Ferrari shares fall after lukewarm reaction to new electric Luce model

Tuesday 26 May 2026 - 15:45

Shares of Ferrari dropped sharply after the unveiling of its first fully electric vehicle, the “Luce,” which received a mixed reaction from investors and automotive critics.

The launch marks a major turning point for the iconic luxury brand as it enters the fully electric vehicle market. The new model, developed with the involvement of former Apple design chief Jony Ive and his creative firm LoveFrom, represents a significant shift in Ferrari’s traditional design and engineering philosophy.

Despite the technological milestone, market sentiment turned negative. Ferrari shares declined significantly in both Milan and New York trading, reflecting investor concerns about the company’s strategic direction and the reception of the new model.

The Luce, a four-door, five-seat luxury electric vehicle priced at around €550,000, represents a departure from Ferrari’s classic high-performance combustion-engine identity. While the company aims to expand its customer base through electrification, some analysts believe the transition could challenge its traditional brand image.

Industry observers note that Ferrari has long been associated with engine performance, racing heritage and the distinctive sound of its combustion engines. Moving into electric vehicles requires balancing innovation with the preservation of brand exclusivity.

Investor reactions were also influenced by concerns over design choices. Some market analysts described the response as a reflection of broader uncertainty about Ferrari’s electrification strategy, particularly as the luxury automotive sector faces rapid technological transformation.

Social media commentary following the unveiling was largely critical of the vehicle’s aesthetics, with users questioning whether the new design aligned with Ferrari’s established identity.

Despite the negative short-term reaction, Ferrari continues to position electrification as a key pillar of its future growth strategy. The company aims to reach new customer segments while maintaining its premium brand positioning in an increasingly competitive global automotive market.

Experts suggest that the success of the Luce will depend on whether Ferrari can successfully combine innovation in electric mobility with the emotional appeal that has defined its brand for decades.