While not necessarily bad news for Mobileye NV (NYSE:MBLY), the market is certainly looking at it that way after news broke this morning that Google and Ford are teaming to work on self-driving vehicles. While Mobileye NV (NYSE:MBLY) has been a supplier of camera-based advanced driver assistance systems to Ford in the past, news that the company is now teaming with Google may in fact mean that Ford will cut Mobileye NV (NYSE:MBLY) out of the picture altogether. Whether this is the case or not, it’s way to early to tell. Shares of Mobileye are down in late morning trading, as investors weigh their options in the self-driving vehicle space.
The stock has fallen 0.76% or $0.31 following this negative news, hitting $40.64 per share. Approximately 1.28M shares traded hands. MBLY shares have declined 13.93% since May 19, 2015 and are currently downtrending. It has underperformed the S&P500 by 11.67%.
From a total of 8 analysts covering Mobileye (NYSE:MBLY) stock, 6 rate it a “Buy”, 0 a “Sell”, and 2 a “Hold”. This means that 75% of the ratings are positive. The highest target price is $80 while the lowest target price is $50. The mean of all analyst targets is $70.67 which is 73.89% above today’s ($40.64) stock price. Mobileye was the topic of 10 analyst reports since July 22, 2015 according to the firm StockzIntelligence Inc. FBR Capital initiated shares on December 10 with a “Mkt Perform” rating. Barclays Capital upgraded MBLY stock in a recent report from October 9 to a “Neutral” rating.
Mobileye NV designs and develops software and related technologies for camera advanced driver assistance systems . The company has a market cap of $8.74 billion. The Company’s software algorithms and EyeQ system on a chip (SOC) perform detailed interpretations of the visual field in order to anticipate possible collisions with other vehicles, pedestrians, cyclists, animals, debris and other obstacles. It has 185.9 P/E ratio. The Company’s products are also able to detect roadway markings such as lanes, road boundaries, barriers and similar items, as well as to identify and read traffic signs and traffic lights.