Financial Survey: Bayerische Motoren Werke Aktiengesellschaft (OTCMKTS:BMWYY) vs. Ferrari (NYSE:RACE)

Ferrari (NYSE:RACE) and Bayerische Motoren Werke Aktiengesellschaft (OTCMKTS:BMWYY) are both large-cap consumer discretionary companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, institutional ownership, valuation, profitability, risk, analyst recommendations and dividends.

Profitability

This table compares Ferrari and Bayerische Motoren Werke Aktiengesellschaft’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ferrari	22.29%	42.83%	16.68%
Bayerische Motoren Werke Aktiengesellschaft	6.90%	11.39%	4.19%

Insider & Institutional Ownership

0.0% of Bayerische Motoren Werke Aktiengesellschaft shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Ferrari and Bayerische Motoren Werke Aktiengesellschaft”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ferrari	$8.08 billion	12.18	$1.81 billion	$10.77	39.08
Bayerische Motoren Werke Aktiengesellschaft	$168.28 billion	0.31	$12.22 billion	$4.67	6.25

Bayerische Motoren Werke Aktiengesellschaft has higher revenue and earnings than Ferrari. Bayerische Motoren Werke Aktiengesellschaft is trading at a lower price-to-earnings ratio than Ferrari, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Ferrari has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500. Comparatively, Bayerische Motoren Werke Aktiengesellschaft has a beta of 1.1, meaning that its share price is 10% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Ferrari and Bayerische Motoren Werke Aktiengesellschaft, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ferrari	0	6	10	3	2.84
Bayerische Motoren Werke Aktiengesellschaft	0	0	0	0	0.00

Ferrari currently has a consensus price target of $477.15, indicating a potential upside of 13.38%. Given Ferrari’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Ferrari is more favorable than Bayerische Motoren Werke Aktiengesellschaft.

Summary

Ferrari beats Bayerische Motoren Werke Aktiengesellschaft on 10 of the 14 factors compared between the two stocks.

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.

About Bayerische Motoren Werke Aktiengesellschaft

Bayerische Motoren Werke Aktiengesellschaft, together with its subsidiaries, engages in the development, manufacture, and sale of automobiles and motorcycles, and spare parts and accessories worldwide. It operates through Automotive, Motorcycles, and Financial Services segments. The Automotive segment engages in the development, manufacture, assembling, and sale of automobiles, spare parts, accessories, and mobility services under the BMW, MINI, and Rolls-Royce brands. The Motorcycles segment develops, manufactures, assembles, and sells motorcycles and scooters under the BMW Motorrad brand, as well as spare parts and accessories. The Financial Services segment is involved in the automobile and motorcycle leasing, credit financing, retail and dealership financing, multi-brand fleet, customer deposit, and insurance activities; and the provision of fleet management services under the Alphabet brand. The company sells its products through independent dealerships. Bayerische Motoren Werke Aktiengesellschaft was founded in 1916 and is headquartered in Munich, Germany.