Why Luminar Stock Skyrocketed Today

Shares of Luminar Technologies (NASDAQ: LAZR) skyrocketed today, up by 15% as of 12:30 p.m. EDT, after the company provided a business update for investors as well as preliminary results for 2020. The lidar technology company also offered some milestones that it hopes to achieve in 2021.

Revenue for 2020 is estimated to be approximately $14 million, and Luminar finished the year with roughly $486 million in cash on the balance sheet after merging with a special purpose acquisition company (SPAC) last year. The consensus estimate had called for revenue of $15 million, but investors are rightly focused on the long-term opportunities since Luminar is a young company and design cycles in the automotive industry are extremely long.

Image source: Getty Images.

Source Fool.com