April 23 (Reuters) – Mobileye Global raised its annual revenue forecast on Thursday, buoyed by robust demand for its advanced driver-assistance systems as automakers placed more orders after working through an inventory glut last year.
Shares of the self-driving tech company jumped nearly 14% in early trading, after it also topped Wall Street estimates for first-quarter results and said it expects upbeat demand in the current quarter as well.
Car manufacturers are now restocking inventories after grappling with years of pandemic-related surplus, benefiting Mobileye at a time when a growing shift toward self-driving technologies is already boosting demand for its chips and software.
Mobileye said its first-quarter results reflect a stronger-than-expected start to 2026. Executives on a post-earnings call said demand in China was healthy, and also noted the company’s recent ADAS partnership with Indian automaker Mahindra & Mahindra.
“The geopolitical and economic environment remains volatile, but based on our visibility for the second quarter, we believe there is sufficient conservatism baked into the second half” of the year, Mobileye CEO Amnon Shashua said.
Chipmaker Texas Instruments on Wednesday also projected strong quarterly results, partly due to a recovery in the auto industry, and said it expects continued growth in the automotive market even as tariff and cost pressures bite.
Jerusalem, Israel-based Mobileye reported revenue of $558 million for the first quarter ended March, compared with analysts’ average estimate of $515.6 million, according to data compiled by LSEG.
Adjusted earnings of 12 cents per share also topped expectations of 9 cents per share.
Mobileye now expects 2026 revenue between $1.94 billion and $2.02 billion, compared with its previous forecast of $1.90 billion and $1.98 billion. Analysts on average were expecting revenue of $1.95 billion.
(Reporting by Deborah Sophia and Anhata Rooprai in Bengaluru; Editing by Leroy Leo)
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