Barclays upgrades rating of Ferrari to "overweight"

Investing.com -- Analysts at Barclays have upgraded their rating of Ferrari (NYSE: RACE) to "overweight," citing in part "very strong" third-quarter results.

In a note, the analysts added that the popularity of the sports car maker's vehicles with wealthy customers helps insulate the business from economic headwinds dampening broader consumer demand. Barclays raised its price target for the Italian company to €350 from €300 (€1 = $1.0728).

Last week, Ferrari (BIT: RACE) posted better-than-expected core profit as the firm was boosted by solid pricing and customer spending on personalized additions. Chief Executive Benedetto Vigna also said that the company's order book reflects "strong demand across all geographies" and stretches into 2025.

Ferrari, meanwhile, projected that it will post adjusted earnings before interest, tax, depreciation and amortization of at least €2.25B this year, up from its previously improved outlook of between €2.19B-€2.22B.

"[C]ommentary on price, mix, personalisation and order book bode well for 2024-2026 in our view," the Barclays analysts said.

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