Ambarella (AMBA) Posts Quarterly Earnings Results, Misses Estimates By $0.01 EPS

Ambarella (NASDAQ:AMBA) issued its earnings results on Thursday. The semiconductor company reported ($0.28) earnings per share for the quarter, missing the Thomson Reuters’ consensus estimate of ($0.27) by ($0.01), Morningstar.com reports. The company had revenue of $57.30 million for the quarter, compared to analyst estimates of $57.12 million. Ambarella had a negative return on equity of 0.71% and a negative net margin of 1.40%. The company’s revenue for the quarter was down 35.7% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.75 earnings per share. Ambarella updated its Q4 2019 guidance to EPS.

Ambarella stock traded up $3.55 during mid-day trading on Friday, reaching $37.30. The company had a trading volume of 33,066 shares, compared to its average volume of 427,400. Ambarella has a 1 year low of $30.00 and a 1 year high of $66.23. The stock has a market cap of $1.11 billion, a PE ratio of 69.88 and a beta of 1.13.

In related news, insider Leslie Kohn sold 6,799 shares of the company’s stock in a transaction that occurred on Wednesday, September 19th. The stock was sold at an average price of $35.46, for a total value of $241,092.54. Following the transaction, the insider now directly owns 916,795 shares in the company, valued at $32,509,550.70. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Feng-Ming Wang sold 10,727 shares of the company’s stock in a transaction that occurred on Wednesday, September 19th. The shares were sold at an average price of $35.56, for a total value of $381,452.12. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 43,609 shares of company stock valued at $1,628,876. 5.84% of the stock is currently owned by corporate insiders.

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. lifted its stake in Ambarella by 2.5% during the third quarter. Vanguard Group Inc. now owns 2,407,044 shares of the semiconductor company’s stock worth $93,104,000 after purchasing an additional 57,943 shares in the last quarter. Morgan Stanley lifted its stake in Ambarella by 22.9% during the third quarter. Morgan Stanley now owns 626,825 shares of the semiconductor company’s stock worth $24,245,000 after purchasing an additional 116,704 shares in the last quarter. Legal & General Group Plc lifted its stake in Ambarella by 4.3% during the third quarter. Legal & General Group Plc now owns 322,771 shares of the semiconductor company’s stock worth $12,485,000 after purchasing an additional 13,212 shares in the last quarter. Krane Funds Advisors LLC lifted its stake in Ambarella by 32.4% during the third quarter. Krane Funds Advisors LLC now owns 10,099 shares of the semiconductor company’s stock worth $391,000 after purchasing an additional 2,469 shares in the last quarter. Finally, Point72 Asset Management L.P. acquired a new position in Ambarella during the third quarter worth $330,000. Hedge funds and other institutional investors own 70.07% of the company’s stock.

A number of research analysts recently commented on AMBA shares. BidaskClub cut Ambarella from a “sell” rating to a “strong sell” rating in a report on Thursday, September 20th. Northland Securities started coverage on Ambarella in a report on Monday, October 29th. They issued an “outperform” rating and a $38.00 price objective on the stock. Zacks Investment Research cut Ambarella from a “hold” rating to a “sell” rating in a report on Thursday, September 6th. Bank of America cut Ambarella from a “neutral” rating to an “underperform” rating and set a $35.00 price objective on the stock. in a report on Friday, August 31st. Finally, ValuEngine upgraded Ambarella from a “hold” rating to a “buy” rating in a report on Friday, September 7th. One research analyst has rated the stock with a sell rating, eight have assigned a hold rating and six have given a buy rating to the company’s stock. Ambarella has an average rating of “Hold” and an average target price of $49.45.

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Ambarella Company Profile

Ambarella, Inc develops semiconductor processing solutions for video that enable high-definition (HD), video capture, analysis, sharing, and display worldwide. The company's system-on-a-chip designs integrated HD video processing, image processing, computer vision functionality, audio processing, and system functions onto a single chip for delivering video and image quality, differentiated functionality, and low power consumption.

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Earnings History for Ambarella (NASDAQ:AMBA)

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