Ambiq Micro, Inc. (AMBQ) AI Stock Analysis

• Market Cap: $502.20M
• Dividend Yield: N/A
• Average Volume (3M): 212.10K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.47
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 190
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): -0.22
• Shares Outstanding: 18,235,262
• 10 Day Avg. Volume: 117,866
• 30 Day Avg. Volume: 212,105
• PEG Ratio: 0.35
• Price to Book (P/B): 6.09
• Price to Sales (P/S): 6.86
• P/FCF Ratio: -20.74
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $40.00
• Price Target Upside: 46.68% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 46 Neutral
• Price Target: $30.00 ▲(10.01% Upside)

Ambiq Micro, Inc. faces significant challenges with profitability and cash flow, impacting its financial performance score. Technical indicators suggest bearish momentum, further weighing on the stock. Valuation is neutral due to lack of earnings and dividends. The earnings call provided a mixed outlook with strategic shifts but highlighted ongoing financial challenges.

Positive Factors

Product Innovation

The introduction of the Apollo510 Lite SoC series positions Ambiq Micro to capitalize on the growing demand for edge AI, enhancing its competitive edge in IoT and wearable markets.

Strategic Market Shift

Moving focus from China to higher-value markets can diversify revenue streams and reduce geopolitical risks, potentially stabilizing long-term growth.

New Customer Acquisition

Securing high-profile customers like Whoop demonstrates Ambiq's capability in the wearables market, potentially driving future revenue and market share growth.

Negative Factors

Profitability Challenges

Persistent negative margins indicate operational inefficiencies, which could hinder long-term profitability and limit reinvestment capabilities.

Cash Flow Issues

Negative operating cash flow suggests ongoing cash management challenges, potentially affecting the company's ability to fund operations and growth initiatives.

Revenue Decline

The year-over-year revenue decline reflects the challenges in transitioning markets, which may impact short-term financial stability and investor confidence.

Ambiq Micro, Inc. Business Overview & Revenue Model

Company Description

Ambiq Micro, Inc. (AMBQ) is a semiconductor company specializing in ultra-low-power microcontrollers and wireless connectivity solutions. The company focuses on providing innovative energy-efficient products for various sectors including consumer electronics, wearable technology, Internet of Things (IoT) devices, and industrial applications. Ambiq's core offerings include its family of ARM Cortex-M based microcontrollers and its Sub-GHz wireless communication technologies, designed to enhance battery life and overall performance in small form factor devices.

How the Company Makes Money

Ambiq Micro generates revenue primarily through the sales of its semiconductor products, including microcontrollers and wireless chips, to manufacturers in various industries. The company benefits from a diverse revenue model that includes direct sales to original equipment manufacturers (OEMs) and partnerships with distributors. Key revenue streams come from licensing agreements, royalties from intellectual property, and customized solutions for specific applications that cater to clients' unique needs. Significant partnerships with major technology firms and integration into popular consumer devices further enhance Ambiq's market reach and contribute to its earnings.

Ambiq Micro, Inc. Financial Statement Overview

Summary

Ambiq Micro, Inc. shows revenue growth but struggles with profitability and cash flow. Despite a strong equity position, negative margins and cash flow issues indicate operational inefficiencies.

Income Statement

Ambiq Micro, Inc. has shown some improvement in revenue growth with a 16% increase in the latest year. However, the company continues to face challenges with profitability, as evidenced by negative net profit margins and EBIT margins. The gross profit margin has slightly improved but remains below industry averages. The consistent negative EBIT and EBITDA margins indicate ongoing operational inefficiencies.

Balance Sheet

The company maintains a strong equity position with a low debt-to-equity ratio, indicating minimal leverage risk. However, the return on equity remains negative, reflecting ongoing losses. The equity ratio is healthy, suggesting a solid asset base relative to equity. Despite these strengths, the negative ROE highlights profitability challenges.

Cash Flow

Ambiq Micro, Inc. has shown some improvement in free cash flow growth, but operating cash flow remains negative, indicating cash flow challenges. The free cash flow to net income ratio is positive, suggesting that cash flow generation relative to net income is somewhat stable. However, the negative operating cash flow to net income ratio highlights ongoing cash flow management issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2021	Dec 2020
Income Statement
Total Revenue	51.77M	76.07M	65.54M	91.01M	50.97M
Gross Profit	23.24M	24.29M	19.44M	30.77M	21.57M
EBITDA	-22.01M	-34.37M	-43.61M	-21.85M	-18.29M
Net Income	-25.78M	-39.66M	-50.33M	-25.34M	-25.22M
Balance Sheet
Total Assets	186.73M	104.28M	72.43M	105.13M	99.68M
Cash, Cash Equivalents and Short-Term Investments	146.49M	60.98M	27.32M	25.92M	65.05M
Total Debt	771.00K	966.00K	1.02M	0.00	0.00
Total Liabilities	16.94M	18.53M	13.30M	16.12M	7.38M
Stockholders Equity	169.79M	85.75M	59.13M	89.01M	92.30M
Cash Flow
Free Cash Flow	-19.43M	-25.16M	-29.98M	-57.50M	-39.23M
Operating Cash Flow	-15.58M	-21.43M	-26.96M	-52.88M	-34.64M
Investing Cash Flow	-4.85M	-3.73M	-3.02M	-4.62M	-4.59M
Financing Cash Flow	105.90M	58.84M	31.77M	18.20M	94.06M

Ambiq Micro, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SWKS	71 Outperform	$10.92B	23.85	7.89%	3.62%	-2.18%	-16.84%
NXPI	65 Neutral	$52.96B	25.84	21.19%	1.98%	-6.81%	-23.16%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
MTSI	60 Neutral	$12.43B	―	-5.12%	―	31.33%	-173.04%
SLAB	55 Neutral	$4.25B	―	-8.00%	―	47.10%	64.29%
MCHP	52 Neutral	$32.81B	―	-2.24%	3.07%	-35.70%	-113.08%
AMBQ	46 Neutral	$502.20M	―	―	―	―	―

Ambiq Micro, Inc. Corporate Events

Ambiq Micro Reports Strong Q3 2025 Results

Ambiq Micro, Inc., headquartered in Austin, Texas, is a leading technology company specializing in ultra-low-power semiconductor solutions for edge AI applications. The company is renowned for its innovative SPOT technology, which significantly reduces power consumption in semiconductor designs.

Ambiq Micro Approves Executive Cash Bonuses and Stock Awards

On September 29, 2025, Ambiq Micro, Inc. announced the approval of one-time cash bonuses for its key executives, including the CEO, CTO, CFO, and President/COO, to recognize their contributions during the company’s initial public offering and to ensure their retention. Additionally, the company accelerated stock options for the CFO and awarded time-based restricted stock units to its executives under the 2025 Equity Incentive Plan, with vesting conditions aimed at retaining these key leaders.

The most recent analyst rating on (AMBQ) stock is a Buy with a $45.00 price target. To see the full list of analyst forecasts on Ambiq Micro, Inc. stock, see the AMBQ Stock Forecast page.

Ambiq Micro’s Earnings Call: Strategic Shifts and Future Prospects

Ambiq Micro, Inc. recently held its earnings call, revealing a mixed sentiment among stakeholders. The company celebrated a successful IPO and an increase in gross profit, yet faced challenges with a year-over-year revenue decline and an increased net loss. Despite these hurdles, Ambiq is optimistic about its long-term prospects, focusing on new market expansions and product introductions.

Ambiq Micro Reports Strong Q2 2025 Revenue Growth

Ambiq Micro, Inc., headquartered in Austin, Texas, is a leading technology company specializing in ultra-low-power semiconductor solutions for edge AI applications. The company is known for its innovative SPOT® technology, which significantly reduces power consumption in semiconductor designs.