Ambarella, Inc. (AMBA) Stock Analysis
Technology · Semiconductor Equipment & Materials
Sell if holding. Engine safety override at $71.45: Quality below floor (3.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10. Specifically: Below-average business quality; Negative price momentum; Below long-term trend.
Ambarella designs AI SoCs for edge and physical AI applications including security cameras, automotive systems, and robotics, with CVflow architecture targeting transformer-based AI inference. Revenue flows primarily through WT Microelectronics, the company's non-exclusive Asia... Read more
Sell if holding. Engine safety override at $71.45: Quality below floor (3.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10. Specifically: Below-average business quality; Negative price momentum; Below long-term trend. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.3/10, moderate confidence.
Passes 5/8 gates (clean insider activity, news events none recent, earnings proximity 80d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio. Suitability: aggressive.
Recent developments
updated 2026-06-09Recent Developments — Ambarella, Inc.
Latest news
- NEWS B of A Securities Maintains Neutral on Ambarella, Raises Price Target to $96 — benzinga May 29, 2026 neutral
- NEWS Ambarella Stock Slides After Lackluster Q1 Results — benzinga May 29, 2026 negative
- NEWS 12 Information Technology Stocks Moving In Friday's Intraday Session — benzinga May 29, 2026 neutral
- NEWS Susquehanna Maintains Positive on Ambarella, Raises Price Target to $110 — benzinga May 29, 2026 positive
- NEWS Rosenblatt Maintains Buy on Ambarella, Raises Price Target to $120 — benzinga May 29, 2026 positive
Generated 2026-06-09T22:11:39Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHCustomerWT Microelectronics70%10-K Item 1A: 'the customer representing 10% or more of our revenue was WT Microelectronics Co., Ltd., or WT, which serves as our non-exclusive sales representative and fulfillment partner in Asia other than Japan, accounted for approximately 70% of total revenue'
Material Events(8-K, last 90d)
- 2026-02-27Item 5.02LOWCompensation Committee approved FY2027 Annual Bonus Plan on February 24, 2026, with aggregate target pool ~28% larger than FY2026. CEO Feng-Ming Wang target is 100% of salary. Routine compensatory arrangement.SEC filing →
- 2026-02-26Item 5.02LOWGregory M. Bryant appointed to the Board and Compensation Committee effective February 23, 2026. Former EVP at Analog Devices. Routine board appointment; no officer departures.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
2 floor-breakers
Momentum below the gate floor. Component breakdown shows what dragged the score down.static
Unprofitable operations — net margin -17.2%. Quality floor flags this regardless of sector context.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $71.45: Quality below floor (3.8 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.3/10. Specifically: Below-average business quality; Negative price momentum; Below long-term trend. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $63.91. Score 5.3/10, moderate confidence.
Take-profit target: $81.56 (+18.7% upside). Prior stop was $63.91. Stop-loss: $63.91.
Concentration risk — Customer: WT Microelectronics (70.0%); Quality below floor (3.8 < 4.0).
Ambarella, Inc. trades at a P/E of N/A (forward 55.4). TrendMatrix value score: 6.2/10. Verdict: Sell.
20 analysts cover AMBA with a consensus score of 3.8/5. Average price target: $94.
What does Ambarella, Inc. do?Ambarella designs AI SoCs for edge and physical AI applications including security cameras, automotive systems, and...
Ambarella designs AI SoCs for edge and physical AI applications including security cameras, automotive systems, and robotics, with CVflow architecture targeting transformer-based AI inference. Revenue flows primarily through WT Microelectronics, the company's non-exclusive Asia distributor that represented ~70% of total fiscal 2026 revenue.