It pays to sell $400,000 plus supercars during an all-out stock market boom.
Ferrari (RACE) is about to win the award for hottest auto stock of 2017, with shares closing in a more than 80% gain. That's no small achievement considering the market's infatuation with electric car maker Tesla (TSLA) (that includes CEO Elon Musk) and the ongoing turnaround of once sleepy General Motors (GM) . Year to date shares of Tesla and GM have risen 44% and 19%, respectively. Toyota (TM) has tacked on 8% for the year, while Ford (F) has shed 1% as it works to retool its business under new CEO Jim Hackett.
For Ferrari, it could credit the out-performance of its stock to one overarching theme: it's selling a luxury product at a time in which the rich are getting richer. The richest folks in the world have added $1 trillion in wealth this year, according to the latest read of the Bloomberg Billionaires Index. Thank you Dow Jones Industrial Average, S&P 500, Nasdaq Composite and yes, even bitcoin.
The wealth component isn't lost on Ferrari's outspoken CEO Sergio Marchionne.