Benchmark analysts reiterated a Buy rating and $77 per share price target on Formula One Group (FWONA) in a note Wednesday ahead of this weekend’s signature Monaco Grand Prix event and closing negotiations for both new 2026 engineering regulations and a new F1 Concorde Agreement.
Benchmark's optimism is bolstered by the anticipation of significant regulatory changes and a shift in competitive dynamics.
Analysts note The dominance of Red Bull and Max Verstappen is showing signs of waning, highlighted by Lando Norris’ surprising Grand Prix win and marked improvements from Ferrari, McLaren, and Aston Martin. These developments suggest a more competitive field, compelling Red Bull to hasten its own upgrades.
Furthermore, the investment firm says Formula One continues to navigate the delicate balance of maintaining its storied European races, like Imola and Monaco, while expanding into high-growth markets such as Thailand.
Analysts believe the expansion is essential given the increasing interest from global consumers, particularly younger audiences who value experiential spending. The sport's ability to attract large, predictable audiences continues to drive strong sponsorship demand from top-tier brands.
Negotiations for the new Concorde Agreement, set to begin in 2026, are progressing amid rising F1 revenues and higher team valuations. Additionally, potential regulatory changes, including the adoption of fully sustainable fuels and a possible return to V8 engines, are seen as reflecting the sport's commitment to innovation and sustainability.
As the Monaco Grand Prix approaches, Benchmark remains confident in FWONA’s growth prospects, underpinned by these strategic developments and the sport’s enduring global appeal.