General Motors Company (GM) is overvalued and Ferrari NV (RACE) is overvalued.
Both trade above our estimate of their intrinsic value. GM is the closer of the two: -40%, against -65% for RACE.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 8.1% (average of 3 methods) values the shares at $59.50; the price of $83.45 is 40% above that value, and 79% of that value comes from beyond year five.
Leak Score 42/100 on 10 of 12 signals
Discounting its cash flows at 9.5% (average of 3 methods) values the shares at $251.06; the price of $413.32 is 65% above that value, and 75% of that value comes from beyond year five.
Leak Score 59/100 on 3 of 12 signals
| Metric | GM | RACE |
|---|---|---|
| Verdict | Overvalued | Overvalued |
| Price | $83.45 | $413.32 |
| Intrinsic value | $59.50 | $251.06 |
| Margin of safety | -40% | -65% |
| Leak Score | 42/100 (10/12) | 59/100 (3/12) |
| Market cap | $73.2B | $65.8B |
| Revenue growth, 5 years | 8.6% | 15.4% |
| Operating margin | 1.0% | 29.8% |
| Net margin | 1.0% | 22.3% |
| Return on equity | 3.0% | 45.8% |
| Debt to equity | 2.06 | 0.87 |
| P/E | 42.1x | 38.4x |
| Forward P/E | 5.5x | 32.5x |
| P/B | 1.2x | 17.4x |
| Dividend yield | 0.9% | 1.1% |