Ambarella: Unfulfilled Potential


  • Ambarella is entering another quarterly report with promises, but its history of execution is questionable.
  • Quarterly revenue is expected to grow sequentially with all focus on FQ2 guidance for $60-plus million in quarterly revenue.
  • The stock is already fairly valued at 6x to 8x sales targets, but Ambarella appears poised for another unsustainable rally due to AI and AV hype.
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Ambarella (NASDAQ:AMBA) enters another quarterly report with a ton of promises, but the semiconductor company has no history of continuous execution. The most recent potential was a strong order backlog in automotive, but the company has already shifted to AI inference

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