Mobileye posts surprise growth, raises outlook as shares rally
Revenue jumps 27% as autonomous driving firm rebounds from stock slump and strategic uncertainty.
After issuing a disappointing outlook for 2026 at the beginning of the year, Mobileye is now reporting a strong first quarter and raising its full-year forecast.
The autonomous driving company, led by Amnon Shashua, posted revenue of $558 million in the first three months of the year, a 27% increase that exceeded expectations. The figure also marks a sharp rebound from the $446 million reported in the final quarter of 2025.
Against this backdrop, Mobileye has modestly raised its full-year guidance by around 2% and now expects revenue of between $1.9 billion and $2 billion in 2026. The market responded positively, with the company’s shares rising 12% in pre-market trading.
The results come after a difficult period for the stock, which has fallen roughly 30% since the start of the year. Prior to the earnings release, Mobileye was trading at an all-time low, reflecting a market value of about $6.7 billion, less than half the valuation at which it was acquired by Intel in 2017. Since its return to the public markets, the stock has declined by approximately 70%.
The drop in valuation led to a substantial goodwill impairment of $3.8 billion, resulting in a reported operating loss and a net loss of the same magnitude. Excluding this non-cash write-off, however, Mobileye reported an operating profit of $95 million, up 61% compared to the previous quarter, alongside a similar level of net profit. Cash flow from operations totaled $75 million.
In February, Mobileye completed the acquisition of Mentee Robotics in a related-party transaction valued at nearly $1 billion. Following the deal, the company’s cash position declined by $591 million to $1.3 billion.
The acquisition is expected to expand Mobileye’s presence in the emerging “physical AI” market and reduce its reliance on the cyclical automotive sector, where competition, particularly in robotaxis, continues to intensify.
At the same time, Mobileye is signaling a shift in strategy. The company is exploring a potential sale of Moovit, which Intel acquired for $1 billion in 2020 to support mapping and data capabilities for autonomous vehicles. A divestment would mark a departure from that earlier vision and underscore Mobileye’s evolving priorities.
