WallStSmart

Ferrari NV (RACE)vsTesla Inc (TSLA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Tesla Inc generates 1239% more annual revenue ($94.83B vs $7.08B). RACE leads profitability with a 22.6% profit margin vs 4.0%. RACE appears more attractively valued with a PEG of 3.67. RACE earns a higher WallStSmart Score of 52/100 (C-).

RACE

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 9.0Value: 4.7Quality: 8.0
Piotroski: 4/9Altman Z: 2.81

TSLA

Avoid

23

out of 100

Grade: F

Growth: 3.3Profit: 4.0Value: 2.0Quality: 7.5
Piotroski: 3/9Altman Z: 2.45
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RACESignificantly Overvalued (-215.2%)

Margin of Safety

-215.2%

Fair Value

$121.49

Current Price

$330.47

$208.98 premium

UndervaluedFair: $121.49Overvalued
TSLASignificantly Overvalued (-5251.2%)

Margin of Safety

-5251.2%

Fair Value

$7.34

Current Price

$392.78

$385.44 premium

UndervaluedFair: $7.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RACE5 strengths · Avg: 8.8/10
Return on EquityProfitability
45.0%10/10

Every $100 of equity generates 45 in profit

Market CapQuality
$60.04B9/10

Large-cap with strong market position

Profit MarginProfitability
22.6%9/10

Keeps 23 of every $100 in revenue as profit

Operating MarginProfitability
28.3%8/10

Strong operational efficiency at 28.3%

Free Cash FlowQuality
$1.41B8/10

Generating 1.4B in free cash flow

TSLA3 strengths · Avg: 9.0/10
Market CapQuality
$1.50T10/10

Mega-cap, among the largest globally

Debt/EquityHealth
0.109/10

Conservative balance sheet, low leverage

Free Cash FlowQuality
$1.42B8/10

Generating 1.4B in free cash flow

Areas to Watch

RACE4 concerns · Avg: 3.5/10
P/E RatioValuation
31.6x4/10

Premium valuation, high expectations priced in

Price/BookValuation
13.2x4/10

Trading at 13.2x book value

EPS GrowthGrowth
2.9%4/10

2.9% earnings growth

PEG RatioValuation
3.672/10

Expensive relative to growth rate

TSLA4 concerns · Avg: 3.3/10
Price/BookValuation
17.9x4/10

Trading at 17.9x book value

Return on EquityProfitability
4.9%3/10

ROE of 4.9% — below average capital efficiency

Profit MarginProfitability
4.0%3/10

4.0% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : RACE

The strongest argument for RACE centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 22.6% and operating margin at 28.3%.

Bull Case : TSLA

The strongest argument for TSLA centers on Market Cap, Debt/Equity, Free Cash Flow.

Bear Case : RACE

The primary concerns for RACE are P/E Ratio, Price/Book, EPS Growth.

Bear Case : TSLA

The primary concerns for TSLA are Price/Book, Return on Equity, Profit Margin. A P/E of 369.7x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

RACE profiles as a mature stock while TSLA is a value play — different risk/reward profiles.

TSLA carries more volatility with a beta of 1.93 — expect wider price swings.

RACE is growing revenue faster at 7.4% — sustainability is the question.

TSLA generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

RACE scores higher overall (52/100 vs 23/100), backed by strong 22.6% margins. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Ferrari NV

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Ferrari NV designs, designs, produces and sells high performance sports cars. The company is headquartered in Maranello, Italy.

Tesla Inc

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Tesla, Inc. is an American electric vehicle and clean energy company based in Palo Alto, California. Tesla's current products include electric cars, battery energy storage from home to grid-scale, solar panels and solar roof tiles, as well as other related products and services. In 2020, Tesla had the highest sales in the plug-in and battery electric passenger car segments, capturing 16% of the plug-in market (which includes plug-in hybrids) and 23% of the battery-electric (purely electric) market. Through its subsidiary Tesla Energy, the company develops and is a major installer of solar photovoltaic energy generation systems in the United States. Tesla Energy is also one of the largest global suppliers of battery energy storage systems, with 3 GWh of battery storage supplied in 2020.

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