NEW YORK (TheStreet) -- Ambarella (AMBA) - Get Ambarella, Inc. Report stock is jumping 6.43% to $39.84 in afternoon trading on Thursday after analysts remained bullish on the chipmaker's long-term potential, even after a key customer, GoPro (GPRO), reported disappointing 2015 fourth quarter results.

Shares of GoPro are retreating 7.84% to $9.87 this afternoon.

For the 2017 fiscal year, which began this week, "we are now estimating Ambarella's GoPro revenue exposure to be 10%, down from our prior 17% estimate," Stifel analysts said, Barron's reports.

The Santa Clara, CA-based company will still be pressured in the next few quarters, but its product portfolio is diverse enough for the business to seek growth in other markets, Canaccord Genuity analysts wrote in a note this morning.

"Despite the very rocky start to 2016 for AMBA shares too often tied to only GoPro sentiment, our long-term conviction remains and we believe the disproportional decline in share price versus fundamentals outside GoPro presents a buying opportunity for long-term investors," analysts added.

Shares of Ambarella have fallen nearly 28% so far this year, in part because of GoPro's sales pre-announcement last month, which sent the stock down by double-digits.

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Separately, Ambarella has a "buy" rating and a letter grade of B- at TheStreet Ratings because of the company's robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, expanding profit margins and good cash flow from operations.

You can view the full analysis from the report here: AMBA

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. 

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