Rambus (NASDAQ:RMBS) Trading 5.2% Higher – What’s Next?

Rambus, Inc. (NASDAQ:RMBS)’s stock price shot up 5.2% during trading on Friday . The stock traded as high as $94.00 and last traded at $94.4550. 1,339,075 shares traded hands during mid-day trading, a decline of 48% from the average session volume of 2,573,133 shares. The stock had previously closed at $89.78.

Analyst Ratings Changes

RMBS has been the subject of a number of research reports. Weiss Ratings cut shares of Rambus from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Tuesday. Zacks Research upgraded shares of Rambus to a “hold” rating in a research note on Monday, January 26th. Evercore lowered their price target on shares of Rambus from $126.00 to $119.00 and set an “outperform” rating on the stock in a report on Tuesday, February 3rd. William Blair initiated coverage on shares of Rambus in a research report on Thursday, January 22nd. They set an “outperform” rating for the company. Finally, Cfra cut Rambus from a “hold” rating to a “moderate sell” rating in a report on Monday, December 15th. Two investment analysts have rated the stock with a Strong Buy rating, five have assigned a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat, Rambus has a consensus rating of “Moderate Buy” and an average target price of $105.71.

Rambus Stock Up 4.7%

The stock has a fifty day moving average price of $102.06 and a two-hundred day moving average price of $97.92. The company has a market cap of $10.17 billion, a price-to-earnings ratio of 44.55 and a beta of 1.55.

Rambus (NASDAQ:RMBS) last released its quarterly earnings results on Monday, February 2nd. The semiconductor company reported $0.68 EPS for the quarter, meeting the consensus estimate of $0.68. Rambus had a net margin of 32.57% and a return on equity of 17.69%. The business had revenue of $190.24 million for the quarter, compared to the consensus estimate of $188.21 million. Analysts predict that Rambus, Inc. will post 1.89 earnings per share for the current fiscal year.

Insider Transactions at Rambus

In other news, CEO Luc Seraphin sold 39,914 shares of Rambus stock in a transaction that occurred on Monday, March 2nd. The shares were sold at an average price of $98.63, for a total value of $3,936,717.82. Following the completion of the sale, the chief executive officer directly owned 331,070 shares in the company, valued at approximately $32,653,434.10. The trade was a 10.76% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Desmond Lynch sold 4,273 shares of the business’s stock in a transaction that occurred on Monday, February 23rd. The shares were sold at an average price of $101.53, for a total value of $433,837.69. Following the completion of the sale, the chief financial officer owned 63,618 shares of the company’s stock, valued at approximately $6,459,135.54. This trade represents a 6.29% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 1.00% of the company’s stock.

Hedge Funds Weigh In On Rambus

A number of hedge funds have recently added to or reduced their stakes in RMBS. NewEdge Advisors LLC lifted its position in shares of Rambus by 22,321.4% during the 1st quarter. NewEdge Advisors LLC now owns 9,417 shares of the semiconductor company’s stock valued at $488,000 after acquiring an additional 9,375 shares during the period. Empowered Funds LLC increased its position in shares of Rambus by 34.1% in the first quarter. Empowered Funds LLC now owns 22,750 shares of the semiconductor company’s stock worth $1,178,000 after purchasing an additional 5,783 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in Rambus by 6.6% in 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 valued at $16,025,000 after purchasing an additional 19,120 shares in the last quarter. Acadian Asset Management LLC bought a new stake in Rambus during the first quarter worth about $218,000. Finally, Connor Clark & Lunn Investment Management Ltd. bought a new stake in Rambus during the second quarter worth about $1,225,000. Institutional investors own 88.54% of the company’s stock.

Rambus Company Profile

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.