Mobileye Global Inc's MBLY stock traded higher on Wednesday after it announced a deal with a global automaker.
For the first time, the automaker has chosen Mobileye Imaging Radar as a key component of its upcoming eyes-off, hands-off automated driving system in personal vehicles, following an extensive years-long evaluation of Mobileye's technology and competing systems.
Starting in 2028, this new Mobileye customer plans to use the imaging radar to deliver SAE Level 3 automated driving at highway speeds.
Also Read: Intel Autonomous Driving Firm Mobileye Reaffirms 2025 Outlook After Record Q1 Growth
The radar is designed to provide exceptional detection of vehicles, people, and objects in conditions that challenge existing sensors.
In development since 2018, Mobileye's 4D imaging radar was designed to provide sensor redundancy through superior perception in challenging lighting, environmental, and traffic scenarios, complementing camera-based perception at affordable costs. This is intended to enable safe and scalable autonomous driving systems, from robotaxis to consumer AVs.
Mobileye Global stock plunged 15% year-to-date. Multiple Wall Street analysts cut their price targets on the stock, including a rating downgrade by Barclays. Needham analyst Quinn Bolton cut his price target on the stock in April after reducing his 2026 forecasts to reflect anticipated delays in SuperVision and CAV unit volumes, which are influenced by uncertainty around tariffs.
However, the analyst also highlighted several positives from the quarter, including strong design win momentum, such as Mobileye's first Surround ADAS win and a significant ADAS contract with a Korean automaker.
The analyst also noted continued progress in robotaxi partnerships with Uber Technologies, Inc. UBER and Lyft, Inc. LYFT, which could become meaningful by 2027.
Price Action: MBLY shares are trading higher by 4.6% to $16.99 at last check Wednesday.
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Unlock RankingsEdge RankingsMomentum47.49Growth59.21QualityNot AvailableValue18.80Price TrendShortMediumLongOverviewMBLYMobileye Global Inc$16.994.62%UBERUber Technologies Inc$89.040.04%Market News and Data brought to you by Benzinga APIs