{"id":30924,"date":"2025-08-29T14:42:09","date_gmt":"2025-08-29T14:42:09","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/30924\/"},"modified":"2025-08-29T14:42:09","modified_gmt":"2025-08-29T14:42:09","slug":"ambarella-stock-pops-20-as-ai-demand-boosts-guidance","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/30924\/","title":{"rendered":"Ambarella stock pops 20% as AI demand boosts guidance"},"content":{"rendered":"<p>Thomas Fuller | SOPA Images | Lightrocket | Getty Images<\/p>\n<p><a href=\"https:\/\/www.cnbc.com\/quotes\/AMBA\/\" rel=\"nofollow noopener\" target=\"_blank\">Ambarella<\/a> stock roared 20% higher Friday as the <a href=\"https:\/\/www.cnbc.com\/2025\/06\/24\/ambarella-shares-soar-17percent-on-report-chip-designer-is-exploring-sale.html\" rel=\"nofollow noopener\" target=\"_blank\">chip designer<\/a> reported better-than-expected second-quarter results and issued strong guidance.<\/p>\n<p>Here&#8217;s how the company did compared to LSEG expectations:<\/p>\n<ul>\n<li><strong>Earnings:<\/strong> 15 cents per share adj. vs 5 cents per share expected<\/li>\n<li><strong>Revenue:<\/strong> $96 million vs $90 million expected<\/li>\n<\/ul>\n<p>Ambarella, which is known for its system-on-chip <a href=\"https:\/\/www.cnbc.com\/video\/2025\/08\/28\/nvidias-data-center-opportunity-is-still-enormous-and-its-early-says-bernsteins-stacy-rasgon.html\" rel=\"nofollow noopener\" target=\"_blank\">semiconductors<\/a> and software used for edge <a href=\"https:\/\/www.cnbc.com\/ai-effect\/\" rel=\"nofollow noopener\" target=\"_blank\">artificial intelligence<\/a>, said it expects third-quarter revenue between $100 million and $108 million, beating the LSEG estimate of $91 million.<\/p>\n<p>The company boosted its fiscal year revenue growth outlook to a range of 31-35%, to $379 million at the midpoint, which topped the $350 million expected by LSEG.<\/p>\n<p>&#8220;After a multi-year period of significant edge AI R&amp;D investment, our broad product portfolio enable us to address a rising breadth of edge AI applications,&#8221; CEO Fermi Wang said in a call with analysts Thursday.<\/p>\n<p>Wang singled out strength in &#8220;portable\u00a0video,\u00a0robotic\u00a0aerial\u00a0drones\u00a0and\u00a0edge\u00a0infrastructure.&#8221;<\/p>\n<p>Edge computing refers to the direct processing and storing of data at the device level instead of those actions being handled remotely in the cloud at a data center.<\/p>\n<p>Ambarella had a net loss of $20 million, a loss of 47 cents per share in the second quarter. That narrowed from the same quarter a year ago, when the company had a net loss of $35 million, a loss of 85 cents per share.<\/p>\n<p>The company said stock-based compensation and the amortization of acquisition-related costs weighed on earnings.<\/p>\n<p>In June, Bloomberg reported that the company was <a href=\"https:\/\/www.cnbc.com\/2025\/06\/24\/ambarella-shares-soar-17percent-on-report-chip-designer-is-exploring-sale.html\" rel=\"nofollow noopener\" target=\"_blank\">considering a sale<\/a> and had held talks with banks. Shares climbed 20% higher on the news.<\/p>\n<p>Stock Chart IconStock chart icon<img decoding=\"async\" src=\"https:\/\/static-redesign.cnbcfm.com\/dist\/a54b41835a8b60db28c2.svg\" class=\"Collapsible-dismissButton\" alt=\"hide content\"\/><\/p>\n<p>Ambarella year-to-date stock chart.<\/p>\n","protected":false},"excerpt":{"rendered":"Thomas Fuller | SOPA Images | Lightrocket | Getty Images Ambarella stock roared 20% higher Friday as the&hellip;\n","protected":false},"author":2,"featured_media":30925,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[261],"tags":[291,24486,289,290,860,207,18,9360,19,17,82],"class_list":{"0":"post-30924","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-artificial-intelligence","8":"tag-ai","9":"tag-ambarella-inc","10":"tag-artificial-intelligence","11":"tag-artificialintelligence","12":"tag-breaking-news-technology","13":"tag-business-news","14":"tag-eire","15":"tag-enterprise","16":"tag-ie","17":"tag-ireland","18":"tag-technology"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/30924","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=30924"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/30924\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/30925"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=30924"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=30924"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=30924"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}