LIDAR is a method for measuring distances by illuminating the target with laser light and then measuring the time that the reflection of the light takes to return to the sensor. The differences in laser return times and wavelengths can then be used to make a digital 3-D representations of the target. LIDAR is an acronym for “light detection and ranging”. This technology is used in control and navigation for autonomous cars.
The top lidar stocks for autonomous cars are Velodyne Lidar (NASDAQ: VLDR), Luminar Technologies (NASDAQ: LAZR) and Innoviz Technologies (NASDAQ: INVZ).
- Velodyne Lidar (VLDR) is one of the first companies to sell lidar sensors for the commercial market. Velodyne expects to generate $100 million. Velodyne has close partnerships with Ford, Baidu and Hyundai Mobis. Velodyne stock is less risky because it also develop sensors for autonomous robots, unmanned aerial vehicles (UAVs) and 3D mapping.
- Luminar Technologies (LAZR) caters to the mass market. Volvo next-gen vehicle, which will release in 2022, will use Luminar’s lidar sensors. Luminar has already secured long-term deals with companies like Intel and Daimler and expects to generate $15 million in 2020 and estimates sales of $837 million by 2025.
- Innoviz Technologies (INVZ) is an Israel-based startup which manufactures lidar sensors for autonomous vehicles. Innoviz Technologies has existing partnerships with Magna and Aptiv. Magna, Aptiv and Softbank are investors of Innoviz Technologies. Innoviz will sell its lidar to BMW to use in its 2021 SUV.
In conclusion, investors, who are interested of investing LIDAR related stocks for autonomous vehicles, should consider one of these three top stocks as listed above.