Mobileye N.V. (NASDAQ: MBLY)
On Tuesday, Mobileye N.V., the leader in the development of advanced driver assistance systems and autonomous driving, reported record financial results for the third quarter of 2015. Revenue and earnings for the quarter both beat analyst’s consensus estimates.
MBLY Earnings and Outlook
Gross revenue for the third quarter was $70.6 million, a 104% year-over-year increase beating consensus estimate of $64.5 million. Non-GAAP net income for the quarter was $34.9 million versus analyst’s expectations of $23.8 million. The company generated $25.6 million in free cash flow for the 2015 third quarter compared to $10.4 million for the comparable 2014 quarter. PR Newswire
“Our third quarter results highlight the growing interest from OEMs, consumers and regulatory agencies to include advanced safety features in vehicles,” stated Ziv Aviram, co-founder, president and chief executive officer of Mobileye. “We launched new programs with autonomous emergency braking, a feature being standardized around the world, and recently released semantic free-space and holistic path prediction, the most innovative vision technologies for road scene interpretation. Our commitment to innovation, ability to add successful program launches and provide best-in-class technologies for autonomous driving further strengthens our leadership in the ADAS and autonomous driving market.” Yahoo Finance
MBLY Technical Analysis
MBLY stock is up 19.7% year to date, but sits well below the July all-time-high of $64.48. For the past two month the stock has consolidated sideways in range between $42.00 and $49.80. On Wednesday, MBLY pushed above this range to $50.35 and saw some volume trading before pulling back. The stock had modest gains over the past two days and finished trading Wednesday at $48.54 a 6.6% increase over Monday’s pre-earnings close.
On the long side, resistance sits at $48.90 and $49.30 and $49.80. A volume move through, and hold above $50.35 could indicate a longer-term bullish break out. On the bearish side, support sits at $48.20, $48 and $47.40. If MBLY does not break to the upside over the next couple of days, I would anticipate continued choppy action within the consolidation range. I will watch price action for breaks or reversals at each of the support and resistance levels.
Mobileye Company Profile
Mobileye NV designs and develops software and related technologies for camera-based advanced driver assistance systems (ADAS). 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. Its 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. It operates in two segments: the original equipment manufacturer segment and the AM segment. The OEM segment supplies the software algorithms and EyeQ chip that are the core technology of the complete ADAS to the Tier 1 companies that are the system integrators for the automotive industry. In the AM segment, it sells a complete system, which includes its software algorithms and EyeQ chip, as well as the camera and other necessary components. Google Finance