Aeva & Mobileye: LiDAR Stocks Powering the Autonomous Revolution

Key Points

• Tesla Inc. had its long-awaited Robotaxi rollout earlier this month in Austin.
• Despite the hype, Google's Waymo remains the leader in the autonomous vehicles space thanks to advanced mapping systems called LiDAR.
• LiDAR systems manufacturers like Aeva Technologies and Mobileye Group could be primed for explosive growth as the driveless taxi wars heat up.

Autonomous vehicles (AVs) are no longer strictly the realm of fiction and fantasy. Tesla Inc. NASDAQ: TSLA launched its long-awaited Robotaxi in Austin earlier this month, joining Google’s Waymo in offering driverless rides to paying passengers.

While the Robotaxi still has a long way to go before being considered a true Waymo rival, a heated competition might be good news for consumers regarding costs and efficiency improvements.

Like businesses that sold shovels to gold prospectors, public companies supplying the underlying tech are receiving increasing attention as the autonomous arms race intensifies.

Today, we’ll compare Waymo's and Tesla's technology and discuss two stocks that are powering the AV revolution by providing critical systems.

LiDAR Technology: Why Waymo Extended the Gap Between Competitors like Tesla

Waymo, which operates under the Alphabet Inc. NASDAQ: GOOGL umbrella, has logged more than 56 million driverless miles as it operates in Los Angeles, San Francisco, Phoenix, Miami, Atlanta, and Austin, with plans for further expansion in 2025, including an international debut in Tokyo.

Waymo has pushed ahead in the driverless taxi race through Light Detection and Ranging technology, better known as LiDAR.

LiDAR is a sophisticated type of sensor tech that enables 3D mapping at high resolution, allowing for precise object detection and real-time environmental adjustments. The system operates by emitting thousands of light pulses per second, utilizing the “time of flight” process to measure the time it takes for light to reflect off an object and return to the sensor.

If it sounds similar to radar, that’s because it is, but with light waves instead of sound waves. Using lasers creates accurate spatial data by providing depth, an area where 2D cameras continue to struggle without massive computational intervention.

LiDAR usage is the primary divergence between Waymo and Tesla’s driverless taxi programs, as Tesla CEO Elon Musk claims LiDAR technology is too expensive to scale and will create profitability issues for Waymo in the long run. LiDAR also requires assistance with visual cues, such as words on road signs and the colors of stoplights.

Tesla’s driverless program is built on cameras and AI, which is more cost-efficient but faces far more safety and reliability hurdles. While the program is now underway in Austin, the Robotaxi rollout has received mixed reviews from analysts, with some considering it more hype than substance. 

2 Stocks Supplying Crucial LiDAR Components

The story of the AV revolution is still in its early chapters. However, Waymo currently holds the upper hand due to its impeccable safety record (80% collision reduction compared to human drivers) and successful commercial rollout in multiple cities.

LiDAR has significantly contributed to this success, and many of the companies developing these systems are publicly traded. Here are two lesser-known LiDAR manufacturers that have recently piqued investors' interest.

Aeva Technologies: Cutting Edge LiDAR Designs

One of the biggest winners in any market sector in 2025 has been Aeva Technologies Inc. NASDAQ: AEVA, whose stock has seen an astonishing 1,400% increase over the last 12 months. AEVA has a 4D LiDAR system using Frequency Modulated Continuous Wave (FMCW) tech, which measures distance and velocity.

The ability to measure velocity has been a crucial advancement in LiDAR technology, setting Aeva apart from competitors such as Ouster Inc. NYSE: OUST and Luminar Technologies Inc. NASDAQ: LAZR, which still utilize traditional 3D LiDAR mapping.

AEVA shares are up nearly 30% in the last week alone, perhaps highlighting how LiDAR remains a superior option to camera-only systems in the wake of the Robotaxi premiere.

The company expects 2025 revenue growth of 70% to 100% over 2024 figures, ranging from $15 million to $18 million. 

The Q1 2025 report saw revenue of $3.4 million, up from $2.1 million from the same period last year. The company also narrowed its year-over-year (YOY) operating loss to $25.9 million from $32.1 million.

Mobileye Global: Strategic Partnerships for Future Growth

Shares of Mobileye Global Inc. NASDAQ: MBLY have been heading in the opposite direction of AEVA, down 35% over the last year. However, a renewed focus on driverless vehicle technology could be what the stock needs to shake off the rust, as MBLY reported a 20% decline in full-year revenue from 2023 to 2024.

Its Advanced Driver-Assistance Systems, along with the autonomous Chauffeur and Drive platforms, give the company a range of advanced systems in driverless technology. These systems combine 360-degree cameras, imaging radar, and LiDAR. The company’s EyeQ chip can also be found in nearly 200 million vehicles worldwide.

While MBLY doesn’t have the parabolic stock gains, it does have something AEVA lacks: profits. The company reported Q1 2025 EPS of $0.08, matching analyst expectations and marking the third consecutive quarter with positive EPS figures.

Analysts remain skeptical of the stock, and Goldman Sachs downgraded MBLY from a Buy rating to a Hold rating on June 9. However, the stock has actually risen more than 10% in the last month, and continued AV progress could find many of these analysts offside in their forecasts.