Ambiq Micro Inc. Common Stock (AMBQ)

FairStock Score: 33/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

Mr. Market is offering Ambiq at $55.86 as of 2026-10-13, a $1.4B market cap on a company with FY2025 revenue of $72.5M and a net loss of $36.5M. That is not the sort of proven earning power Graham demanded. The latest filed quarter, fiscal Q2 2026 ended 2026-06-30, showed revenue of $33.9M and net loss of $7.1M, up sharply from revenue of $17.9M and a net loss of $8.5M in fiscal Q2 2025. So there is real top-line momentum and some loss narrowing. But FY2025 revenue of $72.5M was below FY2024's $76.1M, and FY2024 lost $39.7M, so growth has been uneven. FairStock's calculations show negative earnings: P/E -12.58, ROE -15.55%, ROCE -10.10%, FCF -$40M, FCF yield -3.0%, and Piotroski 3/9. The balance sheet has almost no debt, with D/E 0.01, and a high Altman Z-score of 26.08, which gives some runway, but cash burn is the enemy. P/B 3.33 means we pay a premium to book for a business that is not earning its cost of capital. The ultra-low-power chip niche may have a technological moat, but 200 employees and only two years of filed results leave little history. FairStock's Lynch category is none because only two years of filed results are available. I would prefer to see sustained positive free cash flow, stable margins, and a path to GAAP profits. Until then, this is a speculative growth story, not a value investment.

In plain English: Ambiq Micro makes very low-power chips for battery-powered devices. The business is growing revenue in its latest quarter but is still losing money and burning cash. At $55.86, the stock looks expensive against current profits and accounting value, so it is a bet on future growth rather than a proven bargain.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer