Ambarella (NASDAQ:AMBA) Shares Gap Down on Analyst Downgrade

Ambarella, Inc. (NASDAQ:AMBA)’s stock price gapped down before the market opened on Friday after Needham & Company LLC lowered their price target on the stock from $110.00 to $90.00. The stock had previously closed at $62.00, but opened at $59.10. Needham & Company LLC currently has a buy rating on the stock. Ambarella shares last traded at $52.53, with a volume of 159,628 shares.

Other analysts have also recently issued reports about the stock. Rosenblatt Securities increased their target price on shares of Ambarella from $87.00 to $95.00 and gave the stock a “buy” rating in a report on Friday. Morgan Stanley dropped their target price on shares of Ambarella from $90.00 to $80.00 and set an “overweight” rating on the stock in a report on Tuesday, May 27th. Wall Street Zen raised shares of Ambarella from a “sell” rating to a “hold” rating in a report on Friday, February 28th. Finally, Stifel Nicolaus dropped their target price on shares of Ambarella from $100.00 to $80.00 and set a “buy” rating on the stock in a report on Thursday, April 17th. Five equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the company. According to data from MarketBeat.com, Ambarella presently has a consensus rating of “Moderate Buy” and an average price target of $84.55.

Insider Buying and Selling

In other Ambarella news, CFO John Alexander Young sold 2,103 shares of the firm’s stock in a transaction dated Tuesday, March 18th. The shares were sold at an average price of $55.02, for a total transaction of $115,707.06. Following the transaction, the chief financial officer now owns 113,886 shares of the company’s stock, valued at approximately $6,266,007.72. This trade represents a 1.81% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Feng-Ming Wang sold 3,194 shares of the firm’s stock in a transaction dated Tuesday, March 18th. The shares were sold at an average price of $55.02, for a total transaction of $175,733.88. Following the transaction, the chief executive officer now directly owns 798,311 shares in the company, valued at approximately $43,923,071.22. The trade was a 0.40% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 9,328 shares of company stock valued at $513,467 in the last quarter. Company insiders own 5.30% of the company’s stock.

Hedge Funds Weigh In On Ambarella

Large investors have recently bought and sold shares of the stock. Asset Management One Co. Ltd. acquired a new position in Ambarella during the 4th quarter valued at about $553,000. Artemis Wealth Advisors LLC acquired a new position in Ambarella during the 4th quarter valued at about $1,455,000. Pinnacle Wealth Management Advisory Group LLC acquired a new position in Ambarella during the 4th quarter valued at about $256,000. Van ECK Associates Corp boosted its position in shares of Ambarella by 118.1% during the 4th quarter. Van ECK Associates Corp now owns 9,951 shares of the semiconductor company’s stock valued at $724,000 after purchasing an additional 5,388 shares in the last quarter. Finally, D.A. Davidson & CO. bought a new position in shares of Ambarella during the 4th quarter valued at about $1,672,000. Institutional investors and hedge funds own 82.09% of the company’s stock.

Ambarella Trading Down 16.6%

The company’s 50-day moving average price is $51.29 and its two-hundred day moving average price is $63.42. The company has a market cap of $2.19 billion, a P/E ratio of -13.40 and a beta of 1.99.

About Ambarella

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