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Mobileye shares plunge after Q2 beat and CEO stepping-down news
Even after Mobileye reported second-quarter revenue of $508 million and raised full-year revenue guidance to a $2.0 billion midpoint, it forecast a 5% to 6% sequential revenue decline for Q3.
Mobileye said it delivered a second-quarter 2026 beat, but its stock slid sharply after the results and an accompanying CEO leadership change. On July 23, 2026, the autonomous-driving company reported revenue of $508 million and adjusted EPS of $0.19, both ahead of Wall Street expectations, and it also raised full-year guidance, according to Yahoo Finance.
Founder and long-time CEO Amnon Shashua announced he will step down after 27 years once a successor is named. Mobileye also guided for third-quarter revenue to decline 5% to 6% sequentially, adding to investor concern despite the quarter’s stronger-than-expected profit picture.
Investors reacted quickly, with shares dropping about 15% in a single session, its steepest decline in nearly two years. Over the past 52 weeks, the stock is down 46.8%, and it is down 21.4% year to date.
Mobileye’s quarter included improved profitability, with adjusted operating income of $155 million versus a $42.74 million estimate, and margin rising to 30.5%. The company’s full-year revenue guidance moved to a $2.0 billion midpoint from $1.98 billion, while free cash flow remained negative at -$45 million, though that was an improvement from -$199 million in the year-ago quarter.