11 Best Lidar Stocks to Buy According to Hedge Funds

1. Teledyne Technologies Incorporated (NYSE:TDY)

Number of Hedge Fund Holders: 39

Teledyne Technologies Inc. (NYSE:TDY) is a holding company with interests in various high-tech sectors. One of these is the Lidar market, where it operates via a subsidiary called Teledyne Optech. Other subsidiaries, like Teledyne Geospatial, borrow from Teledyne Optech and Teledyne CARIS (which develops the software that supports LiDAR hardware) to create advanced lidar and sonar solutions.

Imarc ranks Teledyne Technologies as the ninth largest Lidar company in the world, ahead of giants like Trimble Inc. (NASDAQ:TRMB). It is also one of the oldest players in the market—Teledyne Optech was established in 1974. The key products include ALTM Galaxy, Lynx Mobile Mapper, and ILRIS.

Teledyne Technologies recently reported Q4 2024 results, and it’s clear that the Lidar segment is performing well. The digital imaging segment (under which lies the Lidar department) reported $822.2 million in net sales, an increase of 2.5% compared to Q4 2023. Most of the sales came from unmanned air systems, surveillance systems, and commercial infrared imaging systems.

The company’s approach to the Lidar market is quite different from pure-play competitors. Rather than focusing solely on one aspect, the company has different subsidiaries that focus on a specific element and then have another combine different elements to create a complete product. For example, Teledyne Geospatial recently showcased its latest product called Fathom at Geo Week. Fathom is a fast and intuitive airborne coastal mapping solution that combines technology from Teledyne CARIS and Teledyne Optech. TD Cowen recently adjusted Teledyne Technologies’ share price target from $500 to $550 and kept the “Buy” rating.

While we acknowledge the potential of Teledyne Technologies Inc. (NYSE:TDY) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than TDY but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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