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AEVA Stock Surges 431% in One Year - And It's Still a Buy
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Aeva Technologies (AEVA - Free Report) has been one of the standout stories in the lidar sector, soaring 431% over the past year. While other notable names working with this technology, like Ouster (OUST - Free Report) and MicroVision (MVIS - Free Report) , have both posted negative returns during the same period, AEVA has capitalized on a combination of strategic wins, industrial expansion and emerging customer confidence. For investors looking to ride the next wave of sensing innovation, AEVA presents a compelling narrative backed by improving fundamentals, rising revenue guidance, and expanding market reach.
AEVA, OUST, MVIS One-Year Stock Performance
Image Source: Zacks Investment Research
Investors should know that lidar, which stands for Light Detection and Ranging, is a technology that uses lasers to measure distances. It works by sending out light pulses and measuring how long they take to bounce back from objects. This helps create a detailed 3D map of the surroundings. Lidar is used in self-driving cars, robots and drones to help them navigate.
AEVA Riding on Strong Price Action and Revenue Upside
Unlike many of its contemporaries, AEVA has emerged as a top-performing stock. With a modest market cap of just around $1 billion, the upside potential of its multibillion-dollar pipeline is striking. Despite being in the early commercialization phase, AEVA’s latest quarterly revenues of $3.4 million beat the Zacks Consensus Estimate by over $1 million, reflecting 60% year-over-year growth. Management guided full-year revenues to grow by 80-100% in 2025, excluding benefits from its newly signed strategic collaboration with a Fortune 500 tech firm.
Strategic Partnerships Building a Bridge to Commercial Scale
AEVA recently announced a game-changing partnership with a Fortune 500 technology company, which plans to invest up to $50 million — including $32.5 million in equity and $17.5 million in product development and manufacturing ramp-up. This partner will also serve as AEVA’s Tier 2 manufacturing partner for its global top 10 passenger OEM program. The OEM’s decision to work with AEVA is seen as a major vote of confidence in its Frequency Modulated Continuous Wave (FMCW) lidar platform. Unlike the traditional Time-of-Flight (ToF) technology, AEVA’s solution offers real-time velocity and distance sensing — enabling differentiated performance in automotive and industrial use cases.
Big Wins in Automotive Are Just Getting Started
The most notable win on AEVA’s automotive front is its ongoing partnership with a top-10 global passenger vehicle OEM. The development program, already underway, could evolve into a large-scale production contract as early as late 2025. The company has secured a letter of intent from the OEM, covering a next-generation platform expected to span multiple vehicle models. If AEVA becomes the standard lidar supplier for this automaker, the opportunity could match or exceed the $1 billion Daimler Truck program already on its books. This is a massive tailwind, particularly given AEVA’s currently limited revenue base.
AEVA Expanding Rapidly Into High-Margin Industrial Markets
Beyond automotive, AEVA is aggressively pushing into industrial automation, a $4 billion+ market for precision laser displacement sensors. Its Eve 1 sensor, based on the same FMCW core, delivers sub-micron accuracy and has already attracted strategic customers like SICK AG and LMI Technologies. These companies represent a combined annual volume of around 300,000 units, and AEVA has over 1,000 units booked with initial shipments underway. This vertical diversification not only accelerates near-term revenues but also reduces AEVA’s dependence on long-cycle automotive production ramps.
Image Source: Aeva Technologies
Building Scale and Managing Liquidity Wisely
AEVA’s path to scale looks increasingly credible. The company is on track to reach 100,000 units in annual manufacturing capacity by the end of 2025. This production scale, paired with strategic alignment with experienced industrial and automotive partners, de-risks AEVA’s ability to meet demand as its contracts enter production. On the liquidity front, AEVA ended Q1 2025 with $206 million in available funding — $81 million in cash and $125 million in an undrawn equity facility. This gives it flexibility to fund growth while managing its current $26 million per quarter in operating cash use.
A Word on OUST and MVIS
While AEVA gains momentum, Ouster has taken a different approach — betting heavily on industrial AI applications, particularly in Western markets. OUST recently saw a rally post-earnings, but remains down over the past year, reflecting slower execution despite a strong IP portfolio and diversified product range. While Ouster holds promise in areas like traffic infrastructure and robotics, its growth pace hasn’t kept up with AEVA’s dynamic trajectory.
MicroVision, on the other hand, continues to face hurdles in commercializing its MEMS-based lidar platforms. Though the company touts high-resolution offerings,MicroVision lacks large-scale deals or major OEM endorsements to drive meaningful revenue. AEVA’s contrast is sharp — not only does it have better price performance, but it also shows tangible traction across multiple verticals, including automotive, industrial automation, and intelligent transportation systems.
A Sector Heating Up With Opportunities
The lidar space is undergoing consolidation and maturation. Ouster and MicroVision are pushing hard into industrial AI and short-range applications, but neither has matched AEVA’s mix of auto OEM traction and industrial design wins. With a focus on real-time velocity measurement and scalable, chip-based design, AEVA’s FMCW lidar stands apart from the pack. As proof of the company’s momentum, EPS for AEVA is expected to rise 21.7% in 2025 and another 12.2% in 2026.
Image Source: Zacks Investment Research
Conclusion: AEVA Is a Buy
AEVA is making all the right moves — from securing high-profile automotive contracts to scaling into lucrative industrial markets. The stock’s maasive one-year surge is justified by accelerating revenues, growing customer wins, and major endorsements from respected technology players. With strategic investment support, deepening OEM relationships, and improving financials, AEVA has set a foundation for long-term upside. For growth investors willing to look beyond near-term losses and bet on transformative sensor tech, AEVA remains a Zacks Rank #2 (Buy).
Image: Bigstock
AEVA Stock Surges 431% in One Year - And It's Still a Buy
Aeva Technologies (AEVA - Free Report) has been one of the standout stories in the lidar sector, soaring 431% over the past year. While other notable names working with this technology, like Ouster (OUST - Free Report) and MicroVision (MVIS - Free Report) , have both posted negative returns during the same period, AEVA has capitalized on a combination of strategic wins, industrial expansion and emerging customer confidence. For investors looking to ride the next wave of sensing innovation, AEVA presents a compelling narrative backed by improving fundamentals, rising revenue guidance, and expanding market reach.
AEVA, OUST, MVIS One-Year Stock Performance
Investors should know that lidar, which stands for Light Detection and Ranging, is a technology that uses lasers to measure distances. It works by sending out light pulses and measuring how long they take to bounce back from objects. This helps create a detailed 3D map of the surroundings. Lidar is used in self-driving cars, robots and drones to help them navigate.
AEVA Riding on Strong Price Action and Revenue Upside
Unlike many of its contemporaries, AEVA has emerged as a top-performing stock. With a modest market cap of just around $1 billion, the upside potential of its multibillion-dollar pipeline is striking. Despite being in the early commercialization phase, AEVA’s latest quarterly revenues of $3.4 million beat the Zacks Consensus Estimate by over $1 million, reflecting 60% year-over-year growth. Management guided full-year revenues to grow by 80-100% in 2025, excluding benefits from its newly signed strategic collaboration with a Fortune 500 tech firm.
Strategic Partnerships Building a Bridge to Commercial Scale
AEVA recently announced a game-changing partnership with a Fortune 500 technology company, which plans to invest up to $50 million — including $32.5 million in equity and $17.5 million in product development and manufacturing ramp-up. This partner will also serve as AEVA’s Tier 2 manufacturing partner for its global top 10 passenger OEM program. The OEM’s decision to work with AEVA is seen as a major vote of confidence in its Frequency Modulated Continuous Wave (FMCW) lidar platform. Unlike the traditional Time-of-Flight (ToF) technology, AEVA’s solution offers real-time velocity and distance sensing — enabling differentiated performance in automotive and industrial use cases.
Big Wins in Automotive Are Just Getting Started
The most notable win on AEVA’s automotive front is its ongoing partnership with a top-10 global passenger vehicle OEM. The development program, already underway, could evolve into a large-scale production contract as early as late 2025. The company has secured a letter of intent from the OEM, covering a next-generation platform expected to span multiple vehicle models. If AEVA becomes the standard lidar supplier for this automaker, the opportunity could match or exceed the $1 billion Daimler Truck program already on its books. This is a massive tailwind, particularly given AEVA’s currently limited revenue base.
AEVA Expanding Rapidly Into High-Margin Industrial Markets
Beyond automotive, AEVA is aggressively pushing into industrial automation, a $4 billion+ market for precision laser displacement sensors. Its Eve 1 sensor, based on the same FMCW core, delivers sub-micron accuracy and has already attracted strategic customers like SICK AG and LMI Technologies. These companies represent a combined annual volume of around 300,000 units, and AEVA has over 1,000 units booked with initial shipments underway. This vertical diversification not only accelerates near-term revenues but also reduces AEVA’s dependence on long-cycle automotive production ramps.
Building Scale and Managing Liquidity Wisely
AEVA’s path to scale looks increasingly credible. The company is on track to reach 100,000 units in annual manufacturing capacity by the end of 2025. This production scale, paired with strategic alignment with experienced industrial and automotive partners, de-risks AEVA’s ability to meet demand as its contracts enter production. On the liquidity front, AEVA ended Q1 2025 with $206 million in available funding — $81 million in cash and $125 million in an undrawn equity facility. This gives it flexibility to fund growth while managing its current $26 million per quarter in operating cash use.
A Word on OUST and MVIS
While AEVA gains momentum, Ouster has taken a different approach — betting heavily on industrial AI applications, particularly in Western markets. OUST recently saw a rally post-earnings, but remains down over the past year, reflecting slower execution despite a strong IP portfolio and diversified product range. While Ouster holds promise in areas like traffic infrastructure and robotics, its growth pace hasn’t kept up with AEVA’s dynamic trajectory.
MicroVision, on the other hand, continues to face hurdles in commercializing its MEMS-based lidar platforms. Though the company touts high-resolution offerings,MicroVision lacks large-scale deals or major OEM endorsements to drive meaningful revenue. AEVA’s contrast is sharp — not only does it have better price performance, but it also shows tangible traction across multiple verticals, including automotive, industrial automation, and intelligent transportation systems.
A Sector Heating Up With Opportunities
The lidar space is undergoing consolidation and maturation. Ouster and MicroVision are pushing hard into industrial AI and short-range applications, but neither has matched AEVA’s mix of auto OEM traction and industrial design wins. With a focus on real-time velocity measurement and scalable, chip-based design, AEVA’s FMCW lidar stands apart from the pack. As proof of the company’s momentum, EPS for AEVA is expected to rise 21.7% in 2025 and another 12.2% in 2026.
Conclusion: AEVA Is a Buy
AEVA is making all the right moves — from securing high-profile automotive contracts to scaling into lucrative industrial markets. The stock’s maasive one-year surge is justified by accelerating revenues, growing customer wins, and major endorsements from respected technology players. With strategic investment support, deepening OEM relationships, and improving financials, AEVA has set a foundation for long-term upside. For growth investors willing to look beyond near-term losses and bet on transformative sensor tech, AEVA remains a Zacks Rank #2 (Buy).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.