Domo signs strategic collaboration agreement with AWS for AI solutions
John Young, the Chief Financial Officer of Ambarella Inc . (NASDAQ:AMBA), recently sold 2,103 shares of the semiconductor company, according to a filing with the Securities and Exchange Commission. The shares were sold at an average price of $55.02 each, resulting in a total transaction value of approximately $115,707. According to InvestingPro data, the stock has shown significant volatility, with a beta of 1.78, and is currently trading near $54.64, down about 24% year-to-date.
This transaction was conducted to cover tax obligations stemming from the vesting of restricted stock units. Following this sale, Young retains ownership of 113,886 shares, which includes 234 shares acquired through the company’s employee stock purchase plan just a day before the reported sale. InvestingPro analysis shows the company maintains strong financial health with a current ratio of 2.65 and more cash than debt on its balance sheet.
Ambarella, headquartered in Santa Clara, California, is known for its semiconductor products, which are used in a variety of electronics, including video and security cameras. While currently not profitable, analysts tracked by InvestingPro expect the company to return to profitability this year, with revenue growth forecast at 17% for the upcoming fiscal year.
In other recent news, Ambarella reported its fourth-quarter fiscal year 2025 results, achieving revenue of $84.0 million, which is a 1.6% increase from the previous quarter and exceeded Stifel’s estimates by 7.7%. The company also reported a non-GAAP earnings per share of $0.11, surpassing Stifel’s forecast of a $0.02 loss per share. Ambarella provided guidance for the first quarter of fiscal year 2026 with a revenue midpoint of $84.0 million, aligning with the previous quarter and 13.4% above Stifel’s earlier estimate. Additionally, Ambarella appointed Chantelle Breithaupt as an independent director, enhancing its board’s diversity and governance. Stifel and Rosenblatt Securities both maintained a Buy rating on Ambarella, with price targets of $100, while Needham raised its target to $110, citing strong financial performance and growth potential in the CV5 and CV7 product lines. KeyBanc Capital Markets maintained a Sector Weight rating, noting the company’s strong results but awaiting further developments in its CV3 and GenAI technologies. Ambarella’s management remains cautious about the latter half of fiscal year 2026 due to potential tariff impacts, but analysts remain optimistic about its growth in the AI Edge computing market.
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