UPDATE: Goldman Sachs Starts Aurora Innovation Inc (AUR) at Neutral

Goldman Sachs analyst Mark Delaney initiates coverage on Aurora Innovation Inc (NASDAQ: AUR) with a Neutral rating and a price target of $13.00.

The analyst comments "We initiate coverage of Aurora Innovation (AUR) at Neutral with a 12-month price target of $13. We believe that Aurora is well positioned to be successful long-term in the very large market for autonomous services, especially in trucking, based on several factors when considered in combination: 1) An experienced and deep technical team; 2) Several industry partners and a development platform (including simulation and labeling tools as well as real world road testing) that will help provide it with data, hardware, and feedback; 3) Strong technology capabilities, including its own lidar sensor. Our positive view of the company is consistent with our discussions with industry participants. However, we believe there are several risks that remain relating to time to market/development, regulations and competitive risks (with some industry participants we spoke with not expecting to use AV trucking for another 3-5 years). Additionally, Aurora is already trading at a premium enterprise value compared to trucking competitors TuSimple and Embark (at $13.2 bn vs. TSP at $5.7 bn and EMBK at $3.9 bn). Similarly, its multiple on our discounted 2027 revenue estimate is approximately in line with where AV/auto tech leaders trade currently on forward revenue."

For an analyst ratings summary and ratings history on Aurora Innovation Inc click here. For more ratings news on Aurora Innovation Inc click here.

Shares of Aurora Innovation Inc closed at $13.22 yesterday.

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