General Motors Company (GM)vsFerrari NV (RACE)
GM
General Motors Company
$75.77
-1.46%
CONSUMER CYCLICAL · Cap: $69.09B
RACE
Ferrari NV
$341.26
-1.74%
CONSUMER CYCLICAL · Cap: $61.27B
Smart Verdict
WallStSmart Research — data-driven comparison
General Motors Company generates 2484% more annual revenue ($184.62B vs $7.15B). RACE leads profitability with a 22.4% profit margin vs 1.4%. GM appears more attractively valued with a PEG of 3.61. RACE earns a higher WallStSmart Score of 48/100 (D+).
GM
Hold44
out of 100
Grade: D
RACE
Hold48
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+24.0%
Fair Value
$105.04
Current Price
$75.77
$29.27 discount
Margin of Safety
-48.3%
Fair Value
$258.27
Current Price
$341.26
$82.99 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Large-cap with strong market position
Generating 1.4B in free cash flow
Every $100 of equity generates 43 in profit
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Strong operational efficiency at 28.6%
Generating 1.4B in free cash flow
Areas to Watch
Moderate valuation
ROE of 4.0% — below average capital efficiency
1.4% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 13.4x book value
3.8% revenue growth
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : GM
The strongest argument for GM centers on Price/Book, Market Cap, Free Cash Flow.
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 : GM
The primary concerns for GM are P/E Ratio, Return on Equity, Profit Margin. Thin 1.4% margins leave little buffer for downturns.
Bear Case : RACE
The primary concerns for RACE are P/E Ratio, Price/Book, Revenue Growth.
Key Dynamics to Monitor
GM carries more volatility with a beta of 1.34 — expect wider price swings.
RACE is growing revenue faster at 3.8% — sustainability is the question.
GM generates stronger free cash flow (1.4B), providing more financial flexibility.
Monitor AUTO MANUFACTURERS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
RACE scores higher overall (48/100 vs 44/100), backed by strong 22.4% margins. GM offers better value entry with a 24.0% margin of safety. Both earn "Hold" 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.
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