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4 handpicked stocks

AV Sensor Stocks: Safety Demand Amid Compliance Costs

Following a Waymo self-driving car accident involving a child, federal regulators have launched new investigations into autonomous vehicle safety. This heightened scrutiny is expected to boost demand for companies that provide the essential safety and sensor technology underpinning the AV industry.

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Han Tan | Market Analyst

Published on January 30

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About This Group of Stocks

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Our Expert Thinking

Following a recent Waymo accident involving a child, federal regulators have launched investigations that are intensifying scrutiny across the entire autonomous vehicle industry. This heightened focus on safety is expected to drive substantial demand for companies providing the essential technology that makes self-driving cars safer - from advanced sensors to simulation software.

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What You Need to Know

These companies operate across the critical safety technology value chain for autonomous vehicles. They supply LiDAR sensors, advanced driver-assistance systems, perception software, and other components that help vehicles safely navigate complex environments. As regulatory pressure increases, manufacturers will likely invest heavily in proven safety solutions.

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Why These Stocks

Each company in this group was handpicked by professional analysts based on their role in providing essential safety technology for autonomous vehicles. From industry leaders like Mobileye to specialist LiDAR providers like Luminar, these firms are positioned to benefit as the industry prioritises safety following recent incidents and investigations.

Why You'll Want to Watch These Stocks

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Safety Under the Spotlight

Federal investigations following the Waymo incident are putting autonomous vehicle safety technology front and centre. Companies providing essential safety components could see increased demand as the industry doubles down on preventing future accidents.

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Regulatory Push Creates Opportunity

Heightened scrutiny from regulators means manufacturers will need to invest heavily in proven safety solutions. This creates a significant growth opportunity for companies supplying critical LiDAR, sensors, and perception software.

Essential Technology Providers

These aren't just any tech companies - they're the specialists providing the core safety technology that autonomous vehicles can't operate without. As safety becomes paramount, these firms are positioned at the centre of industry demand.

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