Mobileye N.V. (MBLY) Stock | Plummets as Citron Calls it Short of the Year


Mobileye N.V.  (NASDAQ: MBLY)


Mobileye N.V. (MBLY) is a software technology company that uses cameras to develop driver assistance systems in vehicles. Mobileye currently supplies industry giants such as Tesla Motors, BMW, Ford Motors, and General Motors with their current driver assistance technology. MBLY shares dropped over 8% on heavy volume on Wednesday afternoon after Citron Research reported that MBLY was the short of the year for 2016. Citron Research is a well known and respected website for predicting short opportunities in the market.  Citron Research based this news on a Bloomberg article that was published on George Hotz. George Hotz had this to say about Mobileye “It’s absurd, they’re a company that’s behind the times, and they have not caught up.” George Hotz is famous for being the first person to hack Apple’s Iphone which he did at the age of 17, then 3 years later cracked Sony Playstation 3. He is regarded as a genius in the field of technology. The comments were made about Mobileye as George Hotz is preparing to build his own self driving car, and was talking about the current technology being used by Mobileye. The article mentioned that Tesla CEO Elon Musk had been in contact with George Hotz regarding building a better system than the one his company currently uses from Mobileye. The news obviously had a drastic effect on Mobileye’s current stock price and may hang over the company for the year to come.


Mobileye N.V. Spokesman Comments

Mobileye spokesman Yonah Lloyd denies that the company’s technology is outdated.

“Our code is based on the latest and modern AI techniques using end-to-end deep network algorithms for sensing and control.” Bloomberg


Company Profile

Mobileye N.V., incorporated in 2001, is engaged in the design and development of software and related technologies for camera-based Advanced Driver Assistance Systems (ADAS). The Company operates through two segments: Original Equipment Manufacturing (OEM) and After Market (AM).

The Company’s software algorithms and EyeQ chips perform 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. As of December 31, 2014, its technology was available in 160 car models from 18 original equipment manufacturers. Its aftermarket customers include commercial and governmental fleets, telematics providers and insurance companies.

The Company’s software algorithms and EyeQ SoC provides drivers with interpretations of a scene in real-time and an immediate evaluation based on the analysis. Its products use monocular camera processing that works alone or together with radar for redundancy. Its Tier 1 customers include Autoliv, Inc., Delphi Automotive Plc, Gentex Corporation, HiRain, Key Safety Systems, Leopold Kostal GmbH, Magna Electronics Inc., Mando Corporation, Nidec Elesys, Sony Corporation, Taiwan Calsonic, TRW Automotive Holdings Corp. (TRW) and Valeo, as well as Bendix Corporation and Mobis Transportation Alternatives, Inc.” Reuters