Mobileye Global (NASDAQ: MBLY) released its quarterly earnings results on Thursday, reporting earnings per share of $0.06, which aligns with analysts’ expectations. The company generated $446 million in revenue for the quarter, surpassing the consensus estimate of $430.69 million, according to Briefing.com. Despite these financial metrics, Mobileye experienced a notable 9% decline in revenue compared to the same quarter last year, when it recorded earnings of $0.13 per share.
Financial Performance and Market Reaction
The financial report revealed a negative net margin of 17.34% along with a modest return on equity of 0.68%. Following the earnings announcement, shares of Mobileye traded down by $0.45, bringing the stock price to $10.43. During the trading session, 6,686,677 shares changed hands, significantly lower than the average volume of 13,841,119. Currently, the stock has a market capitalization of $8.49 billion, a price-to-earnings (P/E) ratio of -24.65, and a price-to-earnings-growth (PEG) ratio of 3.04.
Over the past year, Mobileye’s stock has experienced fluctuations, with a low of $10.04 and a high of $20.18. The company’s fifty-day moving average rests at $11.11, while the 200-day moving average stands at $13.27.
Analyst Ratings and Future Outlook
Mobileye has been the subject of various analyst evaluations recently. UBS Group downgraded its price target from $17.00 to $13.00, maintaining a “neutral” rating. Similarly, Mizuho adjusted its price objective from $17.00 to $15.00, also issuing a “neutral” rating. Barclays, on the other hand, upgraded Mobileye from an “equal weight” rating to “overweight,” while lowering its price target from $17.00 to $16.00.
Wolfe Research downgraded Mobileye from “outperform” to “peer perform,” while Morgan Stanley also reduced its target price from $17.00 to $13.00 with an “equal weight” rating. According to MarketBeat.com, Mobileye currently holds a consensus rating of “Hold,” with an average target price of $17.28.
Founded in 1999 and headquartered in Jerusalem, Israel, Mobileye Global is a pioneer in developing advanced driver-assistance systems (ADAS) and autonomous driving technologies. The company specializes in computer vision-based solutions that enable vehicles to recognize and respond to their surroundings. Its flagship product, the EyeQ system-on-a-chip (SoC), processes video streams from automotive cameras, facilitating features such as lane-keeping assist, adaptive cruise control, and collision prevention.
As Mobileye navigates a challenging market environment, investors and analysts will be closely watching its performance in upcoming quarters.
