Ambarella Inc Shares Slip Despite Earnings Beat

The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. (AMBA) sold shares in a trading activity completed on Thursday June 30, 2016. The stock was sold at an average price of $51.97, for a total value of $242,959.75. The disclosure for this sale can be found here.

AMBA has been the subject of several other research reports.

Ambarella, Inc. (NASDAQ:AMBA) down -2.88% for the past 5 days, is under coverage of 10 analysts who collectively assign a hold rating on stock. The company stock was upgraded to Overweight from Equal-Weight, wrote analysts at Morgan Stanley, in a research note issued to clients on Tuesday March 29, 2016.

Recall during last quarter’s call – and as I noted in my earnings preview earlier this week – Ambarella management warned investors revenue would decline due to a combination of headwinds in the wearable camera space, and supply shortages of Sony image sensors related to the April natural disaster in Kumamoto, Japan.

Ambarella bought back 405,089 shares of its stock in the quarter, for $20.2 million, at $49.80 per share, on average. Prudential Financial Inc. purchased a new stake in Ambarella during the first quarter valued at about $217,000. Ambarella has the best rating possible, A+, indicating that mutual funds are buying (that is, accumulating) shares. Earnings per share were $0.34. Part of a company’s stock valuation includes expectations moving forward.

Shares are down 87 cents, or 1.2%, at $70.91. Moreover, Tide Point Capital Management Lp has 1.54% invested in the company for 400,000 shares. Right now, it’s all about sentiment and all about the charts – and with shares trending higher after a strong golden cross in July showing the 50-day average busting through the 200-day with gusto, it has been folly to bet against Ambarella in the short term. The stock has a market cap of $2.18 billion and a P/E ratio of 50.44.

The 52 week high of shares in Ambarella Corporation is 75.53 while the 52 week low for the company’s shares is 33.39.

Ambarella (NASDAQ:AMBA) last announced its quarterly earnings data on Thursday, September 1st. What’s more – and while we don’t typically pay close attention to Wall Street’s quarterly demands – analysts’ consensus estimates predicted significantly lower adjusted earnings of $0.38 per share on revenue of $64.3 million.

It’s also worth noting the imaging company has taken strides to decouple from GPRO stock in the long-term, with that percentage down in recent quarters from its 2015 peak of more than half of its sales coming from GoPro. For the prior quarter revenue for the stock hit $57.16M, with EPS at $0.34. It expects revenue for fiscal 2017 to be flat to down 5% compared to fiscal 2016, which is in line with management’s past outlook.

In the a year ago Ambarella Corporation’s stock price has increased by 0% from 0.00 to 66.99.

Ambarella, Inc. (AMBA), is a leading developer of low-power, high-definition (HD) and Ultra HD video compression and image processing solutions.