KLP Kapitalforvaltning AS has boosted its stake in Ambarella, Inc. (NASDAQ: AMBA) by 10% during the second quarter of 2023, according to Holdings Channel. The firm now possesses 8,800 shares of the semiconductor company, having acquired an additional 800 shares during the period. As of the end of the most recent quarter, KLP Kapitalforvaltning’s holdings were valued at approximately $581,000.
Several other hedge funds and institutional investors have also adjusted their positions in Ambarella recently. For instance, Vanguard Group Inc. increased its holdings by 3.2% in the first quarter, bringing its total to 4,848,305 shares valued at $244,015,000 after purchasing an extra 152,181 shares. UBS Asset Management’s distinct business unit saw a remarkable 88.9% increase in its stake, owning 1,232,272 shares worth $62,020,000 following the acquisition of 579,917 shares.
Other notable increases include Fuller & Thaler Asset Management Inc., which grew its position by 25.6%, and Kodai Capital Management LP, which expanded its holdings by 16.2%. Jacobs Levy Equity Management Inc. experienced a dramatic 1,635.4% increase, ending up with 647,788 shares valued at $32,603,000. Collectively, institutional investors and hedge funds hold 82.09% of Ambarella’s stock.
Analysts Offer Upgrades and Target Price Adjustments
Ambarella has garnered attention from analysts, leading to several upgrades and adjustments in target pricing. Summit Insights raised its rating from “hold” to “buy” on August 29, 2023. Similarly, Rosenblatt Securities increased its target price from $95.00 to $100.00 while maintaining a “buy” rating. Morgan Stanley also adjusted its target, lifting it from $80.00 to $96.00 and assigning an “overweight” rating.
Oppenheimer reiterated a “market perform” rating, while Stifel Nicolaus increased its price objective from $80.00 to $90.00 with a “buy” rating. Currently, one analyst rates the stock as a Strong Buy, eight as Buy, three as Hold, and one as Sell. Based on data from MarketBeat.com, Ambarella maintains a consensus rating of “Moderate Buy” with an average price target of $93.88.
Ambarella Experiences Stock Fluctuations
As of the latest trading session, Ambarella shares opened at $82.68, reflecting a decrease of 1.7%. Over the past year, the stock has experienced significant volatility, with a twelve-month low of $38.86 and a high of $93.44. The company’s 50-day moving average stands at $78.78, while the 200-day moving average is $64.53. Ambarella’s market capitalization is currently $3.53 billion, with a P/E ratio of -39.18 and a beta of 2.10.
On August 28, 2023, Ambarella reported its quarterly earnings, revealing earnings per share of $0.15, surpassing analysts’ expectations of $0.05 by $0.10. The company reported revenue of $95.51 million, exceeding projections of $90.01 million, and showing a year-over-year revenue increase of 49.9%. Ambarella has set its guidance for Q3 2026, with analysts predicting an EPS of -2.81 for the current year.
In the realm of insider trading, Director Elizabeth M. Schwarting sold 2,664 shares on October 6, 2023, at an average price of $85.38, totalling approximately $227,452.32. Following this transaction, Schwarting holds 7,314 shares valued at roughly $624,469.32. Additionally, COO Chan W. Lee sold 1,947 shares on September 17, 2023, for approximately $154,650.21, reducing his ownership to 126,972 shares valued at around $10,085,385.96. Over the last 90 days, insiders have sold a total of 35,227 shares valued at $2,875,131, while company insiders retain 5.30% of the shares.
Ambarella, Inc. specializes in semiconductor solutions that facilitate high-definition and ultra-high-definition video compression, image signal processing, and artificial intelligence processing globally. The company’s system-on-a-chip designs integrate HD video processing, image processing, and AI algorithms onto a single chip, aiming to deliver superior video and image quality with low power consumption.
