WallStSmart

Faraday Future Intelligent Electric Inc. (FFAI)vsFerrari NV (RACE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ferrari NV generates 837622% more annual revenue ($7.15B vs $853,000). RACE leads profitability with a 22.4% profit margin vs 0.0%. FFAI trades at a lower P/E of 0.3x. RACE earns a higher WallStSmart Score of 48/100 (D+).

FFAI

Avoid

28

out of 100

Grade: F

Growth: 6.3Profit: 2.5Value: 8.3Quality: 4.5
Piotroski: 2/9Altman Z: -16.95

RACE

Hold

48

out of 100

Grade: D+

Growth: 4.7Profit: 9.0Value: 4.7Quality: 8.0
Piotroski: 4/9Altman Z: 2.81
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FFAIUndervalued (+98.5%)

Margin of Safety

+98.5%

Fair Value

$44.06

Current Price

$0.29

$43.77 discount

UndervaluedFair: $44.06Overvalued
RACESignificantly Overvalued (-443.1%)

Margin of Safety

-443.1%

Fair Value

$70.52

Current Price

$322.17

$251.65 premium

UndervaluedFair: $70.52Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FFAI4 strengths · Avg: 10.0/10
P/E RatioValuation
0.3x10/10

Attractively priced relative to earnings

Price/BookValuation
0.2x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
157.0%10/10

Revenue surging 157.0% year-over-year

Debt/EquityHealth
-1.7610/10

Conservative balance sheet, low leverage

RACE5 strengths · Avg: 8.8/10
Return on EquityProfitability
42.9%10/10

Every $100 of equity generates 43 in profit

Market CapQuality
$57.18B9/10

Large-cap with strong market position

Profit MarginProfitability
22.4%9/10

Keeps 22 of every $100 in revenue as profit

Operating MarginProfitability
28.6%8/10

Strong operational efficiency at 28.6%

Free Cash FlowQuality
$1.41B8/10

Generating 1.4B in free cash flow

Areas to Watch

FFAI4 concerns · Avg: 3.3/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$200.13M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

RACE4 concerns · Avg: 3.5/10
P/E RatioValuation
31.1x4/10

Premium valuation, high expectations priced in

Price/BookValuation
12.6x4/10

Trading at 12.6x book value

Revenue GrowthGrowth
3.8%4/10

3.8% revenue growth

PEG RatioValuation
3.472/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : FFAI

The strongest argument for FFAI centers on P/E Ratio, Price/Book, Revenue Growth. Revenue growth of 157.0% demonstrates continued momentum.

Bull Case : RACE

The strongest argument for RACE centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 22.4% and operating margin at 28.6%.

Bear Case : FFAI

The primary concerns for FFAI are EPS Growth, Market Cap, Profit Margin.

Bear Case : RACE

The primary concerns for RACE are P/E Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

FFAI profiles as a hypergrowth stock while RACE is a value play — different risk/reward profiles.

FFAI carries more volatility with a beta of 4.57 — expect wider price swings.

FFAI is growing revenue faster at 157.0% — sustainability is the question.

RACE generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

RACE scores higher overall (48/100 vs 28/100), backed by strong 22.4% margins. FFAI offers better value entry with a 98.5% margin of safety. Both earn "Hold" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Faraday Future Intelligent Electric Inc.

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Faraday Future Intelligent Electric Inc. engages in the design, development, manufacture, engineering, sale, and distribution of electric vehicles and related products in the United States. The company is headquartered in Gardena, California.

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Ferrari NV

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

Ferrari NV designs, designs, produces and sells high performance sports cars. The company is headquartered in Maranello, Italy.

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