Ambarella (AMBA) Stock | All Time Highs On Earnings


Ambarella, Inc. (NASDAQ: AMBA)

Shares of semiconductor company AMBA are soaring today after posting better than expected earnings. Consensus estimates called for earnings per share of $0.58 and the company beat that by a wide margin, posting results of $0.71 per share. This is much higher than the same quarter last year which saw earnings per share of $0.25. Revenue for this quarter came in at $71.00 million compared to consensus estimates of $66.68 million. Compared to the same quarter last year, revenue was up 73.6%.

The stock closed the regular session Tuesday at $92.21 only to see it buyers push it as high as the $96.50s in pre-market  trading today following the announcement. As of this writing the stock is up over 7% on the day, trading just shy of $99 – only a dollar away from the all important century mark.


AMBA CEO Comments

The company’s CEO attributed the strong quarter to continued growth in its traditional business lines which include IP security and automotive video recorder cameras, and he noted particular strength in the market for home security cameras and devices associated with quad copters, saying, “we look forward to continued success, as we enable the next generation of intelligent HD and Ultra HD cameras.”

Analyst View On Ambarella

The rated the stock a buy following the earnings report, saying that despite the company’s lofty share price, which has seen new all time highs nearly every day the second half of May, it believes there is more upside to come based on a number of strengths which include “its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, impressive record of earnings per share growth and compelling growth in net income.”

Company Profile

Ambarella, Inc. develops semiconductor processing solutions for video that enable high-definition (HD) video capture, sharing, and display worldwide. The company’s system-on-a-chip designs integrated HD video processing, image processing, audio processing, and system functions onto a single chip for delivering video and image quality, differentiated functionality, and low power consumption. Its solutions enable the creation of video content for wearable sports cameras, automotive aftermarket cameras, professional and consumer Internet Protocol (IP) security cameras, telepresence cameras, and unmanned aerial vehicles in the camera market; and manage IP video traffic, broadcast encoding and transcoding, and IP video delivery applications in the infrastructure market. The company sells its solutions to original design manufacturers and original equipment manufacturers through its direct sales force and logistics providers. Ambarella, Inc. was founded in 2004 and is headquartered in Santa Clara, California. – Yahoo Finance!