Rambus (NASDAQ:RMBS) Sets New 52-Week High – Still a Buy?

by · The Cerbat Gem

Rambus, Inc. (NASDAQ:RMBSGet Free Report)’s share price reached a new 52-week high during trading on Thursday . The company traded as high as $137.20 and last traded at $137.4050, with a volume of 315692 shares. The stock had previously closed at $131.55.

Analyst Ratings Changes

A number of research firms have commented on RMBS. Zacks Research raised Rambus to a “hold” rating in a research note on Monday, January 26th. William Blair began coverage on Rambus in a research note on Thursday, January 22nd. They set an “outperform” rating on the stock. Weiss Ratings lowered Rambus from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday, March 10th. Susquehanna cut their price target on Rambus from $100.00 to $90.00 and set a “neutral” rating on the stock in a research note on Tuesday, February 3rd. Finally, Rosenblatt Securities reaffirmed a “buy” rating and set a $130.00 price target on shares of Rambus in a research note on Tuesday, February 3rd. Two research analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, Rambus has an average rating of “Moderate Buy” and an average target price of $105.71.

Check Out Our Latest Analysis on RMBS

Rambus Price Performance

The firm has a 50 day moving average price of $99.71 and a 200-day moving average price of $100.26. The firm has a market cap of $14.78 billion, a price-to-earnings ratio of 64.69 and a beta of 1.63.

Rambus (NASDAQ:RMBSGet Free Report) last released its earnings results on Monday, February 2nd. The semiconductor company reported $0.68 earnings per share for the quarter, meeting the consensus estimate of $0.68. Rambus had a return on equity of 17.69% and a net margin of 32.57%.The firm had revenue of $190.24 million for the quarter, compared to analyst estimates of $188.21 million. On average, sell-side analysts expect that Rambus, Inc. will post 2.49 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CFO Desmond Lynch sold 4,273 shares of the stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $101.53, for a total transaction of $433,837.69. Following the completion of the transaction, the chief financial officer directly owned 63,618 shares in the company, valued at approximately $6,459,135.54. This trade represents a 6.29% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Meera Rao sold 8,538 shares of the stock in a transaction dated Tuesday, April 14th. The stock was sold at an average price of $118.08, for a total value of $1,008,167.04. Following the transaction, the director owned 22,946 shares of the company’s stock, valued at approximately $2,709,463.68. The trade was a 27.12% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 58,151 shares of company stock worth $5,848,885 over the last ninety days. 0.75% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of RMBS. NewEdge Advisors LLC grew its holdings in shares of Rambus by 22,321.4% during the first quarter. NewEdge Advisors LLC now owns 9,417 shares of the semiconductor company’s stock worth $488,000 after buying an additional 9,375 shares in the last quarter. Empowered Funds LLC grew its holdings in shares of Rambus by 34.1% during the first quarter. Empowered Funds LLC now owns 22,750 shares of the semiconductor company’s stock worth $1,178,000 after buying an additional 5,783 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in shares of Rambus by 6.6% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 309,512 shares of the semiconductor company’s stock worth $16,025,000 after buying an additional 19,120 shares in the last quarter. Acadian Asset Management LLC bought a new position in shares of Rambus during the first quarter worth about $218,000. Finally, Quantbot Technologies LP acquired a new position in shares of Rambus during the 2nd quarter worth about $102,000. 88.54% of the stock is currently owned by institutional investors.

About Rambus

(Get Free Report)

Rambus Inc is a technology licensing company specializing in semiconductor and system-level interface solutions. Founded in 1990 by Stanford University researchers Mike Farmwald and Mark Horowitz, Rambus established its headquarters in Sunnyvale, California. The company initially gained prominence by developing high-speed DRAM interface technology and securing a broad patent portfolio covering memory architecture, data signaling and power management innovations.

Today, Rambus licenses its proprietary intellectual property (IP) to semiconductor companies, original equipment manufacturers (OEMs) and system integrators worldwide.

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