indie semiconductor today
indie semiconductor
(As of 11/29/2024 ET)
- 52 week range
- $3.16
▼
$8.69
- Target price
- $9.79
indie semiconductor NASDAQ: INDIE is a small-cap stock that has fallen on hard times in 2024. The stock is down 43% this year. However, some Wall Street analysts remain bullish on the name. Average price target posted since August, including B. Riley’s target. NASDAQ: RILEYis $8 per share. To reach this level, the company’s value must increase by 72%.
This comes even after the company’s shares have risen nearly 36% since its earnings report on November 7th. The company may be creating positive momentum. I will talk in detail about what this company does and the latest events around it. I’ll review the company’s financial progress and outline my long-term view of the independent Semiconductor company.
Indie’s Nex-Gen chips for autonomous driving
indie Semiconductor specializes in developing chips and software for advanced driver assistance systems (ADAS). Simply put, these are the chips and software needed to make autonomous driving a reality. These chips are often called edge sensors and perform tasks such as light detection and ranging (LiDAR). These edge sensors fall into a category called “edge computing,” where information is processed locally and close to the source to make immediate decisions.
Self-driving systems must make decisions in real time to avoid accidents. The data they process typically involves detecting other vehicles on the road that they are in close proximity to. This is different from cloud computing, where the user’s computer is connected to remote servers and where the data is processed. Self-driving systems cannot afford to send data to remote servers for processing – they must process it directly in the car to ensure safety and timely response.
Independent stocks fall on industry weakness in 2024
indie cut its 2024 revenue forecast from its original estimate, sending shares down. If the fourth quarter goes as planned, revenue will fall 3% in 2024, compared with the 29% growth the company had hoped for. However, the situation improved in the third quarter. The firm slightly beat expectations for revenue and operating profit. Additionally, the company forecast fourth-quarter revenue growth of 7% from third-quarter midpoint. This growth rate was three times the 2.5% growth forecast for both the second and third quarters. Expectations of faster growth likely fueled the stock’s sharp rise following the announcement.
indie Semiconductor, Inc. price chart (INDI) on Saturday, November 30, 2024
The company is still unprofitable, although it has made consistent progress towards profitability in 2023. The company’s adjusted gross margin increased 250 basis points during the year to 52.5%. In the final quarter of 2023, the company nearly turned a total profit with a net loss per share of just $0.01. Unfortunately, in 2024, the indie industry will face an industry-wide slowdown in automotive growth. Analysts expect global vehicle production to decline 2% in 2024 compared to 2023. The slowdown has led to a glut of auto parts supplies for independent automakers, causing new order growth to slow. This has caused indie companies to take steps back in terms of profitability and revenue growth. Loss per share last quarter was $0.09 and adjusted gross margin was 50.4%.
Innovative indie products could make this the next big thing
Despite the downturn in the indie business, it is clear that the company’s products are still in high demand. He currently has a portfolio of design wins worth $7.1 billion. This means that after testing indie solutions against competitors, buyers agreed to buy indie devices for their future products. To put this into context, the backlog is 31 times the company’s revenue over the last 12 months. It’s also more than seven times the company’s current value. However, the indie will recognize this as income over a long period of time.
Indie semiconductor stock forecast for today
$9.79
Growth potential 87.11%Buy
Based on ratings of 7 analysts
| High forecast | US$15.00 |
|---|---|
| Average forecast | $9.79 |
| Low forecast | US$5.00 |
Indie semiconductor stock forecast details
The indie expects to generate $700 million in annual revenue in 2028. This is more than three times more than planned in 2024. into their cars. This is also evidenced by the fact that Indie was recently recognized as “Automotive Sensor Innovation of the Year” by the AutoTech Breakthrough Awards. The group hailed the third-party iND880 processors as a “monumental leap forward in automotive technology.” I believe innovation in indie tech and demand for it gives the stock the opportunity to be a huge winner when auto production recovers.
Before you think about indie semiconductor, you should hear this.
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