Ferrari (NYSE:RACE) vs. SRIVARU (NASDAQ:SVMH) Critical Review

Ferrari (NYSE:RACE) and SRIVARU (NASDAQ:SVMH) are both auto/tires/trucks companies, but which is the superior business? We will compare the two businesses based on the strength of their valuation, earnings, institutional ownership, risk, dividends, analyst recommendations and profitability.

Analyst Ratings

This is a breakdown of current recommendations for Ferrari and SRIVARU, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ferrari	1	1	7	0	2.67
SRIVARU	0	0	0	0	0.00

Ferrari presently has a consensus target price of $507.14, indicating a potential upside of 18.26%. Given Ferrari’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Ferrari is more favorable than SRIVARU.

Insider & Institutional Ownership

6.7% of SRIVARU shares are owned by institutional investors. 23.2% of SRIVARU shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Ferrari and SRIVARU’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ferrari	22.16%	44.67%	16.54%
SRIVARU	N/A	N/A	N/A

Valuation and Earnings

This table compares Ferrari and SRIVARU”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ferrari	$6.46 billion	12.26	$1.36 billion	$8.61	49.81
SRIVARU	$42,538.00	632.59	-$11.43 million	N/A	N/A

Ferrari has higher revenue and earnings than SRIVARU.

Risk and Volatility

Ferrari has a beta of 0.95, indicating that its share price is 5% less volatile than the S&P 500. Comparatively, SRIVARU has a beta of -1.56, indicating that its share price is 256% less volatile than the S&P 500.

Summary

Ferrari beats SRIVARU on 9 of the 12 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 SRIVARU

Mobiv Acquisition Corp is a blank check company. It focuses on effecting a merger, share exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. Mobiv Acquisition Corp is based in Newark, Delaware.