1 Market-Beating Auto Stock Up 746% in the Past 10 Years That Warren Buffett Would Agree Is a Compounder (Hint: It's Not Tesla)
The article argues that Ferrari, not Tesla, is the standout auto stock for long-term compounding. It highlights Ferrari’s recent Q2 results, where revenue rose 8.4% year over year to 1.9 billion euros and diluted EPS increased 10% to 2.62 euros, both beating analyst estimates. Despite shipping 3.7% fewer cars, operating income rose 9.5% thanks to strong personalization demand and Ferrari’s pricing power. The piece frames Ferrari as a Buffett-style business with a wide moat, strong brand, and recession-resistant luxury positioning, contrasting it with Tesla’s more cyclical and macro-sensitive auto operations. The market takeaway is bullish on Ferrari as a premium, durable compounder rather than a mass-market EV play.