MBLY - Is Mobileye Stock a Buy for 2024?
2024-01-10 05:15:00 ET
If there was any joy among automotive technology investors to kick off 2024, Mobileye Global (NASDAQ: MBLY) quickly kicked that to the curb. The company, which is nearly 90% owned by parent Intel (NASDAQ: INTC) , is still finalizing its financial results for last year. There seem to be no issues for 2023. But the early outlook for 2024 was a zinger.
After a couple years of stellar growth -- driven by higher demand for self-driving car tech and advanced driver assist systems (ADAS), as well as automakers' desire to increase electronics inventory after the disastrous chip shortage of 2021 and 2022 -- Mobileye's run higher has come to an end. The question now is how long the downturn will last. Here's what you need to know about investing in Mobileye in 2024.
For the end of 2023, Mobileye tightened up its previous guidance and actually expects a healthy year-over-year growth rate of about 12.5% in both revenue and adjusted operating income. Not bad. Clearly the company continues to win with its lineup of processors geared toward vehicle autonomy and ADAS (lane change assist, collision avoidance, adaptive cruise control, parking visualization and assist, etc.).
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Is Mobileye Stock a Buy for 2024?