The World's Top Electric Vehicle Stock Might Be Your Last Guess

The planetary automotive manufacture is driving toward a aboriginal of electrification -- it's conscionable a question of the gait astatine which each automaker is moving. China, for example, is acold up successful electrical conveyance (EV) improvement and infrastructure, and its new-vehicle marketplace is astir 50% new-energy vehicles.

Many investors deliberation of automakers specified arsenic Tesla and BYD when considering EV stocks, but the champion accidental successful EV stocks close present mightiness beryllium the automaker you slightest expect: racing juggernaut Ferrari (NYSE: RACE). Here's why.

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Few investors deliberation of Ferrari arsenic an EV stock, but that's a immense mistake. In fact, perceptive investors could person noticed the alteration successful the automaker's premix of income implicit the past fewer years.

Back successful 2022, Ferrari's shipments were 78% interior combustion motor and 22% hybrids. Fast-forward to the archetypal six months of 2025 and the breakdown for Ferrari shipments is astir 55% interior combusion motor and 45% hybrid.  While full-electric vehicles are inactive acold little profitable compared to their gasoline counterparts, Ferrari's surge successful hybrids hasn't slowed down its borderline gains implicit caller years.

RACE Operating Margin (TTM) information by YCharts.

Not lone is Ferrari rapidly accelerating its hybrid shipments, and doing truthful with expanding profitability, the institution is calculating erstwhile mightiness beryllium the close clip to debut its archetypal full-electric vehicle. The long-awaited EV from Ferrari is called the Elettrica. Whether investors similar it oregon not, it volition beryllium pivotal successful deciding Ferrari's gait diving into the aboriginal of EVs. Entering the full-EV marketplace excessively rapidly makes it costly to readjust later, arsenic automakers are uncovering out, portion being excessively precocious could beryllium costly by missing retired connected gathering its aboriginal cadre of enthusiasts.

"Luxury EVs are inactive a young and immature category," says Brian Lum, an concern manager astatine Baillie Gifford, according to Barron's. "It's important to physique that adjacent procreation of Ferraristi, and electrification should assistance them to bash that."

Ferrari arsenic an automaker is uniquely positioned with ferocious request for its products, a enactment of erstwhile customers waiting for the adjacent supercar to deed the market, margins that competitors tin lone imagination of generating, and a racing practice that tin powerfulness its marque to heights fewer attain. All of these positives travel astatine a cost, and that outgo is simply a premium terms for its banal compared to mainstream autos.