Ferrari (RACE) Competitors

Toyota Motor (NYSE:TM) and Ferrari (NYSE:RACE) are both large-cap auto/tires/trucks companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, media sentiment, community ranking, valuation, risk, institutional ownership, profitability, analyst recommendations and dividends.

Is TM or RACE more profitable?

Ferrari has a net margin of 22.81% compared to Toyota Motor's net margin of 10.86%. Ferrari's return on equity of 46.69% beat Toyota Motor's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Toyota Motor	10.86%	14.00%	5.48%
Ferrari	22.81%	46.69%	17.13%

Do analysts prefer TM or RACE?

Ferrari has a consensus price target of $481.60, indicating a potential upside of 4.43%. Given Ferrari's stronger consensus rating and higher probable upside, analysts plainly believe Ferrari is more favorable than Toyota Motor.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Toyota Motor	0 Sell rating(s)	3 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.25
Ferrari	0 Sell rating(s)	2 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.75

Do institutionals & insiders have more ownership in TM or RACE?

1.5% of Toyota Motor shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Which has preferable earnings and valuation, TM or RACE?

Toyota Motor has higher revenue and earnings than Ferrari. Toyota Motor is trading at a lower price-to-earnings ratio than Ferrari, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Toyota Motor	$46.75T	0.01	$34.12B	$24.22	7.89
Ferrari	$6.68B	16.74	$1.65B	$9.15	50.40

Does the MarketBeat Community prefer TM or RACE?

Ferrari received 157 more outperform votes than Toyota Motor when rated by MarketBeat users. Likewise, 66.98% of users gave Ferrari an outperform vote while only 59.42% of users gave Toyota Motor an outperform vote.

Company	Underperform	Outperform
Toyota Motor	Outperform Votes 407 59.42%	Underperform Votes 278 40.58%
Ferrari	Outperform Votes 564 66.98%	Underperform Votes 278 33.02%

Does the media refer more to TM or RACE?

In the previous week, Ferrari had 22 more articles in the media than Toyota Motor. MarketBeat recorded 65 mentions for Ferrari and 43 mentions for Toyota Motor. Toyota Motor's average media sentiment score of 0.61 beat Ferrari's score of 0.60 indicating that Toyota Motor is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Toyota Motor	15 Very Positive mention(s)	6 Positive mention(s)	15 Neutral mention(s)	3 Negative mention(s)	0 Very Negative mention(s)	Positive
Ferrari	23 Very Positive mention(s)	18 Positive mention(s)	17 Neutral mention(s)	2 Negative mention(s)	5 Very Negative mention(s)	Positive

Which has more volatility and risk, TM or RACE?

Toyota Motor has a beta of 0.64, meaning that its share price is 36% less volatile than the S&P 500. Comparatively, Ferrari has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500.

Is TM or RACE a better dividend stock?

Toyota Motor pays an annual dividend of $4.63 per share and has a dividend yield of 2.4%. Ferrari pays an annual dividend of $0.5150 per share and has a dividend yield of 0.1%. Toyota Motor pays out 19.1% of its earnings in the form of a dividend. Ferrari pays out 5.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Summary

Ferrari beats Toyota Motor on 13 of the 19 factors compared between the two stocks.