Ferrari unveiled its first fully electric vehicle, the Luce, marking a significant milestone as the company's first five-seater and its entry into the EV market. The Luce is priced at 550,000 euros (approximately $640,000) and was revealed on Monday, with CEO Benedetto Vigna describing the launch as 'a very, very important day' that represents 'a new chapter' in Ferrari's history [1].
The market reaction was swift and negative, with Ferrari's Milan-listed shares falling more than 8% on Tuesday, the first trading session after the unveiling. The stock briefly rose over 2% on Wednesday morning but closed the session marginally lower [1]. The backlash was fueled by criticism from notable figures, including former Ferrari chairman Luca di Montezemolo, who called the Luce 'a disgrace to the company's storied history,' and Italy's transport minister. Critics targeted the car's unconventional design, which was developed by LoveFrom, the agency founded by former Apple design chief Jony Ive [1].
Analysts at RBC Capital Markets acknowledged investor concerns, particularly regarding the Luce's design, which prioritizes aerodynamics over downforce and could potentially impact residual values. However, they cautioned that it is 'too early to be overly concerned,' drawing parallels to the initial skepticism surrounding the Purosangue model in 2022, which later became one of Ferrari's bestsellers [1]. RBC analysts also noted that Ferrari may limit Luce's sales volume to maintain exclusivity and suggested that initial demand, especially from new markets like China, will be a key indicator for investors [1].
Customer deliveries for the Luce are scheduled to begin in Q4, with all components developed and manufactured in-house at Ferrari's Maranello factory [1].
CONCLUSION
Ferrari's debut of the Luce EV triggered a sharp stock decline and vocal criticism, but analysts urge patience, citing past successes with controversial models. The company's strategy to maintain exclusivity and monitor initial demand will be crucial for investor confidence moving forward.