GoPro shares moved slightly higher today after chip maker Ambarella reported strong first quarter results and a positive outlook. Ambarella makes the chips for GoPro’s cameras and DJI’s drones, so any positives related to it mean lots of good things for GoPro. Its cameras are often attached to drones, not to mention its own aspirations in the drone market.

GoPro

JPMorgan raises GoPro price target

The company earned multiple price target increases and upgrades from analysts today, including JPMorgan analyst Paul Coster. He maintained his Overweight rating and raised his price target from $70 to $75 per share. He cited momentum in innovation at the action camera maker. He thinks the momentum will continue adding to GoPro’s “differentiated position in the market.”

Further, he expects that momentum to cause strong growth in the company’s markets through the next two years while also creating revenue opportunities in media and software.

He noted that there have been several new developments quickly in a row, like the new Alpha version of the GoPro app, which is hosted on the cloud. He also noted that GoPro has shown off products in virtual reality, drones and an “off-cycle” LCD touchscreen Hero device.

Piper Jaffray raises GoPro’s price target

Analyst Erinn Murphy bumped up her price target for GoPro following chip maker Ambarella’s positive earnings report. Her new target moves to $68 from $66 per share, and she maintained her Overweight rating on the company’s shares.

Ambarella’s revenue not only beat Wall Street’s estimates, but the company also guided for second quarter revenue that was much higher than consensus estimates. She noted that GoPro’s revenue has a correlation of 0.92 to Ambarella’s revenue for the quarter behind the chip maker’s previous quarter. As a result, she thinks GoPro’s revenue for the second quarter could be between $440 million and $460 million, which is ahead of her estimate of $396 million.

In addition to the positive earnings results from the GoPro supplier, she also likes the company’s new LCD touchscreen camera, saying it “fits nicely in the middle of the company’s offering.”

Further, she looked at GoPro’s rankings on Amazon’s best-selling electronics products. Looking at a tracking index, she found that sell-through momentum sped up last month, with GoPro taking 6.1% of Amazon’s top 100 electronics products. The company’s historical average was 4.6%. According to Murphy, this means there’s “strong replenishment among core users” and that new users are quickly adopting the company’s products.

As of this writing, shares of GoPro were up 0.95% to $58.95 per share.