Put This Autonomous Vehicle Stock on Your Radar After Its First-Quarter Update

Shares of computer vision (CV) chip designer Ambarella (NASDAQ: AMBA) have been on a tear. The stock is up nearly 60% over the past year, and it could continue its run as the company returns to growth mode. Specifically, self-driving vehicles and additional auto safety features could be a huge catalyst for this small semiconductor stock. Here's some of what it had to say during its first-quarter earnings update in early June.

Ambarella was negatively affected by the pandemic last year. In fact, effects from COVID-19 compounded issues from the U.S.-China trade war of a couple of years ago, and the company's revenue over the last 12 months remains down about a third from all-time high sales notched in 2017. In spite of the negative financials, though, shares rose over the last year on positive progress in CV chip development -- especially among automakers, as tens of millions of cars are sold every year worldwide and most of them could feature advanced driver assist functions that make use of CV chips.  

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Source Fool.com