Mobileye price target lowered to $24 from $34 at RBC Capital

RBC Capital analyst Tom Narayan lowered the firm’s price target on Mobileye to $24 from $34 and keeps an Outperform rating on the shares. The analyst cites the company’s revised FY24 guidance, calling for a 13% cut to its prior revenue forecast at the mid-point due to the reductions in its EyeQ and SuperVision shipments in the second half of the year amid more significant than anticipated softening of business conditions in China.” Despite the management’s “credibility problem” following three consecutive guidance cuts however, the firm remains confident in seeing SuperVision wins announced in the second half, RBC tells investors in a research note.