11 Best Tech Stocks to Buy On the Dip

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5. Ambarella, Inc. (NASDAQ:AMBA)

Year-to-Date Performance: -31.54%

Analyst Upside Potential: 57.70%

Number of Hedge Fund Holders: 35

Ambarella, Inc. (NASDAQ:AMBA) is one of the 11 Best Tech Stocks to Buy On the Dip. On June 2, Craig-Hallum analyst Richard Shannon maintained a Buy rating on Ambarella, Inc. (NASDAQ:AMBA) with a price target of $95. The reaffirmed rating comes after the company released encouraging results for the fiscal first quarter of 2026, despite a tough market environment.

Ambarella, Inc. (NASDAQ:AMBA) reported its FQ1 2026 results on May 29. The revenue of $85.9 million grew 57.6% year-over-year., surpassing market consensus by $1.86 million. The EPS of $0.07 also exceeded expectations by $0.03. The growth was driven by its AI business as AI-related products accounted for more than 75% of its Q1 revenue. This also marked the fourth consecutive quarter of record AI revenue.

Management noted Ambarella, Inc. (NASDAQ:AMBA) is becoming a leader in edge AI and has over 32 million AI processors shipped cumulatively. Moreover, its proprietary CVflow AI SoCs support a wide range of generative and vision AI models. The company expects FQ2 revenue between the range of $86.0 million and $94.0 million.

Ambarella, Inc. (NASDAQ:AMBA) is a tech company that develops low-power system-on-a-chip semiconductors and software for edge artificial intelligence applications.

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