AMBA Valuation

Ambarella Inc

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71.940

+5.92(8.967%)1D

Overview
Forecast
Valuation
Earnings

AMBA Relative Valuation

AMBA's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, AMBA is overvalued; if below, it's undervalued.

Historical Valuation

Ambarella Inc (AMBA) is now in the Fair zone, suggesting that its current forward PS ratio of 8.01 is considered Fairly compared with the five-year average of -1124.79. The fair price of Ambarella Inc (AMBA) is between 58.28 to 102.97 according to relative valuation methord.

Relative Value

Fair Zone

58.28-102.97

Current Price：71.94

Fair

-35869.45

Trailing

Forward

99.35

EV/EBITDA

Ambarella Inc. (AMBA) has a current EV/EBITDA of 99.35. The 5-year average EV/EBITDA is 5.06. The thresholds are as follows: Strongly Undervalued below -297.87, Undervalued between -297.87 and -146.41, Fairly Valued between 156.53 and -146.41, Overvalued between 156.53 and 307.99, and Strongly Overvalued above 307.99. The current Forward EV/EBITDA of 99.35 falls within the Historic Trend Line -Fairly Valued range.

-556.25

EV/EBIT

Ambarella Inc. (AMBA) has a current EV/EBIT of -556.25. The 5-year average EV/EBIT is -56.67. The thresholds are as follows: Strongly Undervalued below -819.03, Undervalued between -819.03 and -437.85, Fairly Valued between 324.52 and -437.85, Overvalued between 324.52 and 705.70, and Strongly Overvalued above 705.70. The current Forward EV/EBIT of -556.25 falls within the Undervalued range.

8.01

Ambarella Inc. (AMBA) has a current PS of 8.01. The 5-year average PS is 10.19. The thresholds are as follows: Strongly Undervalued below 3.98, Undervalued between 3.98 and 7.09, Fairly Valued between 13.30 and 7.09, Overvalued between 13.30 and 16.41, and Strongly Overvalued above 16.41. The current Forward PS of 8.01 falls within the Historic Trend Line -Fairly Valued range.

90.67

P/OCF

Ambarella Inc. (AMBA) has a current P/OCF of 90.67. The 5-year average P/OCF is -4.91. The thresholds are as follows: Strongly Undervalued below -471.49, Undervalued between -471.49 and -238.20, Fairly Valued between 228.38 and -238.20, Overvalued between 228.38 and 461.67, and Strongly Overvalued above 461.67. The current Forward P/OCF of 90.67 falls within the Historic Trend Line -Fairly Valued range.

266.26

P/FCF

Ambarella Inc. (AMBA) has a current P/FCF of 266.26. The 5-year average P/FCF is -23.33. The thresholds are as follows: Strongly Undervalued below -386.27, Undervalued between -386.27 and -204.80, Fairly Valued between 158.14 and -204.80, Overvalued between 158.14 and 339.60, and Strongly Overvalued above 339.60. The current Forward P/FCF of 266.26 falls within the Overvalued range.

Ambarella Inc (AMBA) has a current Price-to-Book (P/B) ratio of 5.31. Compared to its 3-year average P/B ratio of 4.43 , the current P/B ratio is approximately 19.92% higher. Relative to its 5-year average P/B ratio of 5.73, the current P/B ratio is about -7.24% higher. Ambarella Inc (AMBA) has a Forward Free Cash Flow (FCF) yield of approximately 1.78%. Compared to its 3-year average FCF yield of 0.57%, the current FCF yield is approximately 214.16% lower. Relative to its 5-year average FCF yield of 0.70% , the current FCF yield is about 152.78% lower.

5.31

P/B

Median3y

4.43

Median5y

5.73

1.78

FCF Yield

Median3y

0.57

Median5y

0.70

Competitors Valuation Multiple

The average P/S ratio for AMBA's competitors is 3.55, providing a benchmark for relative valuation. Ambarella Inc Corp (AMBA) exhibits a P/S ratio of 8.01, which is 125.21% above the industry average. Given its robust revenue growth of 57.64%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Power Integrations Inc

Silicon Motion Technology Corp

Performance Decomposition

Market capitalization of AMBA increased by 20.50% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 54.47M to 85.87M.

The secondary factor is the P/E Change, contributed 22.17%to the performance.

Overall, the performance of AMBA in the past 1 year is driven by Revenue Growth. Which is more sustainable.

57.64%

54.47M → 85.87M

Revenue Growth

-59.31%

-69.63 → -28.33

Margin Expansion

22.17%

-23.55 → -28.78

P/E Change

20.50%