Ferrari's value now higher than Ford or GM - $30.1 billion

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What does this tell us? That the rich get richer. Coronavirus be damned Ferrari is insulted from the downturn with business taking just a 1% hit. This is despite Ferrari factories not producing new cars. There is still tremendous demand for Ferraris.

For Ford and GM? Not so much. They are bleeding money. That does mean they likely (hopefully) will recover when the economy opens back up and likely will surpass Ferrari but it is amazing to see a low volume luxury manufacturer like Ferrari swat off the Coronavirus like it is nothing.

The brand's strength is incredible:

Even though Ferrari makes only 10,000 cars a year, compared with General Motors’ production of about 7.7 million vehicles last year, investors are betting that Ferrari’s storied brand name and hefty prices and profit margins are likely to power the stock through the coronavirus crisis better than other auto brands.

Ferrari’s market capitalization hit $30.1 billion in early trading Monday, after settling back to $29.8 billion later in the day. General Motors’ market cap fell to under $29.3 billion while Ford’s fell to $19.2 billion. Fiat Chrysler, which spun out Ferrari in 2015, has seen its market cap decline to under $13 billion. Ferrari’s share price has more than tripled since it went public.

While Ferrari reduced its earnings forecast for the year, and warned of continued weakness from its Formula One business and other segments in the second quarter, investors were cheered by its relatively mild revisions to the year ahead.

Ferrari is only getting stronger.

Source

[Blown6]

Ferrari is the BEST!