Ferrari Unveils First Electric Vehicle, Shares Slide

Ferrari S.p.A. unveiled its first fully electric vehicle, the Ferrari Luce, in Rome on May 25, 2026. The name Luce translates to "light" and was chosen, according to the company, to "evoke clarity and direction."

The launch marks a departure from Ferrari's typical aesthetic as the company enters the all-electric market.

Stock Performance

Following the announcement, Ferrari shares fell sharply.

• On the Milan exchange, shares dropped 6.1% from the previous close. The stock has declined nearly 27% over the past 12 months.
• On the Nasdaq, shares fell up to 6%. Over the past three months, the stock has declined approximately 13%, according to market data.

Financial Results and Guidance

Prior to the launch, Ferrari reported first-quarter earnings that exceeded analyst expectations. The company maintained its full-year guidance for 2026.

Key financial results for Q1 2026 (compared to LSEG estimates):

Total deliveries for the quarter were 3,436 units, down 4.4% year-over-year. Ferrari attributed the decline to a planned production slowdown for model change-over. The company stated deliveries were not affected by the Middle East conflict, as it redirected some units to other regions.

2026 full-year guidance includes:

• Net revenues: €7.5 billion
• Adjusted operating profit: at least €2.22 billion
• Adjusted EPS: €9.45
• Industrial free cash flow: €1.5 billion or more

Analyst Views

According to LSEG data, 11 of 13 analysts rate Ferrari as buy or strong buy.

Evercore ISI analyst Michael Binetti rates Ferrari as outperform with a $475 target price (36% upside). Binetti noted that initial reactions may fuel the bear case, but the car is likely sold to new clients not yet part of Ferrari's client base.

Bernstein analyst Stephen Reitman rates Ferrari as outperform with a 12-month price target of $402 (15% upside). Reitman suggested that if Ferrari builds the car, clients will come.

Public Reaction

Some social media users criticized the design of the Luce. For example, one X user described it as "one of the ugliest EV designs ever."

Context

Ferrari CEO Benedetto Vigna described the launch as a "very, very important day" and the beginning of "a new chapter" for the company. Vigna also said the Luce combines tradition and innovation, and that anticipation is high ahead of its premiere.

Demand for luxury electric cars remains low.

Ferrari did not respond to a request for comment.