Mobileye (MBLY), which develops so-called Advanced Driver Assistance Systems (ADAS), pulled off its IPO in late July and the deal was certainly a hot one. The company priced its shares at $25, which was above the projected $21-to-$23 range. As of now, MBLY is trading above $44.
So is there still an opportunity here? Or should investors be cautious with Mobileye?
Let’s take a look at the core business. MBLY uses low-cost cameras to provide safety features in cars. The technology, which is powered by sophisticated software algorithms and EyeQ chips, can anticipate possible collisions with other vehicles, cyclists, pedestrians, animals and debris. The Mobileye system can also detect such things as lanes, signs, traffic lights and barriers. Read