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Will AEVA's $50M LG Alliance Fast-Track Multi-Sector Growth?

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Aeva Technologies (AEVA - Free Report) recently announced a $50 million partnership with LG Innotek, a major global manufacturer. The two companies will work together to combine AEVA's special LiDAR technology with LG's massive production capabilities. The first phase of this collaboration will focus on building Aeva's cutting-edge LiDAR systems for use in passenger cars.

As part of the deal, LG is investing $32 million in AEVA for around 6% stake and will help fund the expansion of production for future products. This is a significant step for AEVA as it will allow the company to scale its technology and get its products into a huge market. 

Beyond cars, this collaboration is designed to help Aeva Technologies expand into other fast-growing areas like robotics, industrial automation and consumer electronics. Because LG Innotek is a top supplier to many of the world's leading tech brands, this partnership gives AEVA’s FMCW sensing a key advantage in reaching new customers and markets. Both companies plan to work on developing new products together in the long term, with a goal of creating a complete LiDAR system on a single chip. This will make the technology much more affordable and easier to integrate into various devices.

In particular, leveraging LG Innotek’s manufacturing network positions AEVA to scale rapidly while keeping unit costs competitive, a critical factor in winning business in emerging high-volume markets. It also provides a pathway to accelerate commercialization timelines, turning advanced sensing from a niche technology into a widely deployed standard across mobility, automation and connected devices.

Peer Moves

Luminar Technologies (LAZR - Free Report) is accelerating its LiDAR production through partnerships with contract manufacturers and automotive OEMs, including Volvo and Mercedes-Benz. Luminar’s Iris LiDAR is moving toward high-volume deployment, with an emphasis on cost reduction and sensor miniaturization. Luminar is also targeting adjacent markets such as trucking and industrial automation, aiming to extend its technology’s reach beyond passenger cars.

Innoviz Technologies (INVZ - Free Report) , meanwhile, has been expanding its automotive partnerships, focusing heavily on scaling manufacturing for its InnovizTwo LiDAR platform. Innoviz’s work with BMW and Volkswagen highlights its push into series production, while the company explores applications in heavy-duty vehicles. Innoviz aims to cut costs through in-house manufacturing, positioning its technology for both advanced driver-assistance systems and fully autonomous vehicle programs.

AEVA’s Price Performance, Valuation and Estimates

Shares of Aeva Technologies have surged 177% so far in 2025.

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From a valuation standpoint, AEVA trades at a forward price-to-sales ratio of over 25, well above the industry. AEVA carries a Value Score of F.

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See how the Zacks Consensus Estimate for Aeva Technologies’ earnings has been revised over the past 60 days.

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The stock currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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