Why Mobileye Global Inc. (MBLY) Went Up On Tuesday?

We recently published a list of Pulse of The Market: Tuesday’s 10 Top Performers. In this article, we are going to take a look at where Mobileye Global Inc. (NASDAQ:MBLY) stands against other Tuesday’s top performers.

A lackluster trading persisted on the stock market on Tuesday, with all major indices finishing in the green territory, but eked out only slight gains.

The tech-heavy Nasdaq rallied the most, up 0.46 percent, followed by the S&P 500 with 0.16 percent, and the Dow Jones with a marginal 0.01 percent.

Despite the muted trading, investors poured funds into several companies, pushing their prices to achieve modest gains. In this article, we listed the 10 top performers today and detailed the reasons behind their gains.

To come up with the list, we considered only the stocks with a $2 billion market capitalization and $5 million in trading volume.

A driverless vehicle navigating city traffic, equipped with ADAS and safety features.

Mobileye Global Inc. (NASDAQ:MBLY)

Mobileye grew its share prices for a third straight day on Tuesday, adding 8.65 percent to close at $16.58 each as investors cheered news of the company’s partnership with German carmaker Volkswagen.

In a statement, Volkswagen said it would collaborate with MBLY and Valeo to support the development of its autonomous driving system and will draw on the two suppliers’ capabilities for enhanced partially automated driving.

Also known as Level 2+ systems, vehicles would be able to drive on their own but would still require driver supervision.

Volkswagen said the new models would have higher security and driver comfort over the next few years.

“This cooperation supports us on our road to transformation: by sourcing hardware and software together, we streamline procurement, reduce complexity, and improve efficiency. It also empowers our performance program by enhancing technology while keeping costs competitive, ensuring high-quality solutions for our customers,” said Dirk Große-Loheide, chief procurement officer for Volkswagen.

Overall, MBLY ranks 2nd on our list of Tuesday’s top performers. While we acknowledge the potential of MBLY as an investment, 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 as promising as MBLY but 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 30 Best Stocks to Buy Now According to Billionaires

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