Mobileye (MBLY) Racing to Higher Highs

Keep an eye on Mobileye (MBLY). While MBLY isn’t new to most of the market, it still offers an interesting opportunity, we noted on October 26.

At the time, the stock traded at $29.39. Now, it’s up to $35.08 and could push to higher highs.

For one, as noted by CNBC, “Founded in 1999, Mobileye has partnered with Audi, BMW, Volkswagen, GM, and Ford to develop advanced driving and safety features such as driver assist and lane-keeping using the company’s ‘EyeQ’ camera, chips, and software. Mobileye CEO Amnon Shashua said in the IPO filing that 50 companies are currently using the company’s technology across 800 vehicle models.”

Two, according to its S-1, “We have experienced significant growth since our founding. For 2021, 2020, and 2019, our revenue was $1.4 billion, $967 million, and $879 million, respectively, representing year-over-year growth of 43% in 2021. For the six months ended July 2, 2022, and June 26, 2021, our revenue was $854 million and $704 million, respectively, representing period-over-period growth of 21%.”

Even better, the company recently beat with its first earnings report since going public.

Total revenue at Mobileye grew 38% to $450 million in the third quarter that ended Oct. 1. Analysts were expecting revenue of $447 million, according to Reuters. The net loss did widen to $45 million from $26 million. Adjusted, the company earned 15 cents per share, which was above estimates of 12 cents. MBLY also forecast fourth-quarter revenue of between $527 million and $545 million. Analysts were expecting revenue of $483.7 million for the quarter.

Last trading at $35.08, we’d like to see MBLY near $50.