UBS raised its price target on Ferrari (NYSE: RACE) to $563 from $554 while maintaining a Buy rating.
The firm said Ferrari’s targets at its prior capital markets day were intentionally conservative, emphasizing brand scarcity and a disciplined pricing strategy—an approach it said contrasted with missteps by other luxury peers. UBS expects 2026 growth to be weighted toward the second half, with organic sales expected to rise 6% in the first half and 10% in the second.
UBS argued that 2026 could be a pivotal year in demonstrating that mid-single-digit annual revenue growth and a 40% EBITDA margin by 2030 should not be considered overly optimistic. Addressing investor concerns regarding the durability of Ferrari’s business model would help strengthen its position as one of the luxury sector’s most compelling long-term growth stories, the analyst said.
The firm added that Ferrari’s shares continue to trade at about a 30% discount to RMS, at the lower end of the stock’s five-year valuation range, and could re-rate higher even as investors shift toward more cyclical names on expectations of a broader luxury rebound.
