MicroVision MVIS

So as always DYOR

I’ve followed MVIS for some time and have traded it and over the last few weeks accumulated a long position.

MVIS is developing LIDAR system for autonomous vehicles. I’d recommend listening to the last earnings conference call. The company has indicated that there could be significant news towards the end of 2023 including potential partnership(s).

Look at the price chart and you can see the potential for news to drive the share price. The last notified short interest is 23% shorts in the shares (= 23 days to cover) - from Benzinga. The short interest could have reduced so I’m interested to see the latest figure when disclosed (I think this week). However, at the moment it seems like there is significant potential for a short squeeze on significant news. So the shorters are right and its go more to go down or it could go up (possibly a lot).

Elon Musk has previously said that Tesla will use cameras not LIDAR (or other techs). I’m sure that Musk knows much more than me but relying solely on optical cameras (even if you also non visible spectrum) seems likely to have numerous problems especially at night and bad weather. Musk’s assumption that neural nets will become good enough to match human ability to process optical images seems optimistic. Whether Musk is right is significant. Autonomous vehicles will require cheaper tech if it only needs optical tech whereas LIDAR and other techs are significantly more expensive. Any of the solution will require significant silicon tech so there are implications for the silicon sector.

So back to MVIS. Short term there are earning results soon I assume with a conference call (which generally give a lot of info on what’s happening). Also there is potential for one or more big deals over the next 2 months. So I’m watching careful at the strength in the share price (or not).

In the long term there will be some big winners for whoever provides the production systems for autonomous vehicles and who develop the techs that become the successful solutions.

It will be interesting to watch MVIS over the next 4 trading days

MVIS up 10% today and results Wednesday next week

MVIS released earnings last night and had a conference call. The earnings were below expectations and reduced their full year forecast so the price dropped in the after market . However, the conference call was extremely bullish and the price in the pre-market is up.

The company does have some direct sales now which generates modest income $1million in the last quarter. However, the company is a development company and they say that they have the world’s best LIDAR technology and they are currently pursuing multiple deals to design the tech into the next generation of cars with multiple OEM car manufacturers. They are extremely bullish of multiple deals in 2023 (I naturally give a bit of tolerance on this so maybe also early next year). They want to be the major supplier of LIDAR tech to the automotive industry. The conference call was (imo) very bullish.

If they are expecting design wins/deals by the end of 2023 that means imminent. The last data on nasdaq website was that there was significant short interest (25% shorts). Thus I suspect it will be a volatile time for the share price. Shorts will want to push the price down but if shorts start closing there could be a short squeeze. If they do announce any deal with a major car manufacturer then I suspect that the price will rocket (it touched $8 in June 2023 and is currently $2) but if they don’t deliver a deal by the next results in 3 months time I guess the share price will really be punished.

MVIS has been rising over the last couple of days and they have just announced that directors have just purchased $100,000 of stock as yesterday’s closing price

MicroVision Directors and Executive Team to Purchase Shares :: MicroVision, Inc. (MVIS)

Edit: strong rise this morning