Ambarella (NASDAQ:AMBA) Shares Gap Up Following Analyst Upgrade

Shares of Ambarella, Inc. (NASDAQ:AMBA) gapped up prior to trading on Wednesday after Stifel Nicolaus raised their price target on the stock from $80.00 to $95.00. The stock had previously closed at $68.41, but opened at $79.78. Stifel Nicolaus currently has a buy rating on the stock. Ambarella shares last traded at $71.81, with a volume of 4,398,766 shares traded.

Several other research firms have also recently weighed in on AMBA. Westpark Capital restated a “buy” rating and set a $85.00 price objective on shares of Ambarella in a research report on Monday, August 26th. Morgan Stanley increased their target price on Ambarella from $73.00 to $90.00 and gave the company an “overweight” rating in a research note on Wednesday. Roth Mkm reaffirmed a “neutral” rating and set a $60.00 price target on shares of Ambarella in a research note on Wednesday, August 28th. Rosenblatt Securities reiterated a “buy” rating and set a $85.00 price objective on shares of Ambarella in a research report on Friday, August 23rd. Finally, Susquehanna raised their price objective on Ambarella from $70.00 to $85.00 and gave the company a “positive” rating in a report on Wednesday. Two equities research analysts have rated the stock with a sell rating, three have given a hold rating and eight have given a buy rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $81.67.

Insiders Place Their Bets

In related news, VP Yun-Lung Chen sold 5,963 shares of the firm’s stock in a transaction dated Tuesday, September 3rd. The stock was sold at an average price of $57.56, for a total value of $343,230.28. Following the sale, the vice president now directly owns 62,026 shares of the company’s stock, valued at $3,570,216.56. This trade represents a 8.77 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Christopher Day sold 2,904 shares of the business’s stock in a transaction dated Thursday, October 3rd. The shares were sold at an average price of $58.00, for a total value of $168,432.00. Following the transaction, the vice president now owns 18,466 shares in the company, valued at approximately $1,071,028. This represents a 13.59 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 24,423 shares of company stock valued at $1,356,402 in the last ninety days. Company insiders own 5.70% of the company’s stock.

Institutional Trading of Ambarella

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Azzad Asset Management Inc. ADV increased its position in Ambarella by 2.4% during the 2nd quarter. Azzad Asset Management Inc. ADV now owns 9,983 shares of the semiconductor company’s stock valued at $539,000 after purchasing an additional 231 shares during the period. Versor Investments LP increased its position in shares of Ambarella by 5.9% during the third quarter. Versor Investments LP now owns 4,619 shares of the semiconductor company’s stock valued at $261,000 after buying an additional 256 shares during the period. Sumitomo Mitsui DS Asset Management Company Ltd raised its stake in Ambarella by 6.4% in the third quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 4,767 shares of the semiconductor company’s stock worth $269,000 after buying an additional 285 shares in the last quarter. Linden Thomas Advisory Services LLC lifted its holdings in Ambarella by 1.7% in the second quarter. Linden Thomas Advisory Services LLC now owns 17,522 shares of the semiconductor company’s stock worth $945,000 after buying an additional 288 shares during the period. Finally, CWM LLC boosted its position in Ambarella by 127.7% during the 2nd quarter. CWM LLC now owns 542 shares of the semiconductor company’s stock valued at $29,000 after acquiring an additional 304 shares in the last quarter. Hedge funds and other institutional investors own 82.09% of the company’s stock.

Ambarella Trading Up 5.9 %

The stock has a market cap of $2.99 billion, a PE ratio of -16.77 and a beta of 1.63. The business has a fifty day simple moving average of $58.93 and a two-hundred day simple moving average of $55.13.

Ambarella (NASDAQ:AMBA) last issued its quarterly earnings results on Tuesday, August 27th. The semiconductor company reported ($0.13) earnings per share for the quarter, topping the consensus estimate of ($0.19) by $0.06. The company had revenue of $63.70 million for the quarter, compared to analysts’ expectations of $62.10 million. Ambarella had a negative return on equity of 26.01% and a negative net margin of 79.46%. The firm’s revenue for the quarter was up 2.6% on a year-over-year basis. During the same period in the prior year, the firm earned ($0.76) earnings per share. On average, research analysts predict that Ambarella, Inc. will post -3 earnings per share for the current year.

About Ambarella

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.