We recently published an article titled 13 Best Internet of Things (IoT) Stocks to Buy Now. On January 24, Raymond James lowered its price target on Mobileye Global Inc. (NASDAQ:MBLY) to $16 from $19 while maintaining an Outperform rating following fourth-quarter results. The firm reiterated that fiscal 2026 is expected to represent a transitional year but sees potential upside emerging in late 2026. Raymond James highlighted favorable risk-reward dynamics, citing meaningful earnings leverage as increment ...

Group 1 - Mobileye Global Inc. is recognized as a leading debt-free mid-cap stock, with an Outperform rating reiterated by analysts at Oppenheimer [1] - The company has been selected by Mahindra as a tier 1 supplier for Advanced Driver Assistance Systems (ADAS), specifically for Super Vision and Surround solutions [3] - The technology will utilize Mobileye's EyeQ6 High system-on-chip, enabling hands-off, eyes-on highway driving under certain conditions, validating the company's technology platform [3][4] Group 2 - The partnership with Mahindra is expected to enhance Mobileye's long-term investment in India, positioning it as a strategic hub for ADAS localization and production [4] - Although the Mahindra deal may yield limited immediate revenue, it is anticipated to contribute to medium- and long-term growth prospects for the company [5] - Mobileye specializes in developing and deploying ADAS and autonomous driving technologies, focusing on enhancing road safety and enabling self-driving mobility [6]

Group 1: Company Overview - Mobileye Global Inc. (NASDAQ:MBLY) is recognized as a promising single-digit stock by analysts, with a strong position entering 2026 due to new program wins and partnership expansions [1] - The company develops and deploys advanced driver assistance systems (ADAS) and autonomous driving technologies across various regions including the US, Europe, and China [5] Group 2: Recent Developments - Mahindra & Mahindra Ltd. has selected Mobileye's SuperVision and Surround ADAS platforms for at least six future vehicle models, with production expected to start in 2027, positioning Mobileye as a Tier 1 supplier [2] - The SuperVision system will utilize 11 cameras and optional radars powered by two EyeQ6H chips for advanced driving capabilities, while the Surround ADAS system will employ five cameras and multiple radars for hands-off highway driving [3] Group 3: Market Context - India is the third-largest automotive market globally, experiencing increased ADAS adoption driven by consumer demand and new regulatory standards like the Bharat New Car Assessment Program, which supports Mobileye's growth in this key market [4]

Group 1 - Mobileye Global Inc. is recognized as one of the top 12 mid-cap AI stocks to buy according to hedge funds, with a Buy rating and a price target of $16, indicating a potential 65% increase in stock value [1] - The company has secured an agreement with Mahindra & Mahindra to provide advanced driver assistance systems (ADAS), which will utilize the EyeQ6 High system-on-chip and multiple cameras for enhanced safety features, with production expected to start in 2027 [3] - Mobileye develops computer vision and machine learning technologies specifically for ADAS and autonomous driving solutions, and is headquartered in Jerusalem, Israel [4] Group 2 - The partnership with Mahindra positions Mobileye as a Tier 1 supplier across all of Mahindra's programs, which is expected to positively impact the company's operations in India [3]

Financial Performance - For fiscal year 2025, Mobileye reported revenue of $1.9 billion, a 15% increase from $1.7 billion in 2024, while revenue for 2023 was $2.1 billion[22]. - The company recorded net losses of $392 million in 2025, $3,090 million in 2024, and $27 million in 2023, with the 2024 loss primarily due to a $2,695 million non-cash impairment of goodwill[22]. - The company's Adjusted Net Income for 2025 was $286 million, compared to $205 million in 2024 and $659 million in 2023[22]. Product Development and Technology - Mobileye's EyeQ™6 High is expected to deliver a 10-times improvement in frames-per-second processing compared to EyeQ™5 High, despite only double the headline processing power[46]. - The latest EyeQ™6 High SoC achieves a ten-fold increase in frames-per-second processing compared to the EyeQ™5 High SoC, with only a two-times increase in overall processing power[97]. - The company is focusing on the development of next-generation EyeQ™ SoCs and software-defined imaging radar to enhance its ADAS and autonomous driving solutions[191]. - The company aims to grow its substantial dataset to improve the intelligence and robustness of its solutions, enhancing ADAS offerings and positioning for autonomous driving[121]. Market Position and Collaborations - Mobileye is actively collaborating with over 50 Original Equipment Manufacturers (OEMs) worldwide to implement its ADAS solutions[24]. - The company has made significant progress with the second generation of SuperVision™, targeting upcoming vehicle launches with VW Group brands Porsche and Audi, which will enhance hands-off driving capabilities[114]. - The partnership with STMicroelectronics continues to strengthen, co-developing six generations of EyeQ™ SoCs, including EyeQ™6, to accelerate autonomous innovation and market adoption[129]. Data Collection and Utilization - Mobileye collected 34.5 billion miles of road data in 2025 from over 8 million REM™-enabled vehicles, contributing to the creation of high-precision maps[32]. - Since deploying REM™ in 2018, the company has harvested a total of 91.5 billion miles of road data, covering over 95% of approximately 0.8 million miles of motorway, trunk, and primary road types in the US and Europe[95]. - The company has assembled a dataset of hundreds of petabytes of real-world driving experience, enabling the development of advanced computer vision algorithms[107]. Regulatory and Compliance Issues - U.S. export controls on advanced computing integrated circuits and related items to China are not expected to materially impact sales to existing customers, but future regulations could affect operations[141]. - Compliance processes have been developed for new U.S. regulations on connected vehicles, with prohibitions on certain transactions taking effect in model years 2027 and 2030[141]. - The company is subject to various data protection laws across jurisdictions, including the GDPR and the PRC Personal Information Protection Law, which impose strict compliance obligations[146][148]. Competitive Landscape - The company faces intense competition in the ADAS and autonomous driving markets from Tier 1 suppliers and technology companies, including Bosch, Tesla, and Waymo[152][153]. - The competitive landscape includes challenges from emerging players in humanoid robotics and urban mobility applications, requiring continuous innovation and adaptation[155][156]. - The company is heavily reliant on STMicroelectronics for the manufacturing of EyeQ™ SoCs, with no long-term pricing or quantity guarantees in their contractual relationship[207]. Workforce and Corporate Structure - As of February 3, 2026, the company had approximately 4,130 employees, down from 4,200 employees as of December 27, 2025, following a workforce reduction and the acquisition of Mentee Robotics[165]. - Approximately 85% of full-time employees are engaged in research and development, focusing on algorithms and autonomous driving technologies, providing a competitive edge[163]. - The company’s dual-class stock structure concentrates voting power with Intel, which may limit shareholder influence on corporate matters[188]. Supply Chain and Production Challenges - The company has faced supply chain constraints due to the global semiconductor shortage, which impacted the supply of its EyeQ™ SoCs in 2021 and 2022[186]. - Increased demand in the AI industry has resulted in component shortages and price increases, impacting the company's cost structure and gross margins[212]. - The company relies on a limited number of suppliers, including TSMC, for critical manufacturing steps, making it vulnerable to supply chain disruptions[207].

Core Insights - Mobileye Global Inc. (NASDAQ:MBLY) is recognized as one of the top autonomous driving stocks to consider for investment [1] - The company's revenue projection for 2026 is lower than Wall Street expectations, with analysts predicting $2 billion while Mobileye anticipates between $1.90 billion and $1.98 billion [2] - The decline in share price by 5% is attributed to the uncertain demand for assisted-driving chips amid a challenging environment for automakers [2] Revenue and Financial Performance - Mobileye reported fourth-quarter revenue of $446 million, surpassing analyst expectations of $432.3 million [3] - The company’s revenue outlook is cautious due to the impact of high tariffs on automakers, which may indirectly affect demand for Mobileye's products [2][3] Industry Context - Automakers are adjusting their supply chains and production plans in response to U.S. tariffs on imported vehicles and parts [3] - North American automakers are scaling back their electric vehicle strategies due to competition from China, reduced tax incentives, and a shift towards more affordable models and hybrids [3] Company Overview - Mobileye specializes in developing and implementing autonomous driving technologies and driver assistance systems [4]

Group 1 - Mobileye Global Inc. (MBLY) experienced a brief increase in share price in early January following the announcement of a second Surround ADAS customer and the planned acquisition of Mentee Robotics, but this increase was short-lived as investor sentiment declined [1] - Narweena, an asset management firm led by Richard Durant, focuses on identifying market dislocations due to misunderstandings of long-term business prospects, aiming for excess risk-adjusted returns through investments in companies with secular growth opportunities in markets with entry barriers [1] - The research process at Narweena emphasizes company and industry fundamentals to uncover unique insights, with a high risk appetite and a long-term investment horizon targeting deeply undervalued stocks, particularly in smaller cap markets where competitive advantages are not immediately apparent [1] Group 2 - The aging population, low population growth, and stagnating productivity growth are expected to create new investment opportunities that differ from historical trends, with some industries facing stagnation or secular decline, potentially improving business performance due to reduced competition [1] - Conversely, other businesses may encounter rising costs and diseconomies of scale, while economies increasingly favor asset-light businesses, leading to a declining need for infrastructure investments over time [1] - A significant amount of capital is pursuing a limited set of investment opportunities, resulting in rising asset prices and compressed risk premia over time [1]

Core Viewpoint - Mobileye Global Inc. is identified as one of the top growth stocks on NASDAQ, with a strong buy rating and a significant upside potential of 178% based on the current price target of $25 set by Tigress Financials analyst Ivan Feinseth [1]. Financial Performance - For FY 2025, Mobileye reported a revenue increase of 15%, with operating cash flow rising over 50% and adjusted operating profit growing by 45% [3]. - The company projects FY 2026 revenue to be between $1.9 billion and $1.98 billion, indicating flat to 5% growth, with EyeQ volume expected to exceed 37 million units [3]. Q1 2026 Outlook - The company anticipates shipping about 10 million EyeQ units in Q1 2026, supporting an expected year-over-year growth of approximately 19% for the first quarter [4]. - Operating expenses are projected to rise by about 10% to $1.1 billion due to inflation, R&D expenses, and foreign exchange impacts, while gross margin is expected to decline year-over-year due to EyeQ5 costs and vehicle mix effects [4]. Business Operations - Mobileye operates as a developer of autonomous driving technologies, including advanced driver assistance systems (ADAS), and segments its offerings into Base ADAS, Cloud-Enhanced ADAS, and Surround ADAS [5].

Core Insights - Mobileye Global (NASDAQ:MBLY) is recognized as a top auto parts stock by hedge funds, with analysts maintaining positive ratings despite some price target adjustments [1][3] Group 1: Analyst Ratings and Price Targets - George Gianarikas from Canaccord Genuity reaffirmed a Buy rating for Mobileye Global, revising the price target from $30 to $24, indicating a potential upside of nearly 159% [1] - Brian Gesuale from Raymond James maintained an Outperform rating on Mobileye Global, setting a price target of $16, which suggests an upside potential of approximately 73% [3] Group 2: Financial Performance - Mobileye Global reported revenues of $446 million, exceeding expectations, and shipped 8.3 million systems at an average unit price of $50.80, benefiting from SuperVision products [4] Group 3: Company Overview - Mobileye Global specializes in advanced driver assistance systems (ADAS) and autonomous driving technologies (AV), offering a range of solutions including Base ADAS, Cloud-Enhanced ADAS, and Surround ADAS, along with various safety features [5]

Core Viewpoint - Mobileye Global Inc. is recognized as a leading investment opportunity in the autonomous vehicle sector, with analysts maintaining a positive outlook despite recent earnings performance [1][2]. Financial Performance - In Q4 2025, Mobileye reported quarterly revenue of $446 million, reflecting an 8.98% decrease year-over-year, but exceeding estimates by $14.15 million [2]. - The GAAP EPS was $0.16, which fell short of estimates by $0.02 [2]. Future Outlook - Management highlighted a robust future automotive revenue pipeline estimated at $24.5 billion over the next eight years, indicating strong momentum entering 2026 [2]. - Analysts at Raymond James noted that the company shipped 8.3 million systems at an average selling price of $50.80, contributing to performance [3]. - There is an anticipated upside potential for Mobileye in the second half of 2026, driven by the revenue mix from SuperVision products [3]. Analyst Ratings - On January 23, Raymond James reiterated a Buy rating on Mobileye with a price target of $16, while Canaccord Genuity also maintained a Buy rating but reduced its price target from $30 to $24 [1].