What's Going On With Autonomous Driving Stock Mobileye Thursday?

Mobileye Global Inc MBLY stock was trading higher Thursday after Intel Corp INTC said it does not plan to divest its majority interest in the company. U.S. Fed rate cut also had a bearing on the stock price movement.

Intel made the statement after winning a multi-year, multi-billion-dollar U.S. chipmaking deal from existing customer Amazon.com Inc AMZN cloud unit and U.S. semiconductor grant.

Intel also won up to $3 billion in CHIPS and Science Act funding, in addition to the $8.5 billion in grants and $11 billion in loans the struggling chipmaker previously won under the act.

Also Read: Intel Missed Out on PlayStation 6 Chip Deal to AMD: Report

Intel stock is down 43% in the last 12 months as its foundry unit failed to capitalize on the AI shift.

Prior reports indicated Intel’s plans to divest up to 88% of its stake in the Israeli autonomous driving company.

Mobileye Global stock is down 70% in the last 12 months as it slashed revenue guidance after posting a topline decline in the second quarter. The company also flagged impending challenges due to China's weak demand.

It expects fiscal 2024 revenue of $1.60 billion–$1.68 billion below the $1.87 billion analyst estimate.

Price Action: MBLY stock is up 14.4% at $13.28 at last check Thursday.

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Photo courtesy of Mobileye.