Ambarella, Inc. (NASDAQ:AMBA) Given Average Rating of “Moderate Buy” by Analysts

Shares of Ambarella, Inc. (NASDAQ:AMBA) have been assigned a consensus rating of “Moderate Buy” from the fourteen ratings firms that are presently covering the stock, Marketbeat.com reports. One analyst has rated the stock with a sell rating, four have issued a hold rating, seven have given a buy rating and two have issued a strong buy rating on the company. The average 12 month target price among brokers that have updated their coverage on the stock in the last year is $94.75.

AMBA has been the subject of several recent research reports. Rosenblatt Securities reissued a “buy” rating and set a $115.00 target price on shares of Ambarella in a research note on Tuesday. Consumer Edge reissued a “buy” rating on shares of Ambarella in a research note on Friday, May 22nd. Finally, Stifel Nicolaus set a $90.00 target price on Ambarella in a report on Friday, May 22nd.

Insider Buying and Selling

In related news, insider Chan W. Lee sold 6,729 shares of Ambarella stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $52.77, for a total value of $355,089.33. Following the transaction, the insider directly owned 156,370 shares in the company, valued at $8,251,644.90. The trade was a 4.13% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO John Alexander Young sold 4,577 shares of Ambarella stock in a transaction on Tuesday, March 17th. The stock was sold at an average price of $52.77, for a total value of $241,528.29. Following the completion of the transaction, the chief financial officer owned 117,072 shares in the company, valued at $6,177,889.44. The trade was a 3.76% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 136,799 shares of company stock valued at $8,917,902. Insiders own 4.50% of the company’s stock.

Hedge Funds Weigh In On Ambarella

A number of hedge funds have recently modified their holdings of AMBA. Price T Rowe Associates Inc. MD grew its holdings in shares of Ambarella by 2,312.6% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 864,610 shares of the semiconductor company’s stock worth $61,250,000 after acquiring an additional 828,773 shares during the last quarter. UBS Group AG grew its holdings in shares of Ambarella by 379.3% in the 3rd quarter. UBS Group AG now owns 821,747 shares of the semiconductor company’s stock worth $67,811,000 after acquiring an additional 650,306 shares during the last quarter. Squarepoint Ops LLC acquired a new position in shares of Ambarella in the 2nd quarter worth $36,810,000. The Manufacturers Life Insurance Company grew its holdings in shares of Ambarella by 49.5% in the 1st quarter. The Manufacturers Life Insurance Company now owns 1,586,082 shares of the semiconductor company’s stock worth $81,644,000 after acquiring an additional 524,937 shares during the last quarter. Finally, Barclays PLC grew its holdings in shares of Ambarella by 121.7% in the 3rd quarter. Barclays PLC now owns 775,113 shares of the semiconductor company’s stock worth $63,962,000 after acquiring an additional 425,546 shares during the last quarter. 82.09% of the stock is currently owned by institutional investors and hedge funds.

Key Ambarella News

Here are the key news stories impacting Ambarella this week:

• Positive Sentiment: Ambarella announced a long-term edge AI agreement with Hanwha that management says could generate more than $800 million in potential revenue over time, boosting confidence in its growth pipeline. Hanwha and Ambarella Enter Into Long-Term Edge AI Agreement
• Positive Sentiment: The company’s first-quarter revenue increased 16.9% year over year to $100.4 million, showing continued demand for its edge AI semiconductor products. Ambarella, Inc. Announces First Quarter Fiscal Year 2027 Financial Results
• Positive Sentiment: Ambarella met earnings expectations with quarterly EPS of $0.11, and several reports noted it narrowly topped estimates, suggesting results were at least stable relative to forecasts. Ambarella (AMBA) Meets Q1 Earnings Estimates
• Neutral Sentiment: The company’s second-quarter revenue guidance of $105 million to $111 million was roughly in line with Wall Street expectations, so the outlook was not a major surprise either way.
• Negative Sentiment: Despite the positive update, at least one market report said Ambarella stock fell after earnings, indicating investors may still be cautious about margins, profitability, or the near-term outlook. Edge AI Chipmaker Ambarella Narrowly Tops Q1 Estimates

Ambarella Stock Performance

Shares of AMBA stock opened at $91.84 on Friday. Ambarella has a 1 year low of $48.30 and a 1 year high of $96.69. The stock has a market cap of $4.03 billion, a PE ratio of -51.60 and a beta of 2.17. The business’s fifty day moving average is $65.50 and its 200-day moving average is $68.42.

Ambarella (NASDAQ:AMBA) last issued its quarterly earnings results on Thursday, May 28th. The semiconductor company reported $0.11 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.11. Ambarella had a negative return on equity of 12.16% and a negative net margin of 19.42%.The company had revenue of $100.36 million for the quarter, compared to analysts’ expectations of $100.12 million. During the same period last year, the firm earned $0.07 EPS. The firm’s revenue for the quarter was up 16.9% on a year-over-year basis. Equities research analysts predict that Ambarella will post -1.27 earnings per share for the current year.

About Ambarella

Ambarella, Inc is a global semiconductor company headquartered in Santa Clara, California, specializing in video compression, image processing and computer vision technologies. The company designs low-power, high-definition system-on-chip (SoC) solutions that enable the capture, processing and streaming of video in a variety of embedded applications. Ambarella’s platforms combine advanced video encoding, multi-core central processing units and hardware accelerators to deliver high-resolution imaging with low power consumption.

Ambarella’s product portfolio caters to multiple markets, including security and surveillance, automotive vision, wearable cameras, drones and robotics.