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Smart Eye: Weaker than Expected - Redeye

Redeye concludes that Q1 was weaker than our expectations. Revenue was 17% below expectations, where Automotive was on the weaker side and Research in line. Supply-chain constraints imply longer development lead cycles, which somewhat postpone the company’s revenues. Redeye will lower its short-term estimates and lower its valuation by around 15% after increasing its WACC.

Redeye concludes that Q1 was weaker than our expectations. Revenue was 17% below expectations, where Automotive was on the weaker side and Research in line. Supply-chain constraints imply longer development lead cycles, which somewhat postpone the company’s revenues. Redeye will lower its short-term estimates and lower its valuation by around 15% after increasing its WACC.
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