Just imagine you had some good news. Ferrari Sydney boss Angelo Ruberto calls to say your new $500,000 Ferrari 488 GTB, which wasn’t meant to turn up until 2017, is in the Alexandria showroom, ready to go. But you just sold your old Fezzer F430 quicker than you thought through carsguide.com.au and you’re carless.
Naturally the investigative journalism team here at The Weekend Australian Motoring aren’t suggesting anything, but it just so happens that Transport NSW has put a bus stop right outside the door of the Ferrari (and Maserati) showroom. This means anyone who has bought a prancing horse (or a Modena Maser) just has to hop on the big blue Merc, swipe their Opal card (the Myki of Sydney) and be delivered to Italian heaven.
Ferrari 488 GTB. Grab a bus and take your cheque book to the local Sydney showroom.
Ferrari 488 GTB. Grab a bus and take your cheque book to the local Sydney showroom.
Just because NSW Transport Minister Andrew Constance has an Italian-sounding name doesn’t mean he has been trying to help Matt Renzi’s countrymen in Oz. But what other luxury car brand offers a government subsidised pick-up and drop-off service?
Talking of Ferrari, I guess you have already bought a few shares? Owner Fiat Chrysler floated 9 per cent of the Dutch domiciled company last month at $72 a share (code: RACE). They rocketed to $85 before settling at $75, valuing the carmaker at $11 billion. Now before you dive under the bed to get some cash to throw at your broker, think on this: the shares are selling at a price-earnings ratio of 35, three times a normal car company and eight times more than luxury goods companies such as Richemont (Cartier and Montblanc) and LVMH (everything rich you can smell, drink and wear).
So how long can shares in the car and sponsorship manufacturer keep that sort of valuation?
Next year Fiat Chrysler dumps the remaining 80 per cent of the company on its existing shareholders, Ferrari increases production by 2000 cars a year and the red Italian has more than $2.8bn in debt.
Despite what you think, it’s not all Chinese hoons buying Ferraris. Thirty-four per cent go to America with the next biggest buyers being well-to-do chappies in England. More than 20 per cent of sales come from sponsorship (F1 and merchandise) and engine sales.
But the real story is, and as the factory increases production will continue to be, classic used Ferraris.
Prices began to move in 2005. By 2010 they had doubled to an average of $912,000 and today it’s $2.1 million. This year three cars from the 1960s have brought more than $22m each.
In Australia, Shannons sold a 1973 Dino GT 246 for $522,000 against an international price of $500,000 to $630,000. Now that compares to $464,000 (drive away, no more to pay) for a 2013 458 Italia or $700,000 for a 2015 488 Spider with an iPod connection thrown in. Of course you could go to Auckland and pay $356,000 for a 2014 458 Italia with 150km on the clock. Then again, it’s a long drive back.
This article has been shortened, read about the expressive and emotional benefits of Ferrari ownership at The Australian.
