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Innoviz Technologies (INVZ)
NASDAQ:INVZ
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Innoviz Technologies
(NASDAQ:INVZ)
Rating:61Neutral
Price Target:
$1.50
▼(-10.71%Downside)
Positive Factors
Manufacturing Expansion
Innoviz Technologies is expanding its contract manufacturing capacity significantly, which is expected to support increased production for existing customers.
Technology Development
Innoviz Technologies is advancing in technology development, reaching the C-sample stage for its InnovizTwo LiDAR sensors and focusing on validating production quality.
Negative Factors
Cash Flow
Reported a decrease in cash and cash equivalents, with net cash used in operations and capex combined at ~$17.7M.
Revenue Expectations
Downgraded to Neutral due to lower revenue expectations and slower-than-expected ramp-up in product shipments.
Innoviz Technologies (INVZ) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$318.34M
Dividend YieldN/A
Average Volume (3M)8.03M
Price to Earnings (P/E)―
Beta (1Y)2.72
Revenue Growth28.52%
EPS Growth41.32%
CountryUS
Employees415
SectorConsumer Cyclical
Sector Strength64
IndustryAuto - Parts
Share Statistics
EPS (TTM)-0.07
Shares Outstanding198,961,960
10 Day Avg. Volume8,876,712
30 Day Avg. Volume8,030,166
Financial Highlights & Ratios
PEG Ratio-0.41
Price to Book (P/B)2.51
Price to Sales (P/S)0.00
P/FCF Ratio-3.68
Enterprise Value/Market Cap0.96
Enterprise Value/Revenue2.46
Enterprise Value/Gross Profit42.91
Enterprise Value/Ebitda-0.80
Forecast
1Y Price Target
$2.75Price Target Upside63.69% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
Innoviz Technologies Business Overview & Revenue Model
Company DescriptionInnoviz Technologies Ltd. (INVZ) is a leading provider in the automotive industry, renowned for its innovative LiDAR (Light Detection and Ranging) solutions. The company specializes in developing cutting-edge hardware and software for autonomous vehicles, offering products that enhance vehicle safety with high-performance sensing technology. Innoviz's LiDAR systems are designed to meet the demanding requirements of automotive-grade autonomous driving platforms.
How the Company Makes MoneyInnoviz Technologies primarily generates revenue through the sale of its LiDAR products and related software solutions to automotive manufacturers and suppliers. The company forms strategic partnerships with key players in the automotive industry to integrate its technology into vehicles, thus enabling advanced driver-assistance systems (ADAS) and autonomous driving capabilities. Additionally, Innoviz may engage in licensing agreements for its proprietary technology, offering another revenue stream. Significant collaborations with major automotive OEMs and tier-1 suppliers bolster its market presence and contribute to its earnings.
Innoviz Technologies Earnings Call Summary
Earnings Call Date:May 14, 2025
(Q1-2025)
| % Change Since: 66.34%|
Next Earnings Date:Aug 06, 2025
Earnings Call Sentiment Positive
The earnings call reflected a strong positive sentiment overall with record-breaking revenue and growth, strategic partnerships, and expanding collaborations, particularly in the automotive and robotaxi sectors. Despite some concerns about tariff implications and lumpy margins, the positive developments and strategic advancements significantly outweighed the challenges.Q1-2025 Updates
Positive Updates
Record-Breaking Revenue and Growth
Innoviz reported Q1 revenues of $17.4 million, approximately 3x sequentially and 2.5x year-over-year, setting a new record for the company. Gross margin was also a record at approximately 40%.
Significant NRE Payment Plan Expansion
Innoviz expanded its NRE payment plan from approximately $80 million to $95 million, with the majority of cash payments expected in 2025 and 2026.
Strategic Partnership with Fabrinet
Innoviz announced a partnership with Fabrinet for the mass production of its InnovizTwo platform, enabling efficient scaling and volume production.
Accelerating Robotaxi Deployments
Innoviz is accelerating LiDAR shipments to Volkswagen autonomous mobility for the ID. Buzz on the Mobileye Drive platform, with hundreds of shuttles equipped with InnovizTwo LiDARs expected in 2025.
Expanding Collaboration with NVIDIA
Innoviz is expanding its collaboration with NVIDIA on the Hyperion platform, with multiple OEMs evaluating it for integration into their vehicles.
Strong Financial Position
Innoviz ended the quarter with $85.4 million in cash and cash equivalents, supported by a registered direct offering and ongoing customer engagements.
Negative Updates
Tariff Uncertainty
There is an ongoing uncertainty regarding U.S. tariffs, although Innoviz expects minimal impact due to their automotive component classification and manufacturing flexibility with Fabrinet.
Lumpy Gross Margins
Future gross margins are expected to be lumpy due to product ramp timelines and NRE flow based on customer milestones.
Company Guidance
In the Q1 2025 earnings call, Innoviz reported record revenues of $17.4 million, marking a nearly threefold increase sequentially and approximately 2.5 times year-over-year growth, alongside a record gross margin of 40%. The quarter's financial strength was significantly bolstered by a $95 million NRE payment plan with key customers, an increase from the previous $80 million. The company highlighted its strategic partnership with Fabrinet for mass production of the InnovizTwo platform, expected to scale production capacity by an order of magnitude in 2025. Innoviz also announced accelerated LiDAR shipments to Volkswagen for their autonomous mobility ID. Buzz vehicles, which will feature nine InnovizTwo LiDARs each. The company aims for a twofold revenue increase to $50-$60 million in 2025 and plans to manage cash burn while pursuing new opportunities, including expanding collaborations with NVIDIA and exploring non-automotive markets.Innoviz Technologies Financial Statement Overview
Summary
Innoviz Technologies shows robust revenue growth but remains unprofitable, with negative margins indicating operational inefficiencies. The balance sheet is strong, with low leverage, providing a cushion against ongoing losses. Cash flow remains a concern, with negative free cash flow underscoring the need for improved operational performance. Overall, while there are growth prospects, the company must address profitability to ensure long-term sustainability.Income Statement
Innoviz Technologies has shown significant revenue growth with a TTM revenue increase to 34.6 million from 24.3 million in the previous year. However, the company continues to operate at a loss, with negative net and gross margins. The net loss has decreased from last year, but profitability remains a challenge with negative EBIT and EBITDA margins.35
Negative
Balance Sheet
Innoviz maintains a strong equity base, with a debt-to-equity ratio of 0.26, indicating low leverage. The equity ratio is healthy at 68.6%, reflecting a solid capital structure. Despite a stable balance sheet, the company is still unprofitable, which could impact equity if losses persist.60
Neutral
Cash Flow
The company's cash flow from operations remains negative, reflecting ongoing operational challenges. Free cash flow is also negative, indicating the company is consuming cash. However, there is a slight improvement in operating cash flow year-over-year, and financing activities have provided a cash influx.40
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 34.60M | 24.27M | 20.88M | 6.03M | 5.47M | -9.36M |
| Gross Profit | 7.12M | -1.16M | -11.61M | -8.76M | -5.02M | -15.77M |
| EBITDA | -76.29M | -94.13M | -123.41M | -126.24M | -153.69M | -79.82M |
| Net Income | -77.26M | -94.76M | -123.45M | -126.87M | -153.56M | -81.51M |
Balance Sheet | ||||||
| Total Assets | 157.12M | 132.05M | 219.23M | 255.43M | 327.22M | 72.56M |
| Cash, Cash Equivalents and Short-Term Investments | 85.38M | 67.95M | 145.37M | 178.08M | 265.73M | 49.95M |
| Total Debt | 28.29M | 29.59M | 32.51M | 33.92M | 0.00 | 2.50M |
| Total Liabilities | 49.36M | 53.12M | 65.94M | 63.42M | 28.42M | 296.31M |
| Stockholders Equity | 107.77M | 78.93M | 153.29M | 192.02M | 298.80M | -223.75M |
Cash Flow | ||||||
| Free Cash Flow | -79.02M | -81.37M | -99.63M | -115.98M | -88.14M | -67.06M |
| Operating Cash Flow | -73.85M | -76.95M | -93.05M | -93.41M | -84.35M | -61.94M |
| Investing Cash Flow | 34.86M | 75.47M | 1.06M | 125.35M | -281.60M | 29.59M |
| Financing Cash Flow | 37.92M | 224.00K | 61.86M | 609.00K | 339.01M | 8.94M |
Innoviz Technologies Technical Analysis
Positive
1.68
Price Trends
1.07
Positive
0.88
Positive
0.97
Positive
Market Momentum
0.17
Negative
69.69
Neutral
82.88
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For INVZ, the sentiment is Positive. The current price of 1.68 is above the 20-day moving average (MA) of 1.37, above the 50-day MA of 1.07, and above the 200-day MA of 0.97, indicating a bullish trend. The MACD of 0.17 indicates Negative momentum. The RSI at 69.69 is Neutral, neither overbought nor oversold. The STOCH value of 82.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for INVZ.
Innoviz Technologies Risk Analysis
Innoviz Technologies disclosed 47 risk factors in its most recent earnings report. Innoviz Technologies reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Innoviz Technologies Peers Comparison
Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | £1.72B | 10.45 | 6.12% | 3.16% | 0.58% | -32.48% | |
63 Neutral | $3.04B | ― | -0.30% | ― | 23.48% | 97.67% | |
61 Neutral | $318.34M | ― | -65.19% | ― | 28.52% | 41.32% | |
51 Neutral | $1.70B | ― | -113.70% | ― | 95.90% | 10.38% | |
46 Neutral | $264.60M | ― | -21.13% | ― | 451.93% | 49.23% | |
45 Neutral | $146.19M | ― | 146.24% | ― | -3.84% | 67.67% | |
44 Neutral | $777.36M | ― | 102.04% | ― | 21.32% | 17.48% |
* Consumer Cyclical Sector Average
Performance Comparison
INVZ
Innoviz Technologies
1.69
0.77
83.70%
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2.77
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HYLN
Hyliion Holdings
1.46
-0.56
-27.72%
AEVA
Aeva Technologies
26.10
23.07
761.39%
ECX
ECARX Holdings
2.08
0.36
20.93%
HSAI
Hesai Group Sponsored ADR
23.90
19.07
394.82%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.