ferrari’s strategy comes in—Exclusivity. They’re masters at keeping demand high and supply just low enough that their cars are like unicorns—hard to find, impossible to forget.

And guess what? Ferrari’s order book is stacked all the way into 2026. Yes, you heard that right—demand is so high that buyers are lined up like it’s the opening day for the latest iPhone release (except this year of course). With expectations for a net revenue surge to $7.09 billion in 2024, you can practically hear the cash registers ringing.

Ferrari's profit margins are absolutely insane compared to other automakers. We’re talking 27% operating margins, while brands like Volkswagen and Ford are scraping by with single digits (Volkswagen’s sitting around 7%, and Ford? A measly 3%). For comparison, even Porsche—a luxury car king in its own right—barely touches 20%. 

And while everyone else is stressing about supply chain issues or getting hit by inflation, Ferrari just cranked up their prices and shrugged. Their clientele couldn’t care less if the economy’s in a tailspin. Recession? What recession? As long as they can still get their hands on that $2.2 million Daytona SP3 or the upcoming EV Ferrari, they’re good.

Now, here’s the fun part for investors. Ferrari’s stock is on fire this year, up 40%, and it’s showing no signs of slowing down. The company’s been growing like clockwork, with revenue increasing at a 10% compound annual growth rate (CAGR) since it went public in 2015. And if you had tossed $10,000 into Ferrari back then—You’d be sitting on over $91,000 today. Not bad for a company that delivers fewer than 15,000 cars a year.

And with Ferrari rolling out its first fully electric supercar by the end of 2025, the hype is real. They’re expected to pump out 22,000 cars per year once production gets into full swing, which is a big leap from their current delivery numbers. Even though other EV makers are struggling to bring prices down, Ferrari’s like, “Nah, we’re good over here with our half-a-million-dollar price tag.”

Sure, Ferrari’s stock isn’t exactly cheap. Trading at a price-to-earnings ratio (P/E) of 55, it’s on the higher end of the scale, but honestly, when you’re buying into a brand like this, it’s kind of expected. Morgan Stanley even raised their price target for Ferrari to $520, which means analysts are banking on even more growth. And with Ferrari aiming to increase its EBITDA margin to 40% in the next few years, the future’s looking fast and furious (but like, in a good, non-Vin Diesel way).

Look, Ferrari’s not your typical “value” play. But if you’re looking for a stock that has resilience, exclusivity, and ridiculous margins that make everyone else jealous, Ferrari’s a solid bet. They’re tapping into the EV market in a way only Ferrari can—with insane price tags, ultra-luxury, and a brand that can command whatever price they feel like slapping on it. If you’re into owning a piece of the most iconic car brand on the planet and watching it evolve into the future of electric supercars, it just might be worth opening the door and jumping in.

PS: We failed. Yep, you read that right. We didn’t hit our usual triple-digit target. Instead, our Wednesday pick only shot up 60%. Is that a letdown? Maybe for perfectionists, but to be honest, we’ll still take it. Want in on our next potential 100%+ winning trade alert? Click here to become a premium member.

Stocks.News has positions in Ferrari, Tesla, and Ford.