Ambarella price target lowered to $85 from $92 at BofA

BofA lowered the firm’s price target on Ambarella (AMBA) to $85 from $92 and keeps a Neutral rating on the shares. The firm is updating its price targets for U.S. Semiconductor stocks under its coverage, the analyst tells investors. BofA views 2026 as a midpoint for an 8 to 10 year journey upgrading traditional IT infrastructure for faster, AI workloads. While stocks may remain choppy amid greater scrutiny of AI returns and hyperscaler cash flows, this should be offset by faster large language model builders and AI factories, the firm adds.