Ambarella
AMBAMarket price data through September 11, 2026.
Performance
Sep 2021 – Sep 2026
Track record
How this pick has done since Benson first called it.
- Benson Return
- -3%
- How much this stock is up since Benson first picked it — measured from the price at the time of that first pick, not from today.
- First pick price
- ~$70
- Roughly what one share cost when Benson first picked this stock. This is the starting line for the Benson Return.
- Tracking since
- June 2026
- The month this stock first became a Benson pick.
- Tracking duration
- 2 months
- How long Benson has been tracking this pick.
About Ambarella
Ambarella designs the low-power computer chips that let cameras, cars, drones, and robots see and understand the world right where they are, instead of shipping everything off to the cloud. Think of it as giving a security camera or a delivery robot its own little brain, so it can react instantly without an internet connection. More than 46 million of these chips are already out in the world, and the company is pushing further into vehicle safety, smart cameras, and robotics.
The case for and against
Both sides of the story, in plain English.
- Automotive All-Time High
Ambarella just posted 100.4 million dollars in quarterly revenue, up almost 17 percent from 85.9 million a year ago, and automotive sales hit an all-time record. Commercial vehicles are adding smart safety features fast, and that is exactly where these chips go. Over the past year revenue grew 37 percent, so this is a real trend and not a one-quarter blip.
- Losses Getting Smaller
The quarterly loss shrank to 18.1 million dollars from 24.3 million a year ago, and stripped of employee stock costs the company actually earned 5 million dollars. Ambarella also sits on 277.8 million dollars in cash with no debt, and it bought back 2.4 million dollars of its own stock this quarter with a fresh 50 million dollar buyback approved. That is a company steering toward profit, not away from it.
- Margin Squeeze
Profit on each chip sold slipped this quarter. Gross margin came in at 58.4 percent, down from 60 percent a year ago, and guidance for next quarter sits between 59 and 60.5 percent, so no big rebound is promised. When you are already losing money, giving up margin makes the path to profit longer.
- Spending Outruns Sales
Ambarella spent 78 million dollars on operating costs in a quarter where it only booked 100.4 million dollars in revenue, with 58.1 million of that going straight into research. Chip design is expensive and the company cannot stop investing without falling behind much larger rivals chasing the same artificial intelligence market. Revenue has to keep climbing fast for that math to ever work out.
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How to read this page
This automated research summary uses Financial Modeling Prep market data through 2026-09-11. Model signals, scores, and risk labels can change and may be incomplete or wrong.
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