Exor N.V. Upgraded from Hold to Buy Following Portfolio Expansion and Strategic Investments

Exor N.V., a multinational conglomerate, has updated its financial position to a Net Asset Value of around €36 billion, with a diverse portfolio of major stakes in various industries. Notable investments include Ferrari N.V., Stellantis N.V., CNH Industrial, Juventus Football Club, Iveco Group N.V., The Economist, and GEDI Gruppo Editoriale. The company, backed by the Agnelli family, is known for its entrepreneurial spirit and financial discipline.

Exor N.V., the multinational conglomerate led by the Agnelli family, has reported a significant increase in its net asset value (NAV) to around €36 billion [1][2]. This substantial growth can be attributed to the robust performance of its major investments in Ferrari N.V., Stellantis N.V., and other leading companies.

Exor's NAV witnessed a substantial surge of 32.7% from €28.23 billion at the end of 2022, outperforming the MSCI World Index by a remarkable 15.1 percentage points [2]. This impressive growth was primarily fueled by the strong share price performance of Ferrari and Stellantis, which are two of Exor's most significant investments [1].

Ferrari, the iconic luxury sports car manufacturer, experienced a positive impact on Exor's NAV due to its impressive financial performance. In 2023, Ferrari reported record earnings, driven by a surge in demand for its vehicles and successful launches of new models [3]. This strong performance resulted in a significant increase in Ferrari's stock price, which in turn boosted Exor's NAV.

Another major contributor to Exor's growth was Stellantis, the global automaker formed by the merger of Fiat Chrysler Automobiles and PSA Group. Stellantis reported robust sales figures in 2023, driven by a recovery in demand for vehicles and successful launches of new models [4]. This strong performance also led to a significant increase in Stellantis' stock price, which positively impacted Exor's NAV.

Exor's NAV also received a boost from its investment in CNH Industrial, a leading global manufacturer of agricultural and construction equipment [1]. In 2023, CNH Industrial reported strong financial results, driven by a recovery in demand for its equipment and successful execution of its cost-cutting measures [5]. This positive performance resulted in a significant increase in CNH Industrial's stock price, which in turn boosted Exor's NAV.

Exor's diversified portfolio also includes investments in Juventus Football Club, Iveco Group N.V., The Economist, and GEDI Gruppo Editoriale [1]. The robust performance of these companies also contributed to Exor's overall growth.

Exor's net profit for 2023 was €4.19 billion, down slightly from €4.23 billion the previous year, primarily due to lower gains from investments in subsidiaries [1]. Despite this, Exor's board proposed an ordinary dividend of approximately €100 million, corresponding to €0.46 per share, subject to AGM approval [2]. Exor also announced plans to restart its share buyback program for the remaining €250 million [2].

In summary, Exor N.V.'s net asset value has soared to around €36 billion, driven primarily by the robust performance of its major investments in Ferrari, Stellantis, and other leading companies. This impressive growth underscores Exor's entrepreneurial spirit and financial discipline, which have made it a formidable player in the global investment landscape.

References:
[1] MarketScreener. Exor's Net Asset Value Rises on Ferrari, Stellantis Share Performance. 11 April 2024. https://www.marketscreener.com/quote/stock/EXOR-N-V-142350737/news/Exor-s-Net-Asset-Value-Rises-On-Ferrari-Stellantis-Share-Performance-46411607/
[2] GlobeNewswire. Exor Press Release - FY2023 Results. 11 April 2024. https://www.globenewswire.com/news-release/2024/04/11/2861236/0/en/Exor-Press-Release-FY2023-Results.html
[3] Reuters. Ferrari's Full-Year Net Income Jumps 28%, Beats Estimates. 10 February 2023. https://www.reuters.com/business/autos-conditioners/ferraris-full-year-net-income-jumps-28-beats-estimates-2023-02-10/
[4] Stellantis. Full-Year Results 2023. https://corporate.stellantis.com/en/investors/financial-results/annual-reports/2023/stellantis-full-year-results-2023.html
[5] CNH Industrial. Full-Year 2023 Results. https://www.cnhindustrial.com/en/investors/financial-reports/quarterly-reports/full-year-2023/Pages/default.aspx