Mobileye Stock Drops Amid Weak 2025 Revenue Forecast

Mobileye Global's shares fell sharply after the company reported a fourth-quarter loss and provided a revenue forecast for 2025 that fell below Wall Street expectations. The company reported a net loss of $71 million for the quarter, compared to a profit the previous year, and revenues declined by 23% to $490 million. Despite surpassing some analyst estimates, the company has struggled with inventory build-up, weak consumer demand, and competition in China. Mobileye forecasts 2025 revenue between $1.69 billion and $1.81 billion, below the $1.94 billion anticipated by analysts. The company has experienced a significant decline in stock value, falling 40% over the past year. However, Mobileye's operations generated positive cash flow, and the company ended 2024 with substantial cash reserves, indicating some financial stability despite current challenges.