Ferrari (NYSE:RACE) and Polestar Automotive Holding UK (NASDAQ:PSNY) Financial Comparison

Polestar Automotive Holding UK (NASDAQ:PSNY) and Ferrari (NYSE:RACE) are both auto/tires/trucks companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, dividends, risk, earnings, analyst recommendations, valuation and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations for Polestar Automotive Holding UK and Ferrari, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Polestar Automotive Holding UK	2	2	2	0	2.00
Ferrari	1	4	5	0	2.40

Polestar Automotive Holding UK currently has a consensus price target of $3.83, suggesting a potential upside of 185.82%. Ferrari has a consensus price target of $413.86, suggesting a potential downside of 3.82%. Given Polestar Automotive Holding UK’s higher possible upside, equities research analysts clearly believe Polestar Automotive Holding UK is more favorable than Ferrari.

Earnings and Valuation

This table compares Polestar Automotive Holding UK and Ferrari’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Polestar Automotive Holding UK	$2.46 billion	1.16	-$465.79 million	N/A	N/A
Ferrari	$6.46 billion	N/A	$1.36 billion	$7.45	57.76

Ferrari has higher revenue and earnings than Polestar Automotive Holding UK.

Insider & Institutional Ownership

1.0% of Polestar Automotive Holding UK shares are owned by institutional investors. 0.0% of Polestar Automotive Holding UK shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Volatility and Risk

Polestar Automotive Holding UK has a beta of 1.52, indicating that its share price is 52% more volatile than the S&P 500. Comparatively, Ferrari has a beta of 0.98, indicating that its share price is 2% less volatile than the S&P 500.

Profitability

This table compares Polestar Automotive Holding UK and Ferrari’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Polestar Automotive Holding UK	-25.83%	N/A	-21.58%
Ferrari	21.06%	43.84%	15.73%

Summary

Ferrari beats Polestar Automotive Holding UK on 7 of the 11 factors compared between the two stocks.

About Polestar Automotive Holding UK

Polestar Automotive Holding UK PLC manufactures and sells premium electric vehicles. The company was founded in 2017 and is headquartered in Gothenburg, Sweden.

About Ferrari

Ferrari N.V., through its subsidiaries, engages in design, engineering, production, and sale of luxury performance sports cars worldwide. The company offers range, special series, Icona, and supercars; limited edition supercars and one-off cars; and track cars. It also provides racing cars, and spare parts and engines, as well as after sales, repair, maintenance, and restoration services for cars; and licenses its Ferrari brand to various producers and retailers of luxury and lifestyle goods. In addition, the company operates Ferrari museums in Modena and Maranello; Il Cavallino restaurant in Maranello; and theme parks in Abu Dhabi and Spain. Further, it provides direct or indirect finance and leasing services to retail clients and dealers; manages racetracks; develops and sells a range of apparel and accessories; and operates franchised and owned Ferrari stores. The company also sells its products through a network of authorized dealers operating points of sale, as well as through its website. The company was founded in 1947 and is headquartered in Maranello, Italy.