In today’s rapidly evolving tech landscape, two companies stand out for their innovative approaches: Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA). Both firms operate in the automotive technology space, albeit with distinct focuses—Mobileye specializes in advanced driver assistance systems, while Ambarella creates cutting-edge semiconductor solutions for video applications. This comparative analysis aims to unveil which company presents a more compelling investment opportunity. Are you ready to explore the next big player for your portfolio?
Table of contents
Company Overview
Mobileye Global Inc. Overview
Mobileye Global Inc. is at the forefront of the automotive technology sector, specializing in advanced driver assistance systems (ADAS) and autonomous driving solutions. Founded in 1999 and headquartered in Jerusalem, Israel, the company focuses on enhancing vehicular safety through innovative technologies. Mobileye’s offerings include real-time detection systems, cloud-enhanced driver assistance, and fully autonomous driving solutions. Operating as a subsidiary of Intel, Mobileye aims to lead the market by developing cutting-edge technologies that not only improve safety but also facilitate a seamless transition to autonomous vehicles.
Ambarella, Inc. Overview
Ambarella, Inc., incorporated in 2004 and based in Santa Clara, California, develops advanced semiconductor solutions focused on high-definition (HD) video processing and artificial intelligence. The company’s innovative system-on-a-chip designs integrate a range of functionalities, enabling its products to be utilized in automotive cameras, security applications, and consumer electronics. Ambarella’s technology is pivotal in the evolution of video quality and processing efficiency, making it a key player in both the automotive and consumer markets. The company’s commitment to high-performance and low-power solutions positions it as a competitive force within the semiconductor industry.
Key similarities and differences
Both Mobileye and Ambarella operate within the automotive technology sector but target different niches. Mobileye specializes in ADAS and full autonomy solutions, while Ambarella focuses on semiconductor technology for video and image processing. Both companies emphasize innovation and safety, yet their business models diverge significantly, with Mobileye leaning towards software-driven solutions and Ambarella concentrating on hardware advancements.
Income Statement Comparison
The following table presents a comparison of key income statement metrics for Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) for their most recent fiscal years.
| Metric | [Company A: MBLY] | [Company B: AMBA] |
|---|---|---|
| Market Cap | 9.62B | 3.17B |
| Revenue | 1.65B | 284.87M |
| EBITDA | -2.66B | -100.54M |
| EBIT | -3.16B | -126.60M |
| Net Income | -3.09B | -117.13M |
| EPS | -3.82 | -2.84 |
| Fiscal Year | 2024 | 2025 |
Interpretation of Income Statement
In the most recent fiscal year, Mobileye witnessed a significant decline in revenue to 1.65B, down from 2.08B the previous year, leading to a substantial net loss of 3.09B. This decline in revenue reflects challenges in scaling operations while maintaining research and development investments. Conversely, Ambarella’s revenue increased to 284.87M from 226.47M, albeit still posting a net loss of 117.13M. Both companies show negative EBITDA and EBIT, indicating operational difficulties, but Ambarella’s improving revenue trend suggests potential stabilization. The margin pressures and continued losses require careful attention for future investment decisions.
Financial Ratios Comparison
Below is a comparative table of the most recent financial ratios for Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA).
| Metric | MBLY | AMBA |
|---|---|---|
| ROE | -25.56% | -20.86% |
| ROIC | -25.70% | -21.96% |
| P/E | -5.24 | -27.05 |
| P/B | 1.34 | 5.64 |
| Current Ratio | 6.53 | 2.65 |
| Quick Ratio | 5.28 | 2.36 |
| D/E | 0.004 | 0.009 |
| Debt-to-Assets | 0.003 | 0.008 |
| Interest Coverage | 0 | 0 |
| Asset Turnover | 0.13 | 0.41 |
| Fixed Asset Turnover | 3.61 | 19.96 |
| Payout Ratio | 0 | 0 |
| Dividend Yield | 0% | 0% |
Interpretation of Financial Ratios
Both companies exhibit substantial negative returns on equity (ROE) and invested capital (ROIC), indicating challenges in generating profits. MBLY shows a stronger liquidity position with a current ratio of 6.53 compared to AMBA’s 2.65. However, AMBA has a significantly higher asset turnover ratio at 0.41, suggesting better efficiency in utilizing assets to generate revenue. Both firms face risks, particularly in debt management and profitability, which warrant caution for potential investors.
Dividend and Shareholder Returns
Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) do not pay dividends, which is indicative of their focus on growth and reinvestment strategies. Both companies are in high growth phases, prioritizing research and development over shareholder distributions. Despite this, they engage in share buybacks, which can enhance shareholder value by reducing share dilution. However, the absence of dividends may raise concerns about long-term sustainability. Ultimately, their strategies could align with long-term value creation, assuming they successfully capitalize on growth opportunities.
Strategic Positioning
Mobileye Global Inc. (MBLY) holds a significant position in the automotive technology market, specializing in advanced driver assistance systems (ADAS) and autonomous driving solutions, with a notable market share due to its early entry and continuous innovation. In contrast, Ambarella, Inc. (AMBA) focuses on semiconductor solutions for high-definition video processing, facing competitive pressure from emerging technologies and players in the semiconductor industry. Both companies must navigate technological disruptions and evolving consumer demands to maintain their market positions.
Stock Comparison
In this section, I will present a comparative analysis of the stock price movements and trading dynamics of Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) over the past year, highlighting significant price fluctuations and trends.
Trend Analysis
For Mobileye Global Inc. (MBLY), the overall price change over the past year is -61.23%, indicating a bearish trend. The stock has shown notable deceleration in its price movement, with a standard deviation of 6.38 suggesting a moderate level of volatility. The highest price recorded was $32.15, while the lowest was $10.91.
In the recent analysis period (from September 14, 2025, to November 30, 2025), MBLY experienced a price change of -13.15%. This further confirms the bearish trend, with a slight downward slope of -0.27 and a standard deviation of 1.1, reflecting reduced volatility in this timeframe.
On the other hand, Ambarella, Inc. (AMBA) has demonstrated a positive overall price change of 34.7%, categorizing it within a bullish trend. However, it is important to note that the trend has been decelerating, with a standard deviation of 12.68 indicating higher volatility compared to MBLY. AMBA reached a peak price of $89.67 and a low of $40.99 during the year.
In the recent period from September 14, 2025, to November 30, 2025, AMBA’s price change was -7.7%. Despite this recent decline, the stock’s overall bullish trend persists, supported by a trend slope of 0.21. The standard deviation of 4.82 suggests moderate volatility in this timeframe.
In summary, while MBLY continues to face significant challenges with a bearish trend, AMBA remains in a bullish position despite some short-term fluctuations.
Analyst Opinions
Recent analyst recommendations for Mobileye Global Inc. (MBLY) indicate a cautious stance, with a rating of C+ and a consensus to hold. Analysts highlight concerns about its return on equity and assets, despite a solid price-to-book ratio. Conversely, Ambarella, Inc. (AMBA) has a rating of C, also suggesting a hold, with analysts pointing to its moderate discounted cash flow score and debt-to-equity ratio. Overall, the consensus for both companies is to hold, reflecting a cautious approach amid current market conditions.
Stock Grades
In this section, I will present the latest stock ratings for Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) based on reliable data from recognized grading companies.
Mobileye Global Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Goldman Sachs | maintain | Neutral | 2025-11-26 |
| Tigress Financial | maintain | Buy | 2025-10-30 |
| TD Cowen | maintain | Buy | 2025-10-24 |
| Mizuho | maintain | Neutral | 2025-10-24 |
| Barclays | maintain | Equal Weight | 2025-10-10 |
| Goldman Sachs | maintain | Neutral | 2025-09-29 |
| B of A Securities | maintain | Neutral | 2025-09-10 |
| Baird | maintain | Outperform | 2025-09-03 |
| RBC Capital | maintain | Sector Perform | 2025-07-29 |
| Canaccord Genuity | maintain | Buy | 2025-07-25 |
Ambarella, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Stifel | maintain | Buy | 2025-11-26 |
| Rosenblatt | maintain | Buy | 2025-11-26 |
| Needham | maintain | Buy | 2025-11-26 |
| B of A Securities | maintain | Neutral | 2025-11-26 |
| Rosenblatt | maintain | Buy | 2025-11-24 |
| Morgan Stanley | maintain | Overweight | 2025-08-29 |
| B of A Securities | maintain | Neutral | 2025-08-29 |
| Stifel | maintain | Buy | 2025-08-29 |
| Rosenblatt | maintain | Buy | 2025-08-29 |
| Needham | maintain | Buy | 2025-08-29 |
Overall, the trend for both MBLY and AMBA indicates a stable outlook, with multiple firms maintaining their ratings. Notably, AMBA shows a strong endorsement from several grading companies as a “Buy,” suggesting positive sentiment among analysts. Meanwhile, MBLY has a mixed range of grades but maintains several “Buy” recommendations, which indicates cautious optimism.
Target Prices
The consensus target prices from analysts indicate optimistic potential for both Mobileye Global Inc. and Ambarella, Inc.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Mobileye Global Inc. | 25 | 13 | 18.33 |
| Ambarella, Inc. | 115 | 80 | 97.5 |
Analysts expect Mobileye to have a target consensus of 18.33, which suggests a substantial upside from its current price of 11.82. Ambarella’s target consensus of 97.5 also reflects a significant growth potential compared to its current price of 74.18.
Strengths and Weaknesses
The following table outlines the strengths and weaknesses of Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) based on the most recent data.
| Criterion | Mobileye Global Inc. (MBLY) | Ambarella, Inc. (AMBA) |
|---|---|---|
| Diversification | Strong focus on ADAS and autonomous driving | Focused on video processing and AI solutions |
| Profitability | Negative profit margins (-1.87%) | Negative profit margins (-41.12%) |
| Innovation | High investment in autonomous tech | Strong in semiconductor advancements |
| Global presence | Global market reach | Increasing global market penetration |
| Market Share | Growing in the ADAS sector | Competitive in the semiconductor field |
| Debt level | Very low debt to equity ratio (0.004) | Low debt to equity ratio (0.009) |
Key takeaways from this analysis indicate that both companies exhibit significant innovation within their respective fields, yet they face challenges in profitability. Mobileye has a stronger market presence in autonomous driving, while Ambarella excels in video processing technology. Both companies maintain low debt levels, which is a positive factor for investors.
Risk Analysis
In the table below, I summarize the various risks associated with Mobileye Global Inc. and Ambarella, Inc. for your consideration.
| Metric | Mobileye Global Inc. (MBLY) | Ambarella, Inc. (AMBA) |
|---|---|---|
| Market Risk | Moderate | High |
| Regulatory Risk | High | Moderate |
| Operational Risk | Moderate | High |
| Environmental Risk | Low | Moderate |
| Geopolitical Risk | High | Moderate |
Both companies face significant risks in the current market environment. Mobileye, for instance, is heavily impacted by regulatory changes in the autonomous vehicle sector, while Ambarella’s high market risk stems from its reliance on the semiconductor industry, which is volatile and sensitive to geopolitical tensions.
Which one to choose?
When comparing Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA), the fundamentals suggest a cautious approach. MBLY shows a bearish trend with a significant price decline of 61.23% over the past year, while AMBA has experienced a bullish trend with a 34.7% increase. In terms of financials, MBLY has a higher gross profit margin (44.8%) compared to AMBA (60.5%), yet both companies are currently operating at a loss, reflected in their negative net profit margins. Analysts rate MBLY with a C+ and AMBA with a C, indicating slightly better prospects for Mobileye based on discounted cash flow metrics.
For growth-focused investors, AMBA may present more potential upside, while those seeking stability might consider MBLY, despite its recent struggles.
Both companies face risks such as intense competition and market dependence, which could impact future profitability.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of Mobileye Global Inc. and Ambarella, Inc. to enhance your investment decisions:
