Mobileye: Small Research Budget Is A Problem
Mobileye easily surpassed Q2 analyst estimates.
Ending a partnership with Tesla Motors is a big red flag on whether Mobileye will maintain a technology lead.
The stock is richly valued, considering the profit margins are unsustainable due to the low spending levels.
The Q2 results for Mobileye (NYSE:MBLY) were phenomenal on all metrics. The assisted driver technology leader though faces some challenges going forward, especially in relation to stock value.
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Disclosure: No position