Ambiq Micro, Inc. (NYSE:AMBQ) defied analyst predictions to release its quarterly results, which were ahead of market expectations. Revenues of US$25m were better than expected, some 17% ahead of forecasts. The company still lost a statutory US$0.50 per share, although the losses were 18% smaller than the analysts expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

After the latest results, the five analysts covering Ambiq Micro are now predicting revenues of US$121.8m in 2026. If met, this would reflect a sizeable 49% improvement in revenue compared to the last 12 months. Losses are forecast to balloon 23% to US$2.20 per share. Before this earnings announcement, the analysts had been modelling revenues of US$100.8m and losses of US$2.60 per share in 2026. So there's been quite a change-up of views after the recent consensus updates, with the analysts making a sizeable increase to their revenue forecasts while also reducing the estimated loss as the business grows towards breakeven.

It will come as no surprise to learn thatthe analysts have increased their price target for Ambiq Micro 67% to US$70.20on the back of these upgrades. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values Ambiq Micro at US$72.00 per share, while the most bearish prices it at US$69.00. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. It's clear from the latest estimates that Ambiq Micro's rate of growth is expected to accelerate meaningfully, with the forecast 70% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 6.9% over the past year. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 22% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Ambiq Micro is expected to grow much faster than its industry.

The Bottom Line

The most obvious conclusion is that the analysts made no changes to their forecasts for a loss next year. Pleasantly, they also upgraded their revenue estimates, and their forecasts suggest the business is expected to grow faster than the wider industry. There was also a nice increase in the price target, with the analysts clearly feeling that the intrinsic value of the business is improving.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for Ambiq Micro going out to 2028, and you can see them free on our platform here..

Even so, be aware that Ambiq Micro is showing 2 warning signs in our investment analysis , and 1 of those is concerning...

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.