10 Unstoppable Tech Stocks to Buy Right Now

8. Ambarella Inc. (NASDAQ:AMBA)

Upside Potential: 22%

Number of hedge funds: 30

Ambarella Inc. (NASDAQ:AMBA) specializes in developing low-power system-on-a-chip (SoC) semiconductors and software for edge AI applications. Its products enable features such as person detection, object classification, and analytics, along with performing complex data analysis in real-time, delivering high-quality imagery. These features are used in various human viewing and computer vision applications, including automotive camera systems, video security cameras, mobile and fixed robots, industrial applications, drones, and other consumer devices.

The company focuses on the automotive and Internet-of-Things (IoT) end markets. Ambarella Inc. (NASDAQ:AMBA)’s competitive advantage lies in its specialized SoCs that offer high-quality video and image processing with low power consumption, making them ideal for edge AI applications. The company reported strong Q3 2025 (October quarter) results with revenue increasing by 30% sequentially in both the auto and IoT segments. Despite overall market weakness, the ramp-up of customers’ new products, especially those featuring its new higher-priced AI inference processors like CV5, supported top-line growth. During the results call, President and CEO Dr. Fermi Wang stated:

“We believe the significant and continued build-out of AI training and inference capacity in data centers for increasingly advanced AI networks is a leading indicator for the secular growth opportunity we see for AI inference processing at the edge. Our strategic plan aligns well with this, and the first wave of new AI product revenue is underway. We expect the second wave to commence alongside the first wave next year, with a subsequent wave starting in calendar 2026 or our fiscal 2027, including the CV3 and our 2-nanometer platforms.”