Northland Securities Comments on Ambarella Q3 Earnings

Ambarella, Inc. (NASDAQ:AMBA) – Northland Securities upped their Q3 2027 earnings estimates for Ambarella in a research report issued on Friday, September 4th. Northland Securities analyst G. Richard now forecasts that the semiconductor company will post earnings of ($0.15) per share for the quarter, up from their prior forecast of ($0.20). The consensus estimate for Ambarella’s current full-year earnings is ($1.13) per share. Northland Securities also issued estimates for Ambarella’s Q4 2027 earnings at ($0.28) EPS, FY2027 earnings at ($1.08) EPS, Q1 2028 earnings at ($0.32) EPS, Q4 2028 earnings at ($0.14) EPS and FY2028 earnings at ($0.67) EPS.

Ambarella (NASDAQ:AMBA) last posted its earnings results on Thursday, September 3rd. The semiconductor company reported $0.18 EPS for the quarter, topping the consensus estimate of $0.17 by $0.01. Ambarella had a negative net margin of 13.48% and a negative return on equity of 10.03%. The company had revenue of $108.12 million during the quarter, compared to the consensus estimate of $107.76 million. During the same period in the previous year, the firm posted $0.15 earnings per share. The company’s revenue for the quarter was up 13.2% compared to the same quarter last year.

Other research analysts have also issued research reports about the company. Stifel Nicolaus lowered their price objective on Ambarella from $106.00 to $90.00 and set a “buy” rating on the stock in a report on Friday, September 4th. Needham & Company LLC reiterated a “buy” rating on shares of Ambarella in a report on Friday, September 4th. Summit Insights lowered shares of Ambarella from a “buy” rating to a “hold” rating in a research report on Friday, May 29th. Roth Capital reduced their price objective on shares of Ambarella from $90.00 to $65.00 and set a “neutral” rating for the company in a research note on Friday, September 4th. Finally, Consumer Edge reaffirmed a “buy” rating on shares of Ambarella in a report on Friday, May 22nd. Five research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $89.56.

Ambarella Trading Up 8.4%

AMBA stock opened at $68.80 on Thursday. Ambarella has a 1 year low of $48.30 and a 1 year high of $96.69. The company has a fifty day simple moving average of $73.41 and a 200 day simple moving average of $68.19. The firm has a market cap of $3.04 billion, a PE ratio of -53.33 and a beta of 2.09.

Insider Activity

In related news, VP Chi-Hong Ju sold 10,000 shares of the company’s stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $88.84, for a total value of $888,400.00. Following the sale, the vice president owned 155,924 shares of the company’s stock, valued at $13,852,288.16. The trade was a 6.03% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Feng-Ming Wang sold 16,250 shares of the stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $90.08, for a total transaction of $1,463,800.00. Following the completion of the transaction, the chief executive officer directly owned 773,607 shares of the company’s stock, valued at $69,686,518.56. This trade represents a 2.06% 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. Over the last ninety days, insiders sold 58,519 shares of company stock valued at $4,595,475. Corporate insiders own 4.50% of the company’s stock.

Institutional Investors Weigh In On Ambarella

A number of institutional investors have recently added to or reduced their stakes in the stock. GSA Capital Partners LLP raised its holdings in shares of Ambarella by 145.2% in the 4th quarter. GSA Capital Partners LLP now owns 24,800 shares of the semiconductor company’s stock worth $1,757,000 after buying an additional 14,685 shares in the last quarter. Legal & General Group Plc boosted its stake in Ambarella by 18.4% in the 4th quarter. Legal & General Group Plc now owns 614,017 shares of the semiconductor company’s stock valued at $43,497,000 after buying an additional 95,218 shares in the last quarter. The Manufacturers Life Insurance Company grew its position in Ambarella by 49.5% in the first quarter. The Manufacturers Life Insurance Company now owns 1,586,082 shares of the semiconductor company’s stock valued at $81,644,000 after acquiring an additional 524,937 shares during the period. SBI Okasan Asset Management Co.Ltd. bought a new stake in Ambarella in the fourth quarter valued at $1,345,000. Finally, Bank of America Corp DE raised its stake in Ambarella by 7.8% during the first quarter. Bank of America Corp DE now owns 481,758 shares of the semiconductor company’s stock worth $24,798,000 after acquiring an additional 34,843 shares in the last quarter. 82.09% of the stock is owned by institutional investors and hedge funds.

More Ambarella News

Here are the key news stories impacting Ambarella this week:

• Positive Sentiment: Ambarella’s Q2 2027 earnings-call commentary highlighted record edge-AI revenue and a projected $22.9 billion serviceable available market, reinforcing expectations for long-term demand for the company’s AI-enabled semiconductor solutions. Ambarella Q2 2027 Earnings Call Transcript
• Positive Sentiment: Northland Securities raised its EPS forecasts for Q3 2027, FY2027, Q1 2028, Q4 2028 and FY2028. The largest improvement was its FY2028 estimate, which moved to a loss of $0.67 per share from a loss of $0.78, suggesting analysts expect Ambarella’s profitability trajectory to improve over time.
• Positive Sentiment: Management’s participation in Citi’s 2026 Global TMT Conference gives investors additional visibility into Ambarella’s strategy and AI-related growth opportunities. Ambarella Presents at Citi’s 2026 Global TMT Conference
• Neutral Sentiment: Despite the upward revisions, Northland still forecasts losses for FY2027 and FY2028, at $1.08 and $0.67 per share, respectively. The company’s current-year consensus estimate remains a loss of $1.13 per share, so investors are paying for anticipated future growth rather than current earnings.
• Negative Sentiment: Northland modestly reduced its Q4 2027 EPS forecast to a loss of $0.28 from $0.26, indicating that the near-term earnings path remains uneven and could temper enthusiasm if operating improvements take longer than expected.

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.