Ambarella Lower After Q4 Beat Trumped By Lower Guidance

Ambarella Inc (NASDAQ:AMBA) shares are trading lower by $2.60 (5 percent) at $56.35 in Wednesday's session. After Tuesday's close, the company announced a Q4 EPS beat of $0.18 along with a sales beat of $1.5 million.

That modest beat is being overshadowed by the forecast for lower Q1 sales to the $62.5-$64.5 million range from $69.61 estimates.

After a higher open, it peaked $0.09 above Tuesday's high ($60.52) at $60.61 and sharply reversed course. The ensuing decline took the issue all the way to $55.35, but has since rebounded into the $56.00 handle.

That low comes in just above the trio of lows at the $55.00 area from February 15-17 from $54.91 to $55.06.