NXP Semiconductors N.V. NXPI has introduced the next-generation of automotive radar one-chip IC family named SAF85xx for advanced driver assistance systems (ADAS) and autonomous driving systems.
The SAF85xx one-chip family, which is the new industry-first 28nm RFCMOS radar, combines the company’s high performance radar sensing and processing technologies into a single device.
With the help of the recent one-chip radar family, tier ones and original equipment manufacturers can get flexibility in addressing short, medium and long-range radar applications. This will help them address challenging NCAP safety requirements.
Thus, the recent launch of automotive radar family is expected to help NXPI gain momentum among customers. This, in turn, will contribute well to the company’s top-line growth.
DENSO Corporation, a global automotive components manufacturer will use NXPI’s one-chip radar technology for the development of its advanced ADAS platform.
We believe that this will help NXPI win the confidence of the investors in the near term and long haul.
Shares of NXPI have lost 32.4% in the past year compared with the Computer and Technology sector’s decline of 33.1%.
Growing Radar Portfolio
The latest introduction of one-chip radar family bodes well with NXPI’s continuous efforts toward expanding its portfolio of radar solutions.
Apart from the recent launch, the company unveiled the second-generation RFCMOS radar transceiver family, which enables complete sensing for critical safety applications.
NXPI introduced two processors – S32R45 and S32R41 – which serve the L2+ through L5 autonomy sectors, enabling 4D imaging radar for 360-degree surround sensing.
NXP Semiconductors released premium radar software development kit to enable developers enhance the performance of radar systems.
Booming Market Prospects
NXP Semiconductor’s growing portfolio of radar solutions will continue to help it capitalize in the growing prospects present in the automotive radar and ADAS market.
Per a Precedence Research report, the global automotive radar market is likely to reach $25 billion by 2030, witnessing a CAGR of 22% over the 2022-2030 forecast period.
According to a Market Research Future report, the ADAS market is expected to hit $55 billion by 2027. The report also reveals that the market is likely to see a CAGR of 10% between 2022 and 2030.
Though NXPI’s growing initiatives to strengthen its position in the abovementioned markets remain positive, the coronavirus pandemic-induced supply-chain constraint and mounting expenses continue to remain major headwinds.
Zacks Rank & Stocks to Consider
Currently, NXP Semiconductors carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the broader Zacks Computer & Technology sector are Arista Networks ANET, Agilent technologies A and Asure Software ASUR. While Arista Networks and Asure Software sport a Zacks Rank #1 (Strong Buy), Agilent carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Arista Networks has lost 17.5% in the past year. The long-term earnings growth rate for ANET is currently projected at 17.5%.
Agilent has gained 2% in the past year. A’s long-term earnings growth rate is currently projected at 10%.
Asure Software has returned 32.5% in the past year. The long-term earnings growth rate for ASUR is currently projected at 23%.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>Agilent Technologies, Inc. (A) : Free Stock Analysis Report
NXP Semiconductors N.V. (NXPI) : Free Stock Analysis Report
Asure Software Inc (ASUR) : Free Stock Analysis Report
Arista Networks, Inc. (ANET) : Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
