Ambarella, Inc. (NASDAQ:AMBA) Receives Average Recommendation of "Moderate Buy" from Analysts

Key Points

• Ambarella, Inc. has a consensus rating of “Moderate Buy” from twelve brokerages, with one strong buy, eight buy, and three hold recommendations, and an average target price of $93.88.
• Recently, Ambarella reported earnings of $0.15 per share, exceeding analysts' expectations of $0.05, with a revenue of $95.51 million, up nearly 50% from the previous year.
• Institutional investors own a significant 82.09% of Ambarella’s stock, indicating strong confidence in the company’s future performance.

Ambarella, Inc. (NASDAQ:AMBA - Get Free Report) has been assigned a consensus recommendation of "Moderate Buy" from the twelve analysts that are covering the company, MarketBeat.com reports. Three equities research analysts have rated the stock with a hold recommendation, eight have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1 year target price among analysts that have updated their coverage on the stock in the last year is $93.8750.

Several research firms recently weighed in on AMBA. Northland Securities boosted their target price on Ambarella from $75.00 to $95.00 and gave the stock an "outperform" rating in a research note on Friday, August 29th. Oppenheimer reiterated a "market perform" rating on shares of Ambarella in a research note on Friday, August 29th. Bank of America boosted their price objective on Ambarella from $63.00 to $90.00 and gave the company a "neutral" rating in a research note on Friday, August 29th. Roth Capital reiterated a "neutral" rating on shares of Ambarella in a research note on Friday, August 29th. Finally, Stifel Nicolaus boosted their price objective on Ambarella from $80.00 to $90.00 and gave the company a "buy" rating in a research note on Friday, August 29th.

Ambarella Stock Up 0.4%

NASDAQ AMBA traded up $0.29 during trading on Tuesday, hitting $82.93. The stock had a trading volume of 1,647,386 shares, compared to its average volume of 1,205,726. The company has a market capitalization of $3.54 billion, a PE ratio of -39.30 and a beta of 2.09. The firm has a 50 day moving average price of $72.09 and a 200 day moving average price of $60.35. Ambarella has a twelve month low of $38.86 and a twelve month high of $93.44.

Ambarella (NASDAQ:AMBA - Get Free Report) last announced its quarterly earnings data on Thursday, August 28th. The semiconductor company reported $0.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.05 by $0.10. The business had revenue of $95.51 million during the quarter, compared to analysts' expectations of $90.01 million. Ambarella had a negative return on equity of 14.73% and a negative net margin of 25.46%.The business's quarterly revenue was up 49.9% compared to the same quarter last year. During the same quarter last year, the business posted ($0.13) EPS. Ambarella has set its Q3 2026 guidance at EPS. On average, sell-side analysts anticipate that Ambarella will post -2.81 earnings per share for the current year.

Insider Buying and Selling at Ambarella

In related news, CFO John Alexander Young sold 2,566 shares of the company's stock in a transaction on Wednesday, September 17th. The stock was sold at an average price of $79.43, for a total transaction of $203,817.38. Following the transaction, the chief financial officer owned 109,108 shares of the company's stock, valued at $8,666,448.44. This represents a 2.30% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Feng-Ming Wang sold 4,928 shares of the company's stock in a transaction on Wednesday, September 17th. The shares were sold at an average price of $79.43, for a total value of $391,431.04. Following the completion of the sale, the chief executive officer directly owned 788,929 shares in the company, valued at $62,664,630.47. This trade represents a 0.62% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 22,350 shares of company stock valued at $1,800,786. Corporate insiders own 5.30% of the company's stock.

Institutional Trading of Ambarella

Large investors have recently bought and sold shares of the company. Captrust Financial Advisors acquired a new stake in shares of Ambarella during the fourth quarter valued at $360,000. Deutsche Bank AG grew its holdings in Ambarella by 62.8% in the 4th quarter. Deutsche Bank AG now owns 75,529 shares of the semiconductor company's stock valued at $5,494,000 after buying an additional 29,123 shares during the period. Man Group plc grew its holdings in Ambarella by 23.9% in the 4th quarter. Man Group plc now owns 14,994 shares of the semiconductor company's stock valued at $1,091,000 after buying an additional 2,891 shares during the period. ProShare Advisors LLC grew its holdings in Ambarella by 19.1% in the 4th quarter. ProShare Advisors LLC now owns 13,665 shares of the semiconductor company's stock valued at $994,000 after buying an additional 2,194 shares during the period. Finally, Tidal Investments LLC purchased a new stake in Ambarella in the 4th quarter valued at about $444,000. Institutional investors and hedge funds own 82.09% of the company's stock.

Ambarella Company Profile

Ambarella, Inc develops semiconductor solutions that enable high-definition (HD) and ultra HD compression, image signal processing, and artificial intelligence processing worldwide. The company's system-on-a-chip designs integrated HD video processing, image processing, artificial intelligence computer vision algorithms, audio processing, and system functions onto a single chip for delivering video and image quality, differentiated functionality, and low power consumption.