WallStSmart

General Motors Company (GM)vsFerrari NV (RACE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

General Motors Company generates 2513% more annual revenue ($185.02B vs $7.08B). GM leads profitability with a 146.0% profit margin vs 22.6%. GM appears more attractively valued with a PEG of 3.30. RACE earns a higher WallStSmart Score of 52/100 (C-).

GM

Hold

44

out of 100

Grade: D

Growth: 3.3Profit: 6.0Value: 4.7Quality: 4.3
Piotroski: 3/9Altman Z: 1.20

RACE

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 9.0Value: 4.7Quality: 8.0
Piotroski: 4/9Altman Z: 2.81
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GMSignificantly Overvalued (-258.9%)

Margin of Safety

-258.9%

Fair Value

$22.24

Current Price

$73.53

$51.29 premium

UndervaluedFair: $22.24Overvalued
RACESignificantly Overvalued (-215.2%)

Margin of Safety

-215.2%

Fair Value

$121.49

Current Price

$330.47

$208.98 premium

UndervaluedFair: $121.49Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GM4 strengths · Avg: 9.3/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
146.0%10/10

Keeps 146 of every $100 in revenue as profit

Market CapQuality
$68.05B9/10

Large-cap with strong market position

Free Cash FlowQuality
$5.68B8/10

Generating 5.7B in free cash flow

RACE5 strengths · Avg: 8.8/10
Return on EquityProfitability
45.0%10/10

Every $100 of equity generates 45 in profit

Market CapQuality
$60.04B9/10

Large-cap with strong market position

Profit MarginProfitability
22.6%9/10

Keeps 23 of every $100 in revenue as profit

Operating MarginProfitability
28.3%8/10

Strong operational efficiency at 28.3%

Free Cash FlowQuality
$1.41B8/10

Generating 1.4B in free cash flow

Areas to Watch

GM4 concerns · Avg: 2.5/10
Return on EquityProfitability
4.3%3/10

ROE of 4.3% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.302/10

Expensive relative to growth rate

Revenue GrowthGrowth
-5.1%2/10

Revenue declined 5.1%

RACE4 concerns · Avg: 3.5/10
P/E RatioValuation
31.6x4/10

Premium valuation, high expectations priced in

Price/BookValuation
13.2x4/10

Trading at 13.2x book value

EPS GrowthGrowth
2.9%4/10

2.9% earnings growth

PEG RatioValuation
3.672/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : GM

The strongest argument for GM centers on Price/Book, Profit Margin, Market Cap. Profitability is solid with margins at 146.0% and operating margin at 6.5%.

Bull Case : RACE

The strongest argument for RACE centers on Return on Equity, Market Cap, Profit Margin. Profitability is solid with margins at 22.6% and operating margin at 28.3%.

Bear Case : GM

The primary concerns for GM are Return on Equity, Piotroski F-Score, PEG Ratio.

Bear Case : RACE

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

Key Dynamics to Monitor

GM profiles as a declining stock while RACE is a mature play — different risk/reward profiles.

GM carries more volatility with a beta of 1.36 — expect wider price swings.

RACE is growing revenue faster at 7.4% — sustainability is the question.

GM generates stronger free cash flow (5.7B), providing more financial flexibility.

Bottom Line

RACE scores higher overall (52/100 vs 44/100), backed by strong 22.6% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

General Motors Company

CONSUMER CYCLICAL · AUTO MANUFACTURERS · USA

General Motors Company (GM) is an American multinational corporation headquartered in Detroit, Michigan that designs, manufactures, markets, and distributes vehicles and vehicle parts, and sells financial services, with global headquarters in Detroit's Renaissance Center.

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.

Want to dig deeper into these stocks?