NASDAQ · AMBA

Ambarella, Inc.

Technology · Semiconductors

$67.87▼ 1.35% ($0.93)at close

Pre-market$68.50▲ 0.93%8:27 AM ET

52-week

$48.30$96.69

Market cap

What the market price implies · Reverse DCF

Historical revenue grew by 4.17%/yr over the past 4 years.

Selected forecast · Base scenario

9.18%/yr · actual 10-year annualized revenue growth

Year 1 growth: 14.39%

Market-implied · Base operating assumptions + edited margins

Unavailable · flat 10-year annualized revenue growth

Reverse DCF solves revenue growth itself using Base operating assumptions and your edited margins. Changing forecast growth alone does not change the implied rate. This is a model-implied requirement, not an analyst forecast.

No supported revenue growth rate matches this price with these operating assumptions.

Valuation

Recommended · Revenue & margin DCF

Price used

$67.87

Estimated value / share

Unavailable

Base scenario

USD · TTM ending 2026-07-31

7 of 10 projected years produce negative free cash flow, so the model returns a negative enterprise value. A discounted-cash-flow valuation cannot be defended on those inputs, so it is not shown.

Latest quarterly growth differs materially from the latest annual pace. It remains an observed growth input; review whether acceleration or a change in the business explains it.

Year 1 growth 14.39% · Ending margin 0% · Discount rate 16.43%

Assumption scenarios, not statistical confidence intervals.

Method, dates & sources

Estimated from future revenue, operating margins, and the investment needed to support them.

Price timestamp: Sep 10, 2026, 8:00 PM UTC
Financial statement period: TTM ending 2026-07-31
Data refreshed: Sep 11, 2026, 12:27 PM UTC · provider

Why this method?

There is not a stable run of positive FCFF to anchor a direct cash-flow CAGR, so the model should start from revenue and margin assumptions instead.

Is FCFF positive and has it been for 3+ consecutive years? Latest FCFF is not positive.

Price vs Fundamentals

Why The Stock Is Moving

Likely multiple compressionModerate confidence

1Y Price: -18.69%Revenue (TTM): 20.04%FCF (TTM): -80.12%P/S: 35th pct

What changed

The stock fell 18.69% over the last year. Revenue grew 20.04% over the trailing twelve months. Operating margin moved from -28.01% to -14.32%. Free cash flow declined 80.12% over the trailing twelve months.

What the market seems to be pricing

Visible fundamentals weakened far less than the stock price. The market appears to be discounting durability, risk, or trust rather than just the latest reported numbers.

What would invalidate this read

This read changes if operating margin (currently -14.32%) continues to decline, or if revenue growth turns negative. The bull case requires the business to hold its current trajectory.

Performance

Return analysis

Company profile

Ambarella, Inc. is a global semiconductor company specializing in advanced video processing technology.

CEOFeng-Ming Wang

SectorTechnology

IndustrySemiconductors

Employees959

IPO dateOct 10, 2012

https://www.ambarella.com

Market multiples

Forward P/E—

EV/EBITDA-53.16

Enterprise value$2.56B

Stock splits

No stock splits recorded for this ticker.

Profitability & growth

Revenue growth13.21%

Gross margin58.29%▼0.9ppvs FY2025

Operating margin-14.32%▲23.3ppvs FY2025

ROE-9.41%▲3.7ppvs FY2026

Analyst consensus

RatingBuy

Target price$85.50▲25.98%

Buy

Hold

Sell

Analyst ratings tend to be lagging indicators. Use as one signal among many.

Earnings

Full quarter-by-quarter history of actuals vs estimates. Switch into compare mode to inspect one metric year-over-year.

Next report

Dec 1, 2026

Q4 FY26 · EPS est $0.32 · Revenue est $119.75M

View