A Glimpse Into The Expert Outlook On Ambarella Through 4 Analysts

Ratings for Ambarella AMBA were provided by 4 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $88.75, a high estimate of $95.00, and a low estimate of $80.00. This current average represents a 3.27% decrease from the previous average price target of $91.75.

Understanding Analyst Ratings: A Comprehensive Breakdown

An in-depth analysis of recent analyst actions unveils how financial experts perceive Ambarella. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Ambarella. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Ambarella compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Ambarella's stock. This comparison reveals trends in analysts' expectations over time.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Ambarella's market standing. Stay informed and make data-driven decisions with our Ratings Table.

Stay up to date on Ambarella analyst ratings.

Delving into Ambarella's Background

Ambarella Inc is a developer of semiconductor processing solutions for high-definition video capture, sharing, and display. The firm's solutions are sold to original design manufacturers and original equipment manufacturers to be designed for use in infrastructure broadcast encoders, wearable device cameras, automotive cameras, security cameras, consumer cameras, and industrial and robotic applications. The company's system-on-a-chip designs, based on its proprietary technology platform, are configurable to applications in various end markets. Geographical presence in Taiwan, Asia Pacific, Europe, North America, and the United States. The firm derives the majority of its revenue from Taiwan.

Ambarella: Delving into Financials

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Ambarella's remarkable performance in 3M is evident. As of 30 April, 2025, the company achieved an impressive revenue growth rate of 57.64%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.

Net Margin: Ambarella's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of -28.33%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Ambarella's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -4.29%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): Ambarella's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -3.5%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Ambarella's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.01.

The Core of Analyst Ratings: What Every Investor Should Know

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.