Ferrari NVRACE -0.29%94 10-Year RORE % is 18.32 as of Mar. 2026. GuruFocus rates RACE with a GF Score™ of 94/100 and a GF Value™ of $495.74 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 877 Vehicles & Parts companies, Ferrari NV ranks better than 70.92% on this metric.
Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Ferrari NV's 10-Year RORE % for the quarter that ended in Mar. 2026 was 18.32%.
The industry rank for Ferrari NV's 10-Year RORE % or its related term are showing as below:
RACE's 10-Year RORE % is ranked better than 70.92% of 877
companies
in the Vehicles & Parts industry
Industry Median: 5.37
vs RACE: 18.32
Ferrari NV (NYSE:RACE) 10-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 10-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Ferrari NV 10-Year RORE % Related Terms
Ferrari NV 10-Year RORE % Historical Data
* Premium members only.
The historical data trend for Ferrari NV's 10-Year RORE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Auto Manufacturers subindustry, Ferrari NV's 10-Year RORE %, along with its competitors' market caps and 10-Year RORE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Ferrari NV 10-Year RORE % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Ferrari NV's 10-Year RORE % distribution charts can be found below:
* The bar in red indicates where Ferrari NV's 10-Year RORE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of 10-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Mar. 2026 and 10-year before.
Ferrari NV (RACE) has a 10-Year RORE % of 18.32 as of Mar. 2026. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on Ferrari NV and its competitors. According to the industry distribution chart, Ferrari NV ranks #255 out of 877 companies in the Vehicles & Parts industry, placing it in the top 29.1%.
Is Ferrari NV's 10-Year RORE % too high?
Ferrari NV's current 10-Year RORE % is 18.32. The Vehicles & Parts industry median 10-Year RORE % is 5.37. Ferrari NV's value of 18.32 is 241.2% above this industry median. Based on the distribution chart, Ferrari NV ranks #255 out of 877 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Ferrari NV has a GF Score™ of 94/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ferrari NV's 10-Year RORE % compare to TSLA and GM?
According to the Vehicles & Parts industry distribution chart, Ferrari NV ranks #255 out of 877 companies for 10-Year RORE %. This puts Ferrari NV in the upper half of its industry. The industry median 10-Year RORE % is 5.37. Ferrari NV's value of 18.32 is 241.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 10-Year RORE % for a Vehicles & Parts company?
The median 10-Year RORE % among Vehicles & Parts companies is 5.37, based on 877 companies in the industry. Companies in the top quartile (top 25%) have a 10-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 10-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ferrari NV's current 10-Year RORE % of 18.32 is 241.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 10-Year RORE % mean?
A high 10-Year RORE % can signal that a stock is expensive relative to its fundamentals. 10-Year RORE % shows how much a company earns by reinvesting its retained earnings in 10-year. View historical data on Ferrari NV and its competitors. For the Vehicles & Parts industry, the median 10-Year RORE % is 5.37 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ferrari NV's current 10-Year RORE % is 18.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ferrari NV stock overvalued right now?
Based on GuruFocus' analysis, Ferrari NV (RACE) is currently considered Modestly Undervalued. The stock's GF Value™ is $495.74, compared to a current price of $371.21 — trading 25.1% below its estimated fair value. The current 10-Year RORE % is 18.32 and 241.2% above the Vehicles & Parts industry median of 5.37. Ferrari NV's overall GF Score™ is 94/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 10-Year RORE % calculated?
10-Year RORE % is calculated from a company's financial statements. For Ferrari NV (RACE), the current 10-Year RORE % is 18.32 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Ferrari NV (RACE) Overvalued in 2026?
Based on GuruFocus' analysis, Ferrari NV stock appears to be undervalued.
The current stock price of $371.21 is trading 25.1% below its estimated GF Value™ of $495.74.
GuruFocus considers Ferrari NV to be Modestly Undervalued.
Key valuation signals for RACE:
10-Year RORE %: 18.32
GF Value™: $495.74 vs. price of $371.21 (25.1% below fair value)
Industry Position: 241.2% above the Vehicles & Parts median (#255 of 877)
No single metric tells the full story. See the RACE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ferrari designs, engineers, and manufactures some of the world's most expensive luxury cars. With supply carefully controlled to be below demand and a brand steeped in decades of motor racing history, a Ferrari is viewed as a status symbol. In 2025, the company sold 13,640 vehicles at an average price over EUR 520,000 with more than 80% of its vehicles being sold to existing Ferrari clients. Eighty-four percent of revenue is generated from the sale of cars and spare parts and 10% from sponsorship, commercial, and brand activities including racing and lifestyle activities. In 2025, the Europe, Middle East, and Africa region accounted for 49% of revenue, the Americas was 32%, mainland China, Hong Kong, and Taiwan was 7%, and the rest of Asia was 12%.
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10-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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