Mobileye Raises Annual Revenue Forecast Amid Secondary Share Offering

Mobileye Global has raised its annual revenue forecast, with UBS adjusting its price target to $18 from $15. The company's latest earnings report showed a strong first quarter, with revenue of $438m, beating estimates. Mobileye also announced a secondary public offering of 50 million shares at $16.50 per share.

Mobileye Global Inc. (Nasdaq: MBLY) has significantly revised its full-year revenue outlook upward, reflecting robust performance in the second quarter of 2025. The company reported revenue of $506 million for the period, representing a 15% year-over-year increase. This growth was driven by strong demand across the business, particularly in EyeQ volumes, which saw a 28% increase. Gross margin improved by approximately 2 percentage points, while operating income and adjusted operating income also showed significant improvements, up by 21% and 34%, respectively [1].

Mobileye's President and CEO, Prof. Amnon Shashua, attributed the strong performance to favorable supply-demand dynamics and progress on advanced product programs. The company's advanced products, including Drive and SuperVision, are expected to drive growth in 2027, with Volkswagen's ID.Buzz autonomous driving version and the upcoming fully driverless deployments in the US in 2026 serving as key milestones [1].

The financial highlights of the second quarter include a gross profit of $252 million, up 21% year-over-year, and an adjusted operating income of $106 million, up 34%. The company generated $322 million in net cash from operating activities for the six months ended June 28, 2025, with a strong balance sheet featuring $1.7 billion in cash and cash equivalents and zero debt [1].

Mobileye also announced a secondary public offering of 50 million shares at $16.50 per share, raising $825 million. This offering will be used to repurchase shares from Intel and fund future growth initiatives [1].

In response to Mobileye's strong performance, UBS has adjusted its price target to $18 from $15, reflecting the company's improved outlook and financial results [1].

References:
[1] https://www.businesswire.com/news/home/20250724806391/en/Mobileye-Releases-Second-Quarter-2025-Results-Updates-Full-year-2025-Outlook-and-Provides-Business-Overview