Ferrari shares driven to record high in Milan after Sebastian Vettel's F1 triumph

 
Rebecca Smith
Vettel trumped Lewis Hamilton in Melbourne yesterday
Vettel trumped Lewis Hamilton in Melbourne yesterday (Source: Getty)

Ferrari hit a record high in Milan the day after Sebastian Vettel won the Australian Grand Prix taking the Italian firm to number one in the Formula One rankings.

Shares rose as much as 3.6 per cent to €68.5, the highest since the Italian sports car maker debuted on the Milan exchange at the beginning of last year.

Read more: Hamilton welcomes Vettel duel as Ferrari win season opener

That followed its split from Fiat Chrysler Automobiles and an IPO of a 10 per cent stake in New York in October 2015.

Ferrari’s first Formula 1 win since August 2015 could help to propel its image as a firm at the forefront of elite performance, though it faces competition from a Mercedes team that has won the past three constructors’ and drivers’ championships.

Ferrari boss Sergio Marchionne has made boosting the Formula One racing team one of his key priorities as success on the track is viewed as fundamental to the brand image, with Marchionne’s plans to expand Ferrari’s line-up and progress the firm's move into non-automotive luxury goods.

It has been trying to establish a leading presence in luxury fashion and accessories, with Marchionne previously promising to transform Ferrari into a “fully fledged luxury brand”.

In November, Ferrari announced a 20 per cent rise in third quarter profit as it increased 2016 financial forecasts for the second time that year.

F1 too has been going through some significant change, following its $8bn (£6.4bn) takeover by Liberty Media bringing Bernie Ecclestone's reign as F1 boss to a close, as well as the implementation of new rules resulting in faster cars.

The completion of the takeover also paved the way for two new company appointments. Former Mercedes boss Ross Brawn was appointed managing director, motor sports, while ESPN veteran Sean Bratches became the managing director of commercial operations.

Read more: Ferrari shares race ahead on improved full-year guidance

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