Arbe Robotics: Strong Buy Rating Backed by Technological Advancements and Market Diversification

Analyst George Gianarikas of Canaccord Genuity reiterated a Buy rating on Arbe Robotics (ARBE – Research Report), retaining the price target of $1.75.

George Gianarikas has given his Buy rating due to a combination of factors that highlight Arbe Robotics’ potential for future growth. Despite recent quarterly results falling short of expectations, the company maintains a positive outlook, anticipating significant advancements with its Tier 1 partners and aiming for four new OEM design wins by 2025. The successful launch of the LRR615 radar in collaboration with HiRain, along with partnerships involving 15 automotive OEMs and integration with Nvidia’s Drive AGX platform, underscores the technological differentiation and potential of Arbe’s imaging radar to enhance autonomous vehicle systems.
Furthermore, Arbe Robotics is gaining traction in non-automotive sectors, with growing demand for its radar chipsets beyond the automotive industry. The company has secured orders from its Tier 1 partner Sensrad for over a thousand imaging radar chips, which will be used in smart city and factory automation applications. This diversification into industrial markets is expected to contribute significantly to the company’s growth, supporting the Buy rating and the $1.75 price target as more deals are anticipated in the latter half of 2025.

According to TipRanks, Gianarikas is an analyst with an average return of -4.4% and a 39.69% success rate. Gianarikas covers the Industrials sector, focusing on stocks such as Surf Air Mobility, Inc., Arq Inc, and Ameresco.

In another report released yesterday, Roth MKM also maintained a Buy rating on the stock with a $3.00 price target.