Mobileye (MBLY)

I am sorry I didn’t post about this company when John Sergeant first brought it to my attention on the Tesla board about a week ago but it still may be worth following. Unfortunately or fortunately, depending on your perspective it got a boost yesterday when Obama administration announced new initiative to focus on Advanced Driver Assistance Systems. ADAS is the technology expected to move forward the era of self-driving cars. Tesla already incorporates some MBLY technology in their model S vehicle.

MBLY ipo’d earlier this month, promptly dropped in share price and is now recovering and moving back toward its high. Still may be worth a speculative small nibble. I have NOT carefully studied this company. Seeking Alpha article notes. Here is a link to their IPO prospective:

http://www.nasdaq.com/markets/ipos/filing.ashx?filingid=9678…

Revenue has quadrupled since 2011 and they are finally net income positive. Here are some Seeking Alpha notes:

Mobileye is the only real pure-play for investors looking for ADAS and autonomous driving exposure, and has already demonstrated autonomous driving capabilities.

15 years of R&D in ADAS technology has yielded a dataset giving Mobileye a distinct competitive advantage - ~5-8 year head start on the competition.

I am very busy in my practice and have not had enough time to adequately research this company yet. Never the less I took a very minuscule position yesterday so it will stay on my radar. It does seem like the type of company that David G likes for his RB service.

Any thoughts?

D.

3 Likes

This stock was talked about on Fast Money yesterday. I got me interested enough to put it in CAPS. I was thinking of doing the same thing, buy a small position to force myself to do the research…

I am going to put an order in right now.