In 2025, Ferrari demonstrated that its scarcity-driven model remains intact. Shipments were broadly flat year-over-year, yet total revenue increased by approximately 5% thanks to a richer product mix and higher personalization fees. Disciplined pricing lifted average selling prices by around 4%, driving EBITDA margins into the high-30% range for the first nine months and pushing operating margins closer to 30%. These figures reinforce that Ferrari’s financial growth derives from value extraction per vehicle rather than volume expansion.

Management entered 2025 with a clear medium-term framework, reaffirming targets of steady annual revenue growth and expanding margins without pursuing aggressive unit volume. Free cash flow generation remained robust, exceeding €1.2 billion through the first three quarters. Ferrari also reiterated its 2030 ambition of roughly €9 billion in revenue and EBITDA margins of about 40%. This realistic posture traded short-term excitement for long-term credibility, emphasizing disciplined execution over lofty promises.

Ferrari confirmed its first fully electric model will debut in 2026 and outlined a 2030 powertrain split of roughly 40% internal combustion, 40% hybrid and 20% fully electric. By prioritizing brand heritage—sound, emotion and driving feel—over rapid electrification, the company protected its equity. Capital allocation in 2025 reflected this approach, with R&D investment focused equally on hybrid development and pure-electric architecture, amounting to nearly €350 million.

Trading at around 38 times 2025 consensus earnings, Ferrari’s premium valuation leaves little margin for error. Throughout the year, each strategic update and forecast adjustment led to notable share price swings, underscoring investor scrutiny. As macro uncertainty persists, long-term holders must weigh the risk of any underperformance against the resilience of Ferrari’s luxury economics, mindful that future upside hinges on flawless execution against elevated expectations.