Mobileye Global Inc. (NASDAQ:MBLY) shares rebounded 5% on Wednesday after posting strong preliminary Q2 results, reversing a 10% after-hours decline triggered by Intel’s (NASDAQ:INTC) plan to offload 45 million shares in a secondary offering.
Q2 Highlights: Strong Growth Amid Supply Chain Normalization
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Estimated Revenue: $502M–$506M
YoY growth of 14–15% vs. $439M in Q2 2023 -
Adjusted Operating Income: $98M–$104M
Up from $79M YoY
Growth was driven by:
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Rising demand for EyeQ system-on-chip products.
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Inventory normalization by Tier 1 automotive suppliers.
Intel’s Strategic Maneuvering
Despite the positive fundamentals, initial market reaction was spooked by Intel’s announcement of a large secondary share offering:
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45M Class A shares for sale.
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30-day option for underwriters to purchase an additional 6.75M shares.
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Mobileye will repurchase $100M of its shares from Intel at the offering price.
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Intel to convert 50M Class B shares to Class A, but won’t sell them—at least not immediately.
This dual move—offloading shares while maintaining a strategic stake—signals Intel’s balancing act between liquidity and long-term conviction in Mobileye.
Market Drivers to Watch
Mobileye noted continued strength in automotive demand but remains watchful of macroeconomic risks—especially tariff volatility and potential trade-related headwinds.
For Deeper Analysis: Recommended APIs
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Earnings Historical API
→ Track Mobileye’s earnings growth trends across quarters and evaluate consistency with forward guidance. -
Key Metrics (TTM) API
→ Analyze Mobileye’s trailing twelve-month (TTM) metrics, including revenue per share and ROIC, to gauge ongoing operational efficiency.
Bottom Line
While Intel’s share sale may appear concerning on the surface, Mobileye’s fundamentals are telling a different story. Strong Q2 growth, robust EyeQ demand, and a thoughtful capital structure strategy have put the spotlight back on execution. Investors betting on the long-term future of autonomous and assisted driving tech are watching this space closely.
