Rambus (NASDAQ:RMBS) Announces Earnings Results

Rambus (NASDAQ:RMBS) issued its earnings results on Monday. The semiconductor company reported $0.77 EPS for the quarter, topping analysts’ consensus estimates of $0.72 by $0.05, FiscalAI reports. The company had revenue of $207.39 million for the quarter, compared to the consensus estimate of $199.30 million. Rambus had a net margin of 31.90% and a return on equity of 17.41%.

Rambus Stock Up 0.4%

RMBS stock traded up $0.41 during mid-day trading on Monday, hitting $96.42. 4,039,112 shares of the company were exchanged, compared to its average volume of 2,699,476. Rambus has a 12-month low of $63.30 and a 12-month high of $174.10. The firm has a market capitalization of $10.43 billion, a P/E ratio of 45.91 and a beta of 1.84. The business has a fifty day simple moving average of $128.78 and a 200-day simple moving average of $114.40.

Insider Activity at Rambus

In related news, Director Necip Sayiner sold 5,000 shares of the stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $170.15, for a total transaction of $850,750.00. Following the completion of the transaction, the director owned 18,223 shares of the company’s stock, valued at approximately $3,100,643.45. This trade represents a 21.53% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Eric B. Stang sold 5,000 shares of Rambus stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $146.00, for a total transaction of $730,000.00. Following the completion of the sale, the director owned 19,218 shares of the company’s stock, valued at $2,805,828. This trade represents a 20.65% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 62,914 shares of company stock valued at $9,724,775 over the last 90 days. Insiders own 0.75% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the company. Pacer Advisors Inc. grew its stake in shares of Rambus by 8.5% in the fourth quarter. Pacer Advisors Inc. now owns 20,459 shares of the semiconductor company’s stock valued at $1,880,000 after buying an additional 1,595 shares in the last quarter. Virtu Financial LLC acquired a new position in Rambus during the 4th quarter worth about $253,000. Invesco Ltd. lifted its stake in Rambus by 70.6% during the 4th quarter. Invesco Ltd. now owns 4,148,653 shares of the semiconductor company’s stock worth $381,220,000 after acquiring an additional 1,716,621 shares in the last quarter. Corient Private Wealth LLC lifted its stake in Rambus by 2.1% during the 4th quarter. Corient Private Wealth LLC now owns 6,538 shares of the semiconductor company’s stock worth $601,000 after acquiring an additional 133 shares in the last quarter. Finally, Mercer Global Advisors Inc. ADV boosted its holdings in Rambus by 17.9% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 9,145 shares of the semiconductor company’s stock valued at $840,000 after acquiring an additional 1,386 shares during the period. 88.54% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on RMBS. Wells Fargo & Company raised their price target on shares of Rambus from $115.00 to $145.00 and gave the stock an “overweight” rating in a report on Tuesday, April 28th. Benchmark initiated coverage on Rambus in a report on Wednesday, July 15th. They issued a “buy” rating and a $165.00 price objective on the stock. Jefferies Financial Group increased their price objective on Rambus from $120.00 to $145.00 and gave the stock a “buy” rating in a research report on Tuesday, April 28th. Evercore reissued an “outperform” rating and set a $172.00 target price on shares of Rambus in a research note on Tuesday, April 28th. Finally, Rosenblatt Securities lifted their target price on Rambus from $130.00 to $150.00 and gave the company a “buy” rating in a research report on Tuesday, April 28th. Two analysts have rated the stock with a Strong Buy rating, five have given a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat, Rambus presently has a consensus rating of “Moderate Buy” and a consensus target price of $134.75.

About Rambus

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.