Mobileye Global Inc expected to post earnings of 10 cents a share - Earnings Preview

What happened

Mobileye Global is expected to report a 5.4% fall in quarterly revenue to $476.901 million, from $504 million a year earlier, when it reports results on October 29. Analysts expect earnings of 10 cents a share, based on estimates from 18 analysts.

Confirmed

Global impact / market context

Lower expected revenue means the company is likely selling less of its driver-assistance technology than a year ago. Because analysts still expect a profit, investors will compare the 10 cents a share with past results, where Mobileye often beat estimates, which may shape views on growth.

Analyst inference

The average analyst rating is hold, split between 11 buy, 13 hold and 2 sell recommendations. The median 12-month price target of $11.00 is about 65.2% above the last closing price of $6.66, suggesting analysts see value even as revenue is expected to fall.

Analyst inference

What to watch

1. Revenue guidance given on July 23 was between $473.76 million and $478.80 million for the quarter, so a result inside that range would be consistent with the company's own forecast. Confirmed
2. Whether the quarterly profit per share meets the 10-cent estimate, after several recent quarters beat estimates, may influence investor confidence in future earnings. Analyst inference
3. Watch whether analysts change their hold ratings or $11.00 median price target after the report, which would signal views on future revenue and spending plans. Proposed

Evidence

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