MicroVision Inc (NASDAQ:MVIS) Stock Resumes Uptrend: Now What?

Investors who may be looking into innovative semiconductor companies could do well to take a look into the MicroVision (NASDAQ:MVIS) stock. The stock has been one of the stronger performers so far this year and managed to clock gains of as much as 62% so far. Hence, it may be a good time for investors to take a closer look at the company and its business.

Currently, the company has 350 employees across its locations in Detroit, Hamburg, Nuremberg and Redmond. These locations give MicroVision a global presence. The company is known for being a pioneer in the field of MEMS-based laser beam scanning technology. The technology helps in the integration of optics, hardware, lasers, MEMS, machine learning and algorithms into the company’s proprietary technology. The technology is meant for taking care of the needs of the emerging and existing markets.

The integrated approach helps MicroVision in supplying its proprietary technology for providing automatic LIDAR sensors and related solutions for advanced driver assistance systems (ADAS) as well as for non-automotive needs. The company’s laser beam technology is also used in augmented reality and virtual reality devices.

In essence, the technology has a variety of applications, and that places MicroVision in a strong strategic position as a tech company. AR and VR are potentially high-growth emerging sectors and additionally, MicroVision has also made its way into other upcoming sectors. The company had also managed to come up with the world’s lightest and smallest smart glasses even before the launch of the metaverse.

While it is true that the company’s revenues are currently minuscule, analysts have projected that revenues could touch $408 million by 2025. Hence, even if the stock appears to be a speculative or high risk play at this juncture, it could eventually prove to be a sound long term bet.

There have been some other key developments in recent times as well. On June 29 MicroVision announced that it had completed its at-the-market (ATM) equity facility in line with the At-The-Market Issuance Sales Agreement that the company had entered on June 16 this year with the Craig-Hallum Capital Group LLC.

The company revealed that following the transaction it had around $96 million in the form of cash and cash equivalents as of June 29, 2023. That figure also included investment securities. The Chief Executive Officer of the company Sumit Sharma spoke about the development as well.

He noted that everyone at the company was pleased at having completed the ATM. He added that it was not only going to strengthen the company’s balance sheet but also help it in hitting its objectives for 2023. The shares, which were sold by MicroVision under the ATM facility had been offered in line with the company’s effective shelf registration statement dated June 13, 2023 with the United States Securities and Exchange Commission. The company had also filed a prospectus with the agency regarding the same on June 16, 2023. It may be a good time to keep an eye on the MicroVision stock.