Wells Fargo analyst Aaron Rakers has maintained their bullish stance on MBLY stock, giving a Buy rating yesterday.
Aaron Rakers has given his Buy rating due to a combination of factors concerning Mobileye Global, Inc. Class A’s financial health and market position. The reaffirmation of the company’s 2024 revenue and EBIT guidance, in conjunction with an increase in the projected shipment of EyeQ chipsets, suggests a strong outlook for the latter half of the year. Further, the ongoing reduction in excess inventory aligns with previous expectations, setting the stage for a clearer path to revenue growth. Mobileye’s discussions with new OEMs indicate potential expansion and diversification of its SuperVision technology, which could further solidify its market presence into 2025 and beyond.
Additionally, Rakers’s optimism seems to be bolstered by the company’s performance in the first quarter, which showed revenue and earnings slightly ahead of estimates despite a year-over-year decline. The anticipated majority clearance of remaining excess inventory in the second quarter could lead to more normalized sales growth moving forward. The steady progression of Mobileye’s SuperVision mix and its expected impact on gross margins, particularly as it moves into the low-40% range, is also a key consideration in the analyst’s positive assessment. These factors collectively contribute to the Buy rating, reflecting confidence in Mobileye’s recovery trajectory and financial prospects.
MBLY’s price has also changed slightly for the past six months – from $33.960 to $30.900, which is a -9.01% drop .
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Mobileye Global, Inc. Class A (MBLY) Company Description:
Mobileye Global Inc engages in the development and deployment of ADAS and autonomous driving technologies and solutions. It is building a portfolio of end-to-end ADAS and autonomous driving solutions to provide the capabilities needed for the future of autonomous driving, leveraging a comprehensive suite of purpose-built software and hardware technologies. Its solutions comprise of Driver Assist, Cloud-Enhanced Driver Assist, Mobileye SuperVision Lite, Mobileye SuperVision, Mobileye Chauffeur, Mobileye Drive, Self-Driving System & Vehicles. It also provides data services to Expedite Maintenance Operations with AI-Powered Road Survey Technology.
