
Ambarella (AMBA) Stock Forecast & Price Target
Ambarella (AMBA) Analyst Ratings
Bulls say
Ambarella Inc has demonstrated a robust increase in average selling prices (ASPs), achieving a year-over-year rise of approximately 20%, which reflects the adoption of its advanced third-generation system-on-chip (SoC) solutions. The company's revenue growth is significant, with fiscal fourth quarter 2026 (F4Q26) revenue guidance allowing for an upward revision of the full-year 2026 revenue outlook to a projected increase of 36-38% year-over-year, supported by a strong performance in both IoT and automotive sectors. Additionally, the expansion of edge AI applications, which now accounts for roughly 80% of the company's revenues, is anticipated to drive further growth, underpinned by rising AI performance requirements and the breadth of applications utilizing Ambarella’s products.
Bears say
Ambarella Inc. reported non-GAAP EPS of $0.27, exceeding estimates, but the sequential outlook indicates a decline in both IoT and Automotive segments, anticipated to fall in the high-single digits due to normal seasonal patterns. The company's guidance for the F4Q26 gross margin reflects a reduction to 59.8%, underperforming against previous expectations, largely driven by a mix shift towards higher-volume customers that may utilize volume discounts. Additionally, a concentrated customer base creates vulnerability in revenue streams, with potential adverse effects stemming from any decrease in sales to key original design manufacturers (ODMs) or camera products by original equipment manufacturers (OEMs).
This aggregate rating is based on analysts' research of Ambarella and is not a guaranteed prediction by Public.com or investment advice.
Ambarella (AMBA) Analyst Forecast & Price Prediction
Start investing in Ambarella (AMBA)
Order type
Buy in
Order amount
Est. shares
0 shares