In the rapidly evolving landscape of technology, Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) stand out as key players in their respective fields. Mobileye focuses on advanced driver assistance systems and autonomous driving technologies, while Ambarella specializes in semiconductor solutions for high-definition video processing, including automotive applications. Both companies share a commitment to innovation and exhibit overlapping markets in the automotive sector, making them ripe for comparison. Join me as we explore which of these two companies presents a more compelling opportunity for investors.
Table of contents
Company Overview
Mobileye Global Inc. Overview
Mobileye Global Inc. (Ticker: MBLY) is a leader in the development of advanced driver assistance systems (ADAS) and autonomous driving technologies. Founded in 1999 and headquartered in Jerusalem, Israel, Mobileye focuses on enhancing automotive safety through innovative solutions that include real-time detection of road users and emergency interventions. The company has carved out a significant position in the automotive industry, partnering with major automakers to integrate its advanced technologies into vehicles. With a market cap of approximately $9.24B, Mobileye is well-regarded for its commitment to creating safer driving experiences and is a subsidiary of Intel Corporation.
Ambarella, Inc. Overview
Ambarella, Inc. (Ticker: AMBA), established in 2004 and based in Santa Clara, California, specializes in semiconductor solutions for video processing. The company is known for its advanced system-on-a-chip designs, which integrate high-definition video processing, artificial intelligence, and low power consumption into a single chip. Ambarella serves various sectors, including automotive, robotics, and consumer electronics, with applications ranging from automotive cameras to drones. Currently valued at around $3.24B, Ambarella’s innovative approach positions it as a key player in the semiconductor industry, particularly as demand for high-quality video solutions continues to grow.
Similarities and Differences
Both Mobileye and Ambarella operate within the automotive technology sphere, focusing on safety and advanced functionalities. However, Mobileye centers on driver assistance and autonomous driving, while Ambarella emphasizes semiconductor solutions for video processing. Their differing core competencies highlight the diversity within the automotive technology market.
Income Statement Comparison
Below is a comparison of the most recent income statements for Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA), highlighting key financial metrics.
| Metric | Mobileye Global Inc. (MBLY) | Ambarella, Inc. (AMBA) |
|---|---|---|
| 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 |
Interpretation of Income Statement
In the most recent fiscal period, Mobileye experienced a significant decline in revenue from 2.08B in 2023 to 1.65B in 2024, reflecting ongoing challenges in their market. Their net income also worsened considerably, falling deeper into the negative territory at -3.09B. Meanwhile, Ambarella’s revenue showed a modest increase from 226.47M in 2024 to 284.87M in 2025, but they too posted a net loss of -117.13M, indicating persistent operational difficulties. Both companies are grappling with negative margins, with Mobileye’s EBITDA margin remaining particularly concerning.
Financial Ratios Comparison
The table below summarizes the most recent revenue and financial ratios for Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA).
| Metric | Mobileye Global Inc. (MBLY) | Ambarella, Inc. (AMBA) |
|---|---|---|
| ROE | -25.56% | -20.86% |
| ROIC | -25.70% | -21.96% |
| P/E | N/A | -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 | 0.00397 | 0.00764 |
| 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 negative returns on equity (ROE) and invested capital (ROIC), indicating challenges in profitability. Mobileye shows a significantly higher current and quick ratio, suggesting better liquidity than Ambarella. However, the high P/B ratio for Ambarella signals potential overvaluation in comparison to its book value. The absence of dividend yields in both companies reflects their focus on reinvestment rather than shareholder returns. Overall, while Mobileye has superior liquidity ratios, both firms face profitability challenges, warranting cautious investment consideration.
Dividend and Shareholder Returns
Both Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) do not currently pay dividends, primarily due to their focus on reinvestment strategies and ongoing high-growth phases. Both companies are allocating resources towards research and development, which aligns with their long-term value creation goals. However, they do engage in share buybacks, which can enhance shareholder value by reducing the number of outstanding shares. Overall, these approaches suggest that both companies are striving to support sustainable long-term value creation for their shareholders.
Strategic Positioning
Mobileye Global Inc. (MBLY) holds a significant share in the advanced driver assistance systems (ADAS) market, leveraging its strong technological foundation to combat competitive pressures from emerging players. The company is well-positioned against Ambarella, Inc. (AMBA), which focuses on semiconductor solutions for video, including automotive applications. While Mobileye’s expertise lies in AI-driven safety solutions, Ambarella’s strengths in image processing and power efficiency showcase the technological disruptions shaping their respective markets. Both companies face evolving demands for innovation and safety in the automotive sector.
Stock Comparison
In analyzing the stock price movements of Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) over the past year, we observe distinct trading dynamics and notable price fluctuations that reflect the underlying market sentiment and company performance.
Trend Analysis
Mobileye Global Inc. (MBLY) has experienced a significant price decrease of -62.65% over the past year, indicating a bearish trend. The stock has shown signs of deceleration in its price movements, with notable highs at 32.15 and lows at 10.91. The standard deviation of 6.39 suggests a moderate level of volatility. Recently, the stock has declined by -16.34% from September 14, 2025, to November 30, 2025, with a standard deviation of 1.15, further reinforcing the bearish outlook.
Ambarella, Inc. (AMBA), on the other hand, has seen a robust increase of 39.55% over the past year, reflecting a clear bullish trend. The stock is in a phase of acceleration, with the highest price reaching 89.67 and the lowest at 40.99. The standard deviation of 12.7 points to higher volatility. In the recent period from September 14, 2025, to November 30, 2025, AMBA’s stock has slightly decreased by -4.38%, yet the overall trend remains positive.
In summary, while MBLY is currently facing significant downward pressure, AMBA continues to show strength in its price performance, albeit with some recent softening. This analysis highlights the importance of considering both overall trends and recent movements when making investment decisions.
Analyst Opinions
Recent analyst recommendations for Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA) show a cautious stance, with both receiving a “C+” rating. Analysts note MBLY’s strong discounted cash flow score (5) but highlight weaknesses in return metrics, suggesting a hold position. Similarly, AMBA’s scores indicate challenges, particularly in profitability, yet a solid debt-to-equity score (4) offers some reassurance. The consensus for both companies is a cautious hold, as analysts assess the current market conditions and potential growth avenues.
Stock Grades
In the current market landscape, I have gathered reliable stock grades for two companies: Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA). These assessments provide valuable insights for potential investors.
Mobileye Global Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| 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 |
| Mizuho | maintain | Neutral | 2025-07-25 |
| Baird | maintain | Outperform | 2025-07-25 |
Ambarella, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Rosenblatt | maintain | Buy | 2025-11-26 |
| Stifel | maintain | Buy | 2025-11-26 |
| Needham | maintain | Buy | 2025-11-26 |
| Rosenblatt | maintain | Buy | 2025-11-24 |
| Oppenheimer | maintain | Perform | 2025-08-29 |
| Needham | maintain | Buy | 2025-08-29 |
| Stifel | maintain | Buy | 2025-08-29 |
| Morgan Stanley | maintain | Overweight | 2025-08-29 |
| Northland Capital Markets | maintain | Outperform | 2025-08-29 |
| B of A Securities | maintain | Neutral | 2025-08-29 |
The overall trend shows that both companies maintain strong buy ratings from multiple reputable firms, highlighting positive sentiment in the market. Notably, Mobileye has a diverse range of grades, with a balance of “Buy,” “Neutral,” and “Outperform” ratings, while Ambarella enjoys consistent “Buy” ratings, indicating investor confidence.
Target Prices
The consensus target prices for Mobileye Global Inc. and Ambarella, Inc. indicate varying expectations from analysts.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Mobileye Global Inc. | 25 | 13 | 18.33 |
| Ambarella, Inc. | 115 | 80 | 97.5 |
For Mobileye, the consensus target price of 18.33 is significantly above the current price of 11.355, suggesting a potential upside. In contrast, Ambarella’s consensus target of 97.5 is well above its current price of 75.905, reflecting strong analyst confidence in future growth.
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. | Ambarella, Inc. |
|---|---|---|
| Diversification | Moderate | High |
| Profitability | Low (negative margins) | Low (negative margins) |
| Innovation | High | High |
| Global presence | Strong | Moderate |
| Market Share | Growing | Established |
| Debt level | Very low | Very low |
Key takeaways from the analysis indicate that both companies have strong innovation capabilities but struggle with profitability. Mobileye shows a strong global presence, while Ambarella benefits from high diversification. Both companies maintain a low debt level, which is favorable for financial stability.
Risk Analysis
The following table outlines key risks associated with Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA):
| Metric | Mobileye Global Inc. | Ambarella, Inc. |
|---|---|---|
| Market Risk | Moderate | High |
| Regulatory Risk | High | Moderate |
| Operational Risk | Moderate | High |
| Environmental Risk | Low | Moderate |
| Geopolitical Risk | High | Low |
Both companies face significant market and operational risks, primarily due to volatility in the tech sector and regulatory scrutiny. Notably, Mobileye’s operations in autonomous driving expose it to regulatory changes and geopolitical tensions, while Ambarella’s semiconductor focus is vulnerable to market fluctuations.
Which one to choose?
In comparing Mobileye Global Inc. (MBLY) and Ambarella, Inc. (AMBA), both companies currently hold a C+ rating, indicating a neutral outlook. Mobileye shows a market cap of $16.2B with a revenue of $1.65B, but has struggled with profitability, reporting a net loss of $3.09B in 2024. Conversely, Ambarella, with a smaller market cap of $3.17B, posted a revenue of $284M and a net loss of $117M, reflecting a more modest scale of operations.
While Mobileye’s stock trend appears bearish with a -62.65% price change over the past year, Ambarella has exhibited bullish trends with a 39.55% increase. Investors focused on growth may prefer Ambarella due to its recent acceleration in price and relatively lower financial risk. However, both firms face significant risks, including competition and market dependence.
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:
