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Ferrari NV (Ferrari NV) PS Ratio : 11.85 (As of Apr. 25, 2024)


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What is Ferrari NV PS Ratio?

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Ferrari NV's share price is $420.33. Ferrari NV's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $35.46. Hence, Ferrari NV's PS Ratio for today is 11.85.

Warning Sign:

Ferrari NV stock PS Ratio (=12) is close to 10-year high of 12.28

The historical rank and industry rank for Ferrari NV's PS Ratio or its related term are showing as below:

RACE' s PS Ratio Range Over the Past 10 Years
Min: 2.11   Med: 7.45   Max: 12.28
Current: 11.54

During the past 12 years, Ferrari NV's highest PS Ratio was 12.28. The lowest was 2.11. And the median was 7.45.

RACE's PS Ratio is ranked worse than
96.56% of 1280 companies
in the Vehicles & Parts industry
Industry Median: 0.84 vs RACE: 11.54

Ferrari NV's Revenue per Sharefor the three months ended in Dec. 2023 was $9.18. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $35.46.

Good Sign:

Ferrari NV has shown predictable revenue and earnings growth.

During the past 12 months, the average Revenue per Share Growth Rate of Ferrari NV was 18.20% per year. During the past 3 years, the average Revenue per Share Growth Rate was 20.80% per year. During the past 5 years, the average Revenue per Share Growth Rate was 12.70% per year. During the past 10 years, the average Revenue per Share Growth Rate was 8.60% per year.

During the past 12 years, Ferrari NV's highest 3-Year average Revenue per Share Growth Rate was 20.80% per year. The lowest was 1.20% per year. And the median was 8.60% per year.

Back to Basics: PS Ratio


Ferrari NV PS Ratio Historical Data

The historical data trend for Ferrari NV's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Ferrari NV PS Ratio Chart

Ferrari NV Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.36 10.11 9.84 7.19 9.28

Ferrari NV Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7.19 8.53 9.89 8.75 9.28

Competitive Comparison of Ferrari NV's PS Ratio

For the Auto Manufacturers subindustry, Ferrari NV's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ferrari NV's PS Ratio Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Ferrari NV's PS Ratio distribution charts can be found below:

* The bar in red indicates where Ferrari NV's PS Ratio falls into.



Ferrari NV PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Ferrari NV's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=420.33/35.459
=11.85

Ferrari NV's Share Price of today is $420.33.
Ferrari NV's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $35.46.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Ferrari NV  (NYSE:RACE) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Ferrari NV PS Ratio Related Terms

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Ferrari NV (Ferrari NV) Business Description

Address
Via Abetone Inferiore n. 4, Maranello, ITA, I-41053
Ferrari engineers and manufactures some of the world's most expensive exotic sports cars. The Ferrari brand is synonymous with Formula One racing, exclusivity, Italian design, and state-of-the-art technology. Ferrari also has a captive finance company that provides funding for dealers and clients. In 2022, Europe, Middle East, and Africa accounted for 48% of revenue, the Americas was 28%, China was 12%, and the rest of Asia was 12%.