Ambarella stock had its Relative Strength (RS) Rating upgraded from 80 to 85 Tuesday.
When you're researching the best stocks to buy and watch, keep a close on eye on relative price strength.
IBD's unique rating identifies price movement with a 1 (worst) to 99 (best) score. The rating shows how a stock's price behavior over the trailing 52 weeks compares to all the other stocks in our database.
Over 100 years of market history shows that the top-performing stocks typically have an RS Rating north of 80 in the early stages of their moves.
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Is Ambarella Stock A Buy?
Ambarella stock broke out of a cup-with-handle base back in early December but is currently extended. Now is not an ideal time to jump in since it isn't near a proper buy zone, plus the stock market is a correction. Wait until the market reverse trends before adding shares.
The chipmaker posted negative growth for both sales and earnings last quarter.
Ambarella stock holds the No. 17 rank among its peers in the Electronics-Semiconductor Fabless industry group. Mobileye Global and Impinj are also among the group's highest-rated stocks. For more industry news, check out "Chip Stocks To Watch And Semiconductor Industry News."
