Mobileye (MBLY, Financial) saw its stock rise by 5% in premarket trading to $12.70 following an upgrade from BNP Paribas Exane. The investment firm lifted its rating on Mobileye from "Underperform" to "Neutral" just ahead of the company's first-quarter earnings report.
The analyst's note highlights that Mobileye benefits from higher gross margins compared to its competitors, largely due to its strategy of not manufacturing its own chips. This approach allows the company to maintain profitability despite the challenges posed by international tariffs, which are expected to primarily affect production volumes rather than financial performance.
Further bolstering Mobileye’s outlook is its ongoing partnership with Volkswagen, which is anticipated to support continued growth. The collaboration positions Mobileye favorably within the automotive sector, providing a robust foundation for future expansion.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 26 analysts, the average target price for Mobileye Global Inc (MBLY, Financial) is $19.21 with a high estimate of $33.00 and a low estimate of $14.00. The average target implies an upside of 59.44% from the current price of $12.05. More detailed estimate data can be found on the Mobileye Global Inc (MBLY) Forecast page.
Based on the consensus recommendation from 28 brokerage firms, Mobileye Global Inc's (MBLY, Financial) average brokerage recommendation is currently 2.4, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
