Ferrari Shares Fall on EV Strategy Backlash

That matters because Ferrari is not being judged like a mass-market carmaker. Its pricing power rests on brand loyalty, scarcity and performance cachet, and any perception that the company is diluting that formula could hit demand, residual values and valuation.

The stock closed at $386.39 on Oct. 7, down from $436.54 on Aug. 21, a drop of about 11%, while the 50-day moving average sits near $408 and the shares are trading below the lower end of a recent Bollinger band setup. The relative strength index has slid to 28, a level that traders often read as oversold, but the broader message is that momentum has turned sharply weaker since late summer.

The criticism lands in a market where Tesla and Chinese EV makers are still fighting for share, and where investors remain sensitive to whether legacy luxury brands can transition to battery power without sacrificing exclusivity. Ferrari’s challenge is not just engineering an EV that works; it is proving that an EV can still command Ferrari-level pricing and emotional appeal.

Tesla shares were little changed around $377.81 on Oct. 7, while BYDDF traded at $9.43, reflecting how competition in EVs remains intense even as the segment slows in parts of the market. For Ferrari, the issue is more existential: it sells aspiration, not transportation, and a misstep on electrification could have an outsized impact on future mix and margins.

The next catalyst is likely any fresh detail on Ferrari’s EV rollout, product reception and guidance on the pace of electrification, with investors watching whether management can keep the brand’s customer base onside while meeting regulatory and product-transition pressures.