
Ambarella, Inc. (NASDAQ:AMBA) stock is trading higher Friday after the company reported better-than-expected second quarter earnings per share and sales and guided third quarter sales above estimates on Thursday after the market closed.
What To Know: The company posted adjusted earnings per share of 15 cents, beating the consensus estimate of 5 cents. In addition, Ambarella reported sales of $95.51 million, beating the consensus estimate of $90.01 million and representing a 50% year-over-year increase.
The company swung to a non-GAAP profit of $6.4 million, compared with a $5.5 million loss a year earlier. Ambarella ended the quarter with $261.2 million in cash, up from $219.8 million a year ago.
Q3 Outlook: The company sees sales from $100.00 million to $108.00 million, versus the consensus estimate of $91.13 million.
Analyst Changes: Following the earnings report, multiple analysts issued price target adjustments.
- Needham analyst N. Quinn Bolton maintained a Buy rating on Ambarella and raised the price target from $90 to $100.
- B of A Securities analyst Vivek Arya maintained a Neutral rating on Ambarella and raised the price target from $63 to $90.
- Rosenblatt analyst Kevin Cassidy maintained a Buy rating on Ambarella and raised the price target from $95 to $100.
- Stifel analyst Tore Svanberg maintained a Buy rating on Ambarella and raised the price target from $80 to $90.
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AMBA Price Action: At the time of publication, Ambarella stock is trading 17.80% higher at $83.16, according to data from Benzinga Pro.
This illustration was generated using artificial intelligence via Midjourney.