The stock of Ferrari (RACE) is down 5% after the luxury car maker unveiled its first fully electric vehicle.
The Italian sports car company unveiled the “Luce,” which means “light,” in Rome. The highly anticipated electric vehicle offers a different aesthetic than the typical Ferrari.
Management at Ferrari have proceeded with a fully electric sports car even as competitors Porsche and Lamborghini scaled back plans to launch similar electric vehicles.
Ferrari CEO Benedetto Vigna described the launch of the Luce model as “a new chapter” in the company’s history.
Vigna added that Ferrari’s clientele will be interested in the Luce and the company will welcome new clients thanks to the fully electric model.
However, some analysts have warned that global demand for electric vehicles, particularly a sports car version, is weak.
Ferrari’s first-ever five-seater car, the Luce can reach 60 miles per hour in 2.5 seconds and has a maximum speed of 192 miles per hour.
The Luce is priced at around 550,000 euros ($640,000 U.S.), with customer deliveries scheduled to begin in the fourth quarter of this year.
Ferrari said it is manufacturing all components of the Luce in-house in Italy, while the design was entrusted to LoveFrom, an agency founded by former Apple (AAPL) design chief Jony Ive.
Analysts attributed the immediate share price decline following the Luce’s unveiling to a mix of concern about future sales and dislike of the car’s design.
Prior to today (May 26), RACE stock had fallen 28% over the last 12 months to trade at $348.24 U.S. per share in New York.
