199,400 Shares in Ambarella, Inc. $AMBA Acquired by Renaissance Technologies LLC

Renaissance Technologies LLC acquired a new stake in shares of Ambarella, Inc. (NASDAQ:AMBA) in the first quarter, according to the company in its most recent 13F filing with the SEC. The fund acquired 199,400 shares of the semiconductor company’s stock, valued at approximately $10,264,000. Renaissance Technologies LLC owned 0.46% of Ambarella as of its most recent SEC filing.

Other hedge funds also recently bought and sold shares of the company. EverSource Wealth Advisors LLC lifted its position in shares of Ambarella by 362.2% during the second quarter. EverSource Wealth Advisors LLC now owns 416 shares of the semiconductor company’s stock worth $27,000 after purchasing an additional 326 shares during the last quarter. Cassaday & Co Wealth Management LLC purchased a new position in Ambarella in the 1st quarter worth about $30,000. Advisory Services Network LLC purchased a new position in Ambarella in the 3rd quarter worth about $33,000. Steward Partners Investment Advisory LLC lifted its holdings in Ambarella by 162.5% during the 4th quarter. Steward Partners Investment Advisory LLC now owns 525 shares of the semiconductor company’s stock valued at $37,000 after buying an additional 325 shares in the last quarter. Finally, Advisors Asset Management Inc. lifted its holdings in Ambarella by 44.1% during the 1st quarter. Advisors Asset Management Inc. now owns 935 shares of the semiconductor company’s stock valued at $47,000 after buying an additional 286 shares in the last quarter. Institutional investors own 82.09% of the company’s stock.

Analysts Set New Price Targets

Several research firms have issued reports on AMBA. Susquehanna boosted their price objective on shares of Ambarella from $80.00 to $110.00 and gave the company a “positive” rating in a research report on Friday, May 29th. Consumer Edge reaffirmed a “buy” rating on shares of Ambarella in a research note on Friday, May 22nd. Bank of America boosted their price target on Ambarella from $72.00 to $96.00 and gave the company a “neutral” rating in a report on Friday, May 29th. Rosenblatt Securities increased their price objective on Ambarella from $115.00 to $120.00 in a research note on Tuesday, June 30th. Finally, Weiss Ratings upgraded Ambarella from a “sell (e+)” rating to a “sell (d-)” rating in a report on Friday, July 10th. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $101.12.

Ambarella News Summary

Here are the key news stories impacting Ambarella this week:

• Positive Sentiment: Potential NXP acquisition: NXP is reportedly in talks to buy Ambarella, whose computer-vision and AI chips are used in automotive cameras, autonomous-driving systems, security equipment and other edge-AI applications. A transaction could provide investors with a substantial premium, although no agreement, offer price or deal terms have been announced. Reuters article Financial Times article
• Positive Sentiment: Renewed edge-AI optimism: Investors are revisiting Ambarella’s growth potential in automotive and physical-AI markets. Management previously forecast quarterly revenue of $105 million to $111 million and highlighted strong edge-AI demand, while a long-term Hanwha agreement could generate more than $800 million in potential revenue. Quiver Quantitative analysis
• Neutral Sentiment: Analyst upside remains: Recent analyst price targets range from $96 to $120, with a median of $110, but these targets predate the reported acquisition discussions and may not reflect a potential takeover valuation.
• Negative Sentiment: Deal and execution risks remain: The reported talks may not result in a transaction, and Ambarella remains unprofitable on a trailing basis. Separately, disclosed insider activity showed selling rather than purchases over the past six months, a cautionary signal despite the takeover-related enthusiasm.

Insiders Place Their Bets

In related news, CFO John Alexander Young sold 5,033 shares of the company’s stock in a transaction on Wednesday, June 17th. The stock was sold at an average price of $67.54, for a total transaction of $339,928.82. Following the completion of the sale, the chief financial officer directly owned 112,590 shares in the company, valued at $7,604,328.60. This represents a 4.28% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Feng-Ming Wang sold 32,500 shares of the firm’s stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $91.01, for a total value of $2,957,825.00. Following the sale, the chief executive officer directly owned 806,061 shares in the company, valued at approximately $73,359,611.61. The trade was a 3.88% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 91,419 shares of company stock worth $7,591,700. Insiders own 4.50% of the company’s stock.

Ambarella Stock Performance

NASDAQ:AMBA opened at $86.00 on Monday. The firm has a 50-day simple moving average of $72.56 and a 200-day simple moving average of $66.45. Ambarella, Inc. has a one year low of $48.30 and a one year high of $96.69. The firm has a market cap of $3.77 billion, a P/E ratio of -53.42 and a beta of 2.12.

Ambarella (NASDAQ:AMBA) last released its quarterly earnings data on Thursday, May 28th. The semiconductor company reported $0.11 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.11. The firm had revenue of $100.36 million for the quarter, compared to the consensus estimate of $100.12 million. Ambarella had a negative net margin of 17.18% and a negative return on equity of 10.94%. The company’s quarterly revenue was up 16.9% on a year-over-year basis. During the same period last year, the firm earned $0.07 earnings per share. On average, research analysts predict that Ambarella, Inc. will post -1.13 EPS for the current fiscal year.

Ambarella Company Profile

Ambarella, Inc is a global semiconductor company headquartered in Santa Clara, California, specializing in video compression, image processing and computer vision technologies. The company designs low-power, high-definition system-on-chip (SoC) solutions that enable the capture, processing and streaming of video in a variety of embedded applications. Ambarella’s platforms combine advanced video encoding, multi-core central processing units and hardware accelerators to deliver high-resolution imaging with low power consumption.

Ambarella’s product portfolio caters to multiple markets, including security and surveillance, automotive vision, wearable cameras, drones and robotics.