MicroVision, Inc. (MVIS) | Investment Case

1. Company Snapshot

1.a. Company Description

MicroVision, Inc.develops lidar sensors used in automotive safety and autonomous driving applications.Its laser beam scanning technology is based on micro-electrical mechanical systems, laser diodes, opto-mechanics, electronics, algorithms, and software.

The company also develops micro-display concepts and designs for head-mounted augmented reality (AR) headsets, as well as 1440i MEMS module that can support AR headsets; Interactive Display modules used in smart speakers and other devices; and Consumer Lidar used in smart home systems.In addition, it provides PicoP, a scanning technology that creates full color, high-contrast, and uniform image over the entire field-of-view from a small and thin module.Further, the company develops 1st generation long range lidar.

The company sells its products primarily to original equipment manufacturers and original design manufacturers.MicroVision, Inc.was founded in 1993 and is headquartered in Redmond, Washington.

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1.b. Last Insights on MVIS

MicroVision's recent performance was driven by several positive factors. The company established a defense industry advisory board to accelerate strategic expansion and pursue revenue opportunities in the defense tech and military sectors. This move is expected to leverage MicroVision's leading technologies and safety solutions into the defense industry. Additionally, the company's CEO issued a letter to shareholders, highlighting the importance of a proxy vote, which suggests a strong commitment to shareholder engagement. Furthermore, MicroVision's Retail Investor Day Town Hall Session provided a platform for management to address questions and concerns from attendees, fostering transparency and open communication.

1.c. Company Highlights

Last Price	0.92
Change Percentage	-0.33%
Open	0.93
Previous Close	0.92
Market Cap ( Millions)	281
Volume	553828
Year High	1.95
Year Low	0.8
M A 50	1.13
M A 200	1.18

FCF Yield	-20.01%
Dividend Yield	0.00%
ROE	-146.46%
Debt / Equity	66.10%
Net Debt / EBIDTA	34.17%
Price To Book	3.05
Price Earnings Ratio	-2.62
Price To FCF	-5.0
Price To sales	109.04
EV / EBITDA	-3.82

2. MicroVision's Q3 2025 Earnings: A Review of Financial Performance and Strategic Developments

MicroVision reported revenues of $0.2 million in the third quarter, a figure that was likely impacted by the company's focus on developing its lidar technology and preparing for future product launches. The company's EPS came in at -$0.05, in line with analyst estimates. The cash burn increased due to a one-time payment related to the inventory buildup of MOVIA L, highlighting the company's investment in strategic initiatives. As Anubhav Verma, CFO, noted, "the company's strong capital structure, financial discipline, and corporate governance has extended the financial runway into 2027."

Publication Date: Nov -16

                                    📋 Highlights
                                    Scantinel Acquisition Costs:
                                                Adds $2 million quarterly expenses due to 1550nm FMCW lidar integration.
MOVIA S Target ASP:
                                                Aims for $200 (short-range) and $300 (long-range) price points by 2026, matching radar competitiveness.
Q3 Revenue:
                                                Reports $0.2 million revenues, with cash burn rising due to MOVIA L inventory buildup costs.
Revenue Timelines:
                                                Industrial revenue expected in 2026 (MOVIA L) and 2026–2029 (auto), with defense opportunities still speculative.
Financial Runway:
                                                Extended to 2027 via disciplined capital structure and $300M+ in cash from prior financing rounds.

                                

Financial Performance Metrics

The company's financial performance metrics indicate a significant investment in its future growth. With a P/S Ratio of 108.1, the market is pricing in a significant revenue growth, which is expected to be 460.9% next year according to analyst estimates. The EV/EBITDA ratio of -3.78 also suggests that the market is expecting significant improvement in the company's profitability.

Strategic Developments

MicroVision made several strategic announcements during the quarter, including the introduction of MOVIA S and Tri-Lidar architecture, as well as the acquisition of Scantinel Photonics. These developments are expected to drive the company's growth in the lidar market, with the MOVIA S sensor expected to be released next year at a competitive price point of $200. The acquisition of Scantinel Photonics is expected to add around $2 million in costs per quarter, but is also expected to bring significant benefits in terms of technology and cost savings.

Valuation and Outlook

With a P/B Ratio of 3.02, MicroVision's valuation is relatively high compared to its book value. However, the company's ROE of -146.46% and ROIC of -46.98% indicate that the company is still in the investment phase. As the company executes on its strategic initiatives and drives revenue growth, the valuation is likely to be supported. The recent financing for Aeva is a positive sign for the industry, indicating that high-quality investors believe in the sector and are willing to provide debt funding.

3. NewsRoom

MicroVision, Inc. (MVIS) Q3 2025 Earnings Call Transcript

Nov -12

Source: seekingalpha.com

MicroVision Reports Q3 Results: EPS Beat, Revenues Miss

Nov -11

Source: benzinga.com

MicroVision Announces Third Quarter 2025 Results

Nov -11

Source: accessnewswire.com

MicroVision Collaborates with Leading Photonics Ecosystem to Acquire FMCW Lidar Business

Nov -10

Source: accessnewswire.com

MicroVision Establishes New Aerial Systems Team and Virginia Office to Support Defense

Nov -06

Source: accessnewswire.com

MicroVision To Announce Third Quarter 2025 Results on November 11, 2025

Nov -04

Source: accessnewswire.com

MicroVision Appoints Glen DeVos as Chief Executive Officer

Sep -04

Source: accessnewswire.com

Western LiDAR Quarterly Insights - Q2 2025 Summary

Sep -01

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (14.07%)

6. Segments

License and Royalty

Expected Growth: 14.07%

MicroVision's 14.07% growth in License and Royalty is driven by increasing adoption of its laser beam scanning (LBS) technology in automotive lidar applications, growing demand for advanced driver-assistance systems (ADAS), and expansion into new markets such as robotics and smart home devices.

7. Detailed Products

Lidar Sensors

MicroVision's lidar sensors are designed to provide high-resolution, long-range sensing capabilities for various applications, including autonomous vehicles, robotics, and smart cities.

Display Technology

MicroVision's display technology uses laser beam scanning to create high-brightness, high-contrast displays for augmented reality, virtual reality, and other applications.

3D Sensing

MicroVision's 3D sensing technology uses structured light to capture high-accuracy, high-resolution 3D models of objects and environments.

Machine Vision

MicroVision's machine vision technology uses cameras and software to enable machines to see and interpret their environment, enabling applications such as quality inspection and robotic assembly.

Interactive Displays

MicroVision's interactive displays use laser beam scanning to create interactive, gesture-recognition displays for retail, education, and other applications.

8. MicroVision, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

MicroVision, Inc. faces moderate threat from substitutes, as there are alternative technologies available in the market, but they are not highly attractive to customers.

Bargaining Power Of Customers

MicroVision, Inc. has a diverse customer base, which reduces the bargaining power of individual customers, giving the company an upper hand in negotiations.

Bargaining Power Of Suppliers

MicroVision, Inc. relies on a few key suppliers for its components, giving them some bargaining power, but the company's size and reputation help to mitigate this risk.

Threat Of New Entrants

The lidar technology industry is rapidly evolving, and new entrants with innovative technologies could potentially disrupt MicroVision, Inc.'s market share.

Intensity Of Rivalry

The lidar technology industry is highly competitive, with several established players, and MicroVision, Inc. faces intense rivalry from companies like Velodyne and Quanergy.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	13.57%
Debt Cost	3.95%
Equity Weight	86.43%
Equity Cost	19.15%
WACC	17.09%
Leverage	15.70%

11. Quality Control: MicroVision, Inc. passed 3 out of 9 key points

Strong Liquidity

Low Debt

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Satellogic

A-Score: 5.0/10

Value: 8.0

Growth: 4.2

Quality: 7.2

Yield: 0.0

Momentum: 10.0

Volatility: 0.3

1-Year Total Return ->

Kopin

A-Score: 4.5/10

Value: 8.0

Growth: 3.1

Quality: 4.6

Yield: 0.0

Momentum: 10.0

Volatility: 1.0

1-Year Total Return ->

KULR Technology

A-Score: 4.3/10

Value: 7.4

Growth: 4.3

Quality: 4.4

Yield: 0.0

Momentum: 9.5

Volatility: 0.3

1-Year Total Return ->

Focus Universal

A-Score: 3.6/10

Value: 6.0

Growth: 2.0

Quality: 3.6

Yield: 0.0

Momentum: 9.5

Volatility: 0.3

1-Year Total Return ->

Luna Innovations

A-Score: 3.2/10

Value: 7.8

Growth: 3.7

Quality: 6.0

Yield: 0.0

Momentum: 1.5

Volatility: 0.0

1-Year Total Return ->

MicroVision

A-Score: 2.8/10

Value: 6.4

Growth: 2.3

Quality: 3.0

Yield: 0.0

Momentum: 4.0

Volatility: 1.3

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

29.10%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

17.09%

MicroVision, Inc. - US5949603048

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on MVIS

1.c. Company Highlights

Lower Growth

Lower Quality

Weak Momentum

Earnings Miss

Revenues Beats

More Volatile

Earnings Beats

Revenues Miss

Strong Momentum

2. MicroVision's Q3 2025 Earnings: A Review of Financial Performance and Strategic Developments

Financial Performance Metrics

Strategic Developments

Valuation and Outlook

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (14.07%)

6. Segments

License and Royalty

Expected Growth: 14.07%

7. Detailed Products

Lidar Sensors

Display Technology

3D Sensing

Machine Vision

Interactive Displays

8. MicroVision, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: MicroVision, Inc. passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

0.92$

Current Price

0.92$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA