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Key Takeaways
- Ambiq Micro shares were trading at close to double their $24 IPO price late Wednesday, peaking at $47 earlier in the session.
- The price puts the chipmaker’s market capitalization at more than $700 million.
- Ambiq is a chipmaker backed by companies like Arm Holdings that generated about $76 million in revenue last year with an adjusted net loss around $28.6 million.
Shares of Ambiq Micro (AMBQ), a chipmaker backed by companies including Arm Holdings (ARM), nearly doubled in value during the stock’s first day of trading on Wednesday.
Following an initial public offering priced at $24, Ambiq shares were trading at approximately $40 on Wednesday afternoon, peaking at $47 earlier in the session. Ambiq offered nearly 4 million shares in the offering, raising $96 million in its IPO.
Trading of the stock was halted on Wednesday for two five-minute periods due to volatility, the New York Stock Exchange’s tracking system showed.
‘Ultra-Low Power’ Chips Address Computing Power Consumption
In its prospectus filed earlier this month, Ambiq said it would have about 17.04 million shares outstanding after the offering, or up to 17.55 million shares if all options to buy more shares were exercised, putting the company’s debut market capitalization around $700 million to $720 million.
The company said in the filing that it manufactures “ultra-low power semiconductor solutions designed to address the significant power consumption challenges of general purpose and AI compute,” and said it shipped over 42 million units last year.
Last year, Ambiq generated about $76.1 million in revenue, with an adjusted net loss of about $28.6 million, compared with $65.5 million in revenue and a wider adjusted net loss of $39.2 million in 2023, the filing showed.
