Designs and engineers luxury performance sports cars. Produces sports cars, GT cars, and special series cars. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
This is an established company with proven profits.
The gap is $1.6B. In times of high interest rates, a gap like that can squeeze a company.
The market pays 39.3× for every dollar this company earns in a year — a price that already assumes things go well.
Against companies in its own sector, it looks cheaper than 19% of them.
Analysts' average target sits 14% above today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
A solid grade overall — yet the debt outweighs the cash. The strength here comes from earnings power.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Valuation: The stock trades at a price that looks expensive next to its earnings; that can cap future returns.
The stock trades 20% below its peak. The market has trimmed its expectations for the company.
The net profit margin is 22% — still a thick cushion, though costs have been eating into it lately.
Over the last 4 years, sales grew about 14% a year on average.
It met or beat analyst expectations in 8 of the last 8 quarters — consistency is a promise kept.
The company’s market value is 39 times its annual profit. Even a small disappointment could hit the price hard.
Today’s price already includes part of tomorrow’s optimism. Report-card grade: 19/100.
On our five-subject report card, RACE sits near the top of the class. A high grade doesn’t mean “guaranteed win” — it means “the evidence looks strong for now.”
The takeaway: RACE is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s whether the price paid for the stock is too high.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.