Credit Suisse Gains Conviction On Luminar, Thanks To Volvo, Mercedes, Nvidia

Credit Suisse analyst Dan Levy initiated coverage of Luminar Technologies Inc LAZR with an Outperform rating and a $22 price target (51% upside).
The analyst is optimistic about Luminar, as he believes the company is the "best of breed in the rapidly growing" mobility LiDAR market.
Its commercial progress reflects a moat in LiDAR for advanced safety/highway autopilot.
Luminar is the LiDAR company that has thus far seen the most vital commercial validation points, supporting the case that it can capitalize on the rapidly growing TAM of automotive LiDAR.
Luminar's most notable wins are those with Volvo AB VOLVF, Mercedes-Benz Group AG DMLRY, and NVIDIA Corp NVDA. The commercial wins support a positive flywheel effect.
The ongoing validation data points make Luminar better positioned to secure further commercial wins, enabling the company to achieve scale better, reduce costs and drive further commercial success as lower price points are unlocked.
Price Action: LAZR shares traded higher by 0.24% at $14.69 on the last check Thursday.