"Ambarella (OW, due to report Tuesday after the close): We are raising the price target, reflecting multiple expansion across the next generation auto supply chain and better 5 year earnings prospects; but we don't see big surprises around the quarter. We model an in line quarter and outlook, with sequential growth driven by strength in IP Security and Automotive, though we see a probability of upside. We would expect the fairly typical 10-12 new design wins, and perhaps new commentary about the automotive pipeline, but we aren't anticipating any big breakthrough type wins. We estimate IP Security revenue rebounding 11% q/q, driven by strength across all sub segments including China, Rest of World and Consumer. Chinese revenue has been low-single digits of overall revenues now for two quarters, derisking the business and representing upside to the extent China-related sales resume. The decline in China revenue was precipitated by inventory accumulation and lower purchases at HIKvision and Dahua, Ambarella’s two largest surveillance customers, around entity list concerns, and only Dahua has released new computer vision products as far as we know. We also see consumer surveillance as a very strong category. From a CV perspective, penetration last quarter was 10%, primarily driven by the professional market, and is expected to increase to 25% this year, driven by consumer in the second half of the year. For Automotive, we model revenue up 35% q/q. The company has been giving more numbers around the overall automotive opportunity, with management providing an automotive “funnel” on last quarter’s earnings call of $600mn by CY26...."