Piper Sandler Upgrades $MBLY and Raises Price Target to $12

Piper Sandler upgraded Mobileye, $MBLY, from Neutral to Overweight and raised its price target from $10 to $12 .
Analyst Alexander Potter argues that $MBLY is approaching a valuation floor after shares fell sharply following the announcement that CEO Amnon Shashua will resign. Despite the sell-off, Piper increased its estimates after the company’s Q2 earnings call.
The firm is also encouraged by Mobileye’s decision to deploy its own humanoid robots and robo-taxis rather than relying solely on slower-moving automakers to adopt its next-generation technology.
With shares trading slightly above $7.50 , Piper believes the current level offers a reasonable downside floor.