Mobileye Global: Still Priced For Perfection
Update May 25, 2023
The Wells Fargo analyst sounds really bullish, but the price target only offers 25% upside. The better bet is Luminar Tech. (LAZR) at these prices.
-Mobileye (NASDAQ:MBLY) shares rose more than 4% in pre-market trading on Thursday as Wells Fargo started coverage on the autonomous driving semiconductor company with an overweight rating.
-Analyst Aaron Rakers, who also put a per-share price target of $50 on Mobileye (MBLY), noted that the company is in the early stage of a "platform appreciation," helping automotive company get to the goal of fully autonomous vehicles over the next five to ten years.
-"We're positive on MBLY's strategy that SuperVision adoption / expansion will serve as the foundation for its consumer AV strategy," Rakers wrote in an investor note. Rakers sees Mobileye (MBLY) generating SuperVision revenue over the next five years to $3.2B and possibly as high as $7B.
Original article posted on Apr. 28
- Mobileye Global Inc. has to cut 2023 revenue targets due to a Chinese customer struggling to meet sales targets.
- The ADAS company has a massive backlog, but revenues are only forecast to grow around 10% this year.
- Even with the dip, Mobileye Global Inc. stock still trades at 14x lowered '23 sales targets.
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