Rambus (NASDAQ:RMBS) Sets New 1-Year High – Here’s Why

Rambus, Inc. (NASDAQ:RMBS) hit a new 52-week high during trading on Wednesday . The company traded as high as $118.00 and last traded at $115.9450, with a volume of 54590 shares trading hands. The stock had previously closed at $110.10.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on the company. William Blair started coverage on Rambus in a report on Thursday. They set an “outperform” rating for the company. Wells Fargo & Company increased their price target on shares of Rambus from $73.00 to $115.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 28th. Evercore ISI lifted their price objective on shares of Rambus from $114.00 to $126.00 and gave the company an “outperform” rating in a research note on Tuesday, October 28th. Weiss Ratings cut shares of Rambus from a “buy (b-)” rating to a “hold (c+)” rating in a report on Monday, January 12th. Finally, Rosenblatt Securities reissued a “buy” rating and set a $130.00 target price on shares of Rambus in a research report on Tuesday, October 28th. Two investment analysts have rated the stock with a Strong Buy rating, five have given a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, Rambus presently has a consensus rating of “Buy” and a consensus target price of $108.14.

Rambus Stock Performance

The firm has a market capitalization of $13.43 billion, a price-to-earnings ratio of 59.13 and a beta of 1.51. The business’s 50 day moving average is $97.33 and its 200-day moving average is $89.79.

Rambus (NASDAQ:RMBS) last released its quarterly earnings results on Monday, October 27th. The semiconductor company reported $0.44 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.62 by ($0.18). Rambus had a net margin of 33.72% and a return on equity of 17.73%. The firm had revenue of $178.51 million for the quarter, compared to the consensus estimate of $175.60 million. During the same quarter last year, the company earned $0.45 earnings per share. The firm’s revenue was up 22.7% on a year-over-year basis. Equities research analysts forecast that Rambus, Inc. will post 1.89 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Eric B. Stang sold 5,000 shares of the company’s stock in a transaction that occurred on Friday, November 7th. The stock was sold at an average price of $102.35, for a total transaction of $511,750.00. Following the completion of the transaction, the director directly owned 24,394 shares in the company, valued at $2,496,725.90. The trade was a 17.01% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 1.00% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Rambus

Several large investors have recently bought and sold shares of RMBS. Steigerwald Gordon & Koch Inc. acquired a new stake in Rambus in the 3rd quarter worth $25,000. Abound Wealth Management acquired a new stake in Rambus during the third quarter worth about $28,000. Spire Wealth Management increased its stake in Rambus by 199.0% during the fourth quarter. Spire Wealth Management now owns 302 shares of the semiconductor company’s stock valued at $28,000 after acquiring an additional 201 shares during the period. True Wealth Design LLC raised its holdings in Rambus by 162.5% in the 2nd quarter. True Wealth Design LLC now owns 420 shares of the semiconductor company’s stock valued at $27,000 after acquiring an additional 260 shares in the last quarter. Finally, IFP Advisors Inc raised its holdings in Rambus by 126.7% in the 3rd quarter. IFP Advisors Inc now owns 442 shares of the semiconductor company’s stock valued at $47,000 after acquiring an additional 247 shares in the last quarter. 88.54% of the stock is currently owned by institutional investors and hedge funds.

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.