Ambarella Analysts Increase Their Forecasts After Upbeat Q2 Results

Author: Avi Kapoor | August 29, 2025 10:12am

Ambarella Inc (NASDAQ:AMBA) reported better-than-expected second-quarter results and issued strong third-quarter forecast on Thursday.

Ambarella reported quarterly earnings of 15 cents per share which beat the analyst consensus estimate of 5 cents per share. The company reported quarterly sales of $95.511 million which beat the analyst consensus estimate of $90.010 million.

Ambarella said it sees third-quarter sales of $100.000 million to $108.000 million versus market estimates of $91.138 million.

“We are experiencing strong secular growth in the edge AI market, with an expanding breadth of applications driving unit demand, often with our higher priced 5nm AI SoCs. For example, a variety of portable AI video applications have reached production status, and by the end of fiscal 2026 we expect to realize production shipments from our first robotic aerial drone win. Furthermore, our first edge infrastructure win is expected to enter production in fiscal 2027,” said Fermi Wang, President & CEO.

Ambarella shares rose 19.7% to trade at $84.58 on Friday.

These analysts made changes to their price targets on Ambarella following earnings announcement.

• Needham analyst N. Quinn Bolton maintained Ambarella with a Buy and raised the price target from $90 to $100.
• B of A Securities analyst Vivek Arya maintained the stock with a Neutral and raised the price target from $63 to $90.
• Rosenblatt analyst Kevin Cassidy maintained Ambarella with a Buy and raised the price target from $95 to $100.
• Stifel analyst Tore Svanberg maintained the stock with a Buy and boosted the price target from $80 to $90.

Considering buying AMBA stock? Here’s what analysts think:

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Posted In: AMBA