AmbarellaInc (AMBA) reported positive earnings for the fourth quarter. Due to the resumed work on halted projects after COVID-19, revenue has increased, and sales are expected to rise.
Over the past quarter, Ambarella’s income stayed virtually unchanged at $0.14 per share, despite sales growing 9 % to $ 62.1 million. The results exceeded Wall Street’s expectations and resulted in the positive recommendation being renewed. Growth in sales was driven by the increasing demand for chips incorporated in machine vision systems with artificial intelligence (AI) elements. Ambarella has sold engineering hardware and software to more than 175 customers, of which more than 40 have already started manufacturing along with 300 thousand chips for the car.
Rosenblatt Securities increased AmbarellaInc’s (AMBA) target price of $140 from $115 after following the report and giving its recommendation of “BUY” for AMBA shares. In Rosenblatt’s remarks, Ambarella’s projects received a lot of attention a year ago and before, but their execution was delayed due to COVID-19. In addition to new developments, they now have the potential to generate revenue growth. Ambarella is named by Rosenblatt as an industry leader in the area of artificial intelligence development, focused on specific areas and markets.
The latest trading session shows Ambarella Inc.’s (AMBA) ‘s price ratify at $113.33, a decrease of -0.33%. Recently, a volume of 3.74 million shares was traded, and its average volume was 748.77K shares. When assessing the current and prospective worth of stock, it is important to pay attention to the 52-week low and high prices. Its shares have taken a pay cut of -12.10% from the highest 52-week point and soared 214.63% from its lowest 52-week point.