Out Fox The $treet

Forget the Fed and focus on the companies. both Zoe's Kitchen (ZOES) and Ambarella (AMBA) are on the radar for next week. Zoe's Kitchen has held up well despite the overall weakness in most restaurant stocks and Ambarella needs to show that the company has moved on past the weakness of previous top customer  GoPro (GPRO) . Disclosure: Long ZOES. Please review the disclaimer page for more details. 

Ambarella guided down FQ1 numbers due to ongoing weakness at a key customer. The chip supplier continues to participate in growth in new camera markets. The stock is likely to retest recent lows providing the ultimate buying opportunity prior to a rebound in the sports camera market. As with most speculative stocks this year, Ambarella (NASDAQ: AMBA ) traded to new lows in February before a big rally the last couple of weeks. The rally isn't likely to last following FQ1 guidance issued with the  FQ4 earnings report .  Read the full article at Seeking Alpha.  Disclosure: No positions mentioned. please read the disclaimer page for more details.

Fitbit easily smashed Q4 estimates due to a strong holiday season. The weak Q1 guidance is a mixed blessing by adding to worries over the fad nature of the business and providing a lower entry point. The valuation in the stock is finally compelling with the market no longer having any expectations from the company. Despite the strong holiday sales, Fitbit (NYSE: FIT ) trades near post-IPO lows due to the self-inflicted wounds and market fears  highlighted  in my  previous research . Unfortunately, for investors, the company has a long way to go to prove that the fitness tracking business isn't a fad and Under Armour (NYSE: UA ) isn't a competitive problem.  Read the full article Seeking Alpha.  Disclosure: No positions mentioned. Please read the disclaimer page for more details.

Fitbit tops the iOS app charts following an apparently blowout holiday sales. The stock saw a muted reaction reinforcing the insider sales and highlighting fears of a repeat of the GoPro year. The strong ecosystem makes the Fitbit story compelling, but the recommendation remains to wait until the holiday enthusiasm falls off. My previous investment research highlighted the concerns with insiders rushing to dump shares of Fitbit (NYSE: FIT ) prior to the promising holiday season. Activity-tracking devices were expected to be a top holiday gift so why would anybody want to sell shares at the lows following the June IPO? Read the full article at Seeking Alpha. Disclosure: No position mentioned. Please review the disclaimer page for more details. 

U.S. investors have genearlly had limited opportunities to invest in the drone sector. The recent collapse of GoPro and Ambarella stock and entries into the drone sector provide attractive entry points. Drone Aviation offers a speculative play as it builds a business in the defense and commercial sector. While drones became one of the hottest market segments in the last couple of years, U.S. investors have had limited investment opportunities in the public markets. Some of the big government defense contractors that produce drones are so large they don't provide much growth opportunity, while the public companies moving into the consumer and commercial drone arena were richly valued and had limited revenues from drones. Read the full article on Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details.