We won’t mince words: It hasn’t been a good 18 months to invest in the action camera market. Since August 2015, shares of GoPro With such a swift and steady fall, you might think both of these companies would make for compelling buys.
Category: Ambarella
Why Ambarella, Inc. Stock Dropped 12% in December
The bulk all of Ambarella’s declines last month came on Dec. 2, the day after the company announced that fiscal third-quarter 2016 revenue had climbed 7.8% year over year, to $100.5 million — marking the company’s first-ever $100 million-plus quarter, thanks to strength across its IP security, home monitoring, and automotive markets, as well as a ramp-up from action sports cameras ahead of the holiday seasons — and translated to 4.9% growth in adjusted net income to $38.4 million. Adjusted net income per share also rose 2.8%, to $1.11.
Better Buy: Ambarella Inc vs. Advanced Micro Devices, Inc.
Investors looking for a semiconductor play might look to Ambarella’s beat-down stock as a turnaround play, or they might be tempted into hitching a ride with AMD in hopes of more gains. But which is really the better buy? AMD’s stock price gains have come as the company made solid improvements to its revenue, expanded its position in the graphics processing unit market, and looks to opportunities in new markets like virtual reality .