Why LYFT And MBLY Are Climbing Today

Lyft (LYFT) and Mobileye (MBLY) are rising 4% and 19%, respectively, after the ridesharing firm disclosed that it would begin offering rides on robotaxis enabled by MBLY’s technology. The service will launch in Dallas “as soon as next year,” and other cities will be added afterward.

More Information About Lyft’s Plans and Its Competition’s Moves

Japanese conglomerate Marubeni, which has overseen fleets in the past, will own and finance the autonomous vehicles that Lyft plans to use in Dallas, Lyft CEO David Risher stated on X today.

A ridesharing passenger and driver in a car, looking out the window in anticipation of their destination.

Meanwhile, Uber (UBER) has said that it intends to start offering rides on Waymo’s robotaxis in Austin, Texas in March, and Tesla (TSLA) has stated that it would begin testing autonomous taxis in Austin in June. Also noteworthy is that Waymo, owned by Alphabet (GOOG,GOOGL), is providing autonomous rides in Miami, Phoenix, Los Angeles, San Francisco, and Austin. Moreover, Waymo has said that it intends to begin testing robotaxis in over 10 additional cities this year.

The Recent Price Action of LYFT and MBLY

In the last month, LYFT has gained 13%, but it is down 21% in the last three months.

In the last month, MBLY has jumped 20%, while it has risen 12.5% in the last three months.

While we acknowledge the potential of LYFT, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than LYFT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ ALSO 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock

Disclosure: None. This article is originally published at Insider Monkey.