Investors Buy Large Volume of Put Options on Ambarella (NASDAQ:AMBA)

Ambarella, Inc. (NASDAQ:AMBA) saw some unusual options trading on Thursday. Investors acquired 2,823 put options on the stock. This represents an increase of 58% compared to the typical volume of 1,790 put options.

Ambarella Trading Down 7.3 %

AMBA stock traded down $5.55 during midday trading on Thursday, hitting $70.26. 2,002,622 shares of the company’s stock were exchanged, compared to its average volume of 708,443. The stock has a market capitalization of $2.93 billion, a price-to-earnings ratio of -18.21 and a beta of 1.66. The firm has a 50 day moving average price of $76.37 and a 200-day moving average price of $64.94. Ambarella has a 12-month low of $39.69 and a 12-month high of $85.15.

Insider Activity

In other Ambarella news, Director Hsiao-Wuen Hon sold 377 shares of Ambarella stock in a transaction on Friday, December 13th. The shares were sold at an average price of $74.15, for a total value of $27,954.55. Following the sale, the director now directly owns 28,278 shares in the company, valued at approximately $2,096,813.70. The trade was a 1.32 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Christopher Day sold 1,278 shares of the firm’s stock in a transaction that occurred on Monday, December 2nd. The shares were sold at an average price of $71.61, for a total value of $91,517.58. Following the completion of the sale, the vice president now directly owns 17,188 shares of the company’s stock, valued at $1,230,832.68. The trade was a 6.92 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 25,861 shares of company stock worth $1,945,436. 5.70% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. lifted its position in shares of Ambarella by 1.8% during the fourth quarter. Vanguard Group Inc. now owns 4,696,124 shares of the semiconductor company’s stock worth $341,596,000 after purchasing an additional 81,557 shares during the last quarter. State Street Corp lifted its holdings in Ambarella by 2.6% during the 3rd quarter. State Street Corp now owns 1,924,235 shares of the semiconductor company’s stock worth $108,536,000 after buying an additional 47,856 shares during the last quarter. The Manufacturers Life Insurance Company grew its position in shares of Ambarella by 7.3% in the 4th quarter. The Manufacturers Life Insurance Company now owns 1,452,128 shares of the semiconductor company’s stock worth $105,628,000 after acquiring an additional 98,841 shares in the last quarter. Millennium Management LLC increased its holdings in shares of Ambarella by 11.5% in the 4th quarter. Millennium Management LLC now owns 1,394,192 shares of the semiconductor company’s stock valued at $101,414,000 after acquiring an additional 144,268 shares during the last quarter. Finally, The Manufacturers Life Insurance Company increased its holdings in shares of Ambarella by 4.8% in the 3rd quarter. The Manufacturers Life Insurance Company now owns 1,353,287 shares of the semiconductor company’s stock valued at $76,332,000 after acquiring an additional 61,387 shares during the last quarter. 82.09% of the stock is owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several equities research analysts have recently weighed in on the stock. StockNews.com cut shares of Ambarella from a “hold” rating to a “sell” rating in a research report on Tuesday, December 10th. Morgan Stanley upped their price objective on shares of Ambarella from $73.00 to $90.00 and gave the company an “overweight” rating in a report on Wednesday, November 27th. Susquehanna boosted their target price on shares of Ambarella from $95.00 to $100.00 and gave the company a “positive” rating in a research report on Wednesday, January 22nd. Rosenblatt Securities restated a “buy” rating and issued a $100.00 target price on shares of Ambarella in a research note on Thursday. Finally, Craig Hallum lifted their price target on Ambarella from $85.00 to $90.00 and gave the company a “buy” rating in a research report on Wednesday, November 27th. One research analyst has rated the stock with a sell rating, four have given a hold rating and eight have given a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $86.67.

Ambarella Company Profile

Ambarella, Inc develops semiconductor solutions that enable high-definition (HD) and ultra HD compression, image signal processing, and artificial intelligence processing worldwide. The company's system-on-a-chip designs integrated HD video processing, image processing, artificial intelligence computer vision algorithms, audio processing, and system functions onto a single chip for delivering video and image quality, differentiated functionality, and low power consumption.