AMBA
Ambarella, Inc.

Ambarella, Inc.AMBA

Technology · Semiconductor Equipment & Materials
67.06USD
-2.60%
Sep 23, 2026
AMBA overview ready
Ambarella is a fabless supplier of integrated edge-AI vision SoCs and software platforms used to process video, images, radar, and neural-network inference locally in security, automotive, industrial, drone, and robotics systems.
Narrative is still early
Exposed to the Physical AI and Edge Autonomy narrative through Power-Efficient Edge Vision and Perception Compute — component supplier.
Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
Demanding valuation
The price embeds expectations that run ahead of the cash the business currently produces.
Fundamentals under pressure
Free cash flow yield is weak.
Primary risk
Operating losses indicating potential profitability challenges.
Market Sep 22Filing Jul 31Price action Sep 22Research Sep 12

Conviction Level

NarrativeHeat7.4ThemeHeat6.4PriceAction5.4Valuation2.7CompanyPosition9.3
Price
Loading price history…

Price Action

Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of failed reclaim.
The tactical setup reads failed reclaim, but the weekly structure is broken.
EntryConstructive

Structure is constructive on both timeframes without excessive extension — a reasonable entry location.

Key Financials

Market Cap
$3.0B
Avg Volume (60D)
1.8M
60 sessions
Revenue Growth YoY
+37.2%
FY2026 vs FY2025
Gross Margin
+58.5%
Trailing twelve months
Operating Margin
-14.9%
Trailing twelve months
Free Cash Flow Yield
+0.3%
Distance from 200DMA
-1.9%
Next Earnings
2026-12-01
P/E
N/M
Market metrics as of Sep 22, 2026
Financial results for the period ended Jul 31, 2026
Filed balance-sheet data as of Jul 31, 2026

Fundamentals & Valuation

Both valuation perspectives agree this company is expensive.
Ambarella, Inc. has an Expensive valuation stance because the price embeds expectations that run ahead of the cash the business currently produces. The business behind it shows an operating margin of -15%.

Company Research

Thesis
Ambarella is a fabless supplier of integrated edge-AI vision SoCs and software platforms used to process video, images, radar, and neural-network inference locally in security, automotive, industrial, drone, and robotics systems.
Opportunity
Moderate opportunity
Deployment of real-time, on-device AI inference and sensor processing for machines and intelligent endpoints where latency, bandwidth, privacy, power consumption, and functional reliability make cloud-only processing impractical.
Key risk
Operating losses indicating potential profitability challenges.

Narrative & Theme

Physical AI and Edge Autonomy
Part of Power-Efficient Edge Vision and Perception Compute, with strong fit.
AMBA has direct product revenue exposure to the emerging buildout of physical AI systems that need efficient perception compute close to cameras and other sensors.
Narrative HeatHeating up7.4 / 10
Theme HeatNeutral6.4 / 10
This is the company’s own research reading. The canonical heat measurement for this story has not run.

Business & Markets

Technology · Semiconductor Equipment & Materials
What they do

Ambarella, Inc. designs and develops low-power system-on-a-chip semiconductors and software that integrate advanced video, image, audio processing, and AI functions for edge and physical artificial intelligence applications.

How it earns

The company generates revenue primarily through the sale of semiconductor chips and licensing of software modules.

Products & services
CVflow system-on-a-chip
AI neural processors
Vision processor SoCs
Central domain controllers
High-definition radars
Serializer/deserializers
Software module licenses
Customers & end markets
Robotics and automation manufacturers
Machine vision system integrators
Market position

A mid-cap pure-play niche provider specializing in machine vision and edge AI semiconductors.

Demand drivers
Medium cyclicality

Semiconductor demand is influenced by technology adoption cycles and end-market capital spending.