Ferrari, an Italian luxury sports car manufacturer, reported a better-than-expected profit in the third quarter and forecasts this year’s earnings at the top of its previous guidance band, sending its shares up over 7% on Tuesday.
“Ferrari is entering a higher phase of growth and a tech transition that takes investor thinking beyond the limits of luxury goods comps. and can grow the super-luxury pie much faster and more sustainable than the market expects,” said Morgan Stanley’s equity analyst Adam Jonas, who raised his base-case forecast of an Italian luxury sports car manufacturer to $265 from $180.