Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Ambarella (NASDAQ:AMBA) jumped 10% Tuesday after analysts at Stifel reiterated their "buy" rating on the stock, simultaneously raising its price target to $34 per share from $27.

So what: To justify its call, Stifel pointed to meetings with management last week, which led them to believe Ambarella is "expanding its video technology lead while expanding/creating new addressable markets." 

To be sure, even if Ambarella's solid position in the security and sports camera spaces weren't enough -- remember revenue and net income last quarter jumped year-over-year by 24% and 35%, respectively -- the company also recently unveiled intentions to press into the emerging wearables industry with a new pendant camera platform designed in a partnership with Google.

Now what: It's also worth noting that shares of Ambarella had already fallen for each of the past four trading days following a last week's downgrade from Needham, which argued that the stock looked overvalued after a 45% run-up over the previous month.

But considering Ambarella stock is currently trading at almost exactly the same levels at which I expressed optimism last week, I'm going to have to side with Stifel. Ambarella's video tech has a solid head start in a several massive addressable markets and so should still be able to handsomely reward patient investors over the long term.