Rambus’ (RMBS) “Buy” Rating Reaffirmed at Rosenblatt Securities

Rambus (NASDAQ:RMBS)‘s stock had its “buy” rating restated by equities researchers at Rosenblatt Securities in a research note issued to investors on Tuesday, Benzinga reports. They presently have a $165.00 target price on the semiconductor company’s stock. Rosenblatt Securities‘s price target would indicate a potential upside of 85.64% from the company’s previous close.

Several other brokerages have also weighed in on RMBS. Weiss Ratings reissued a “hold (c+)” rating on shares of Rambus in a report on Wednesday, September 2nd. Benchmark reaffirmed a “buy” rating on shares of Rambus in a report on Tuesday, July 28th. Susquehanna reaffirmed a “neutral” rating and set a $103.00 target price (up from $100.00) on shares of Rambus in a report on Tuesday. Glj Research set a $165.00 target price on Rambus in a report on Tuesday, July 28th. Finally, UBS Group set a $165.00 target price on Rambus in a report on Tuesday. Six research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $147.00.

Rambus Stock Performance

Shares of NASDAQ:RMBS traded down $1.44 during trading on Tuesday, hitting $88.88. The company’s stock had a trading volume of 2,816,881 shares, compared to its average volume of 2,563,149. Rambus has a fifty-two week low of $77.89 and a fifty-two week high of $174.10. The stock’s 50-day moving average price is $94.46 and its two-hundred day moving average price is $107.99. The company has a market capitalization of $9.64 billion, a PE ratio of 40.77 and a beta of 1.85.

Rambus (NASDAQ:RMBS) last released its quarterly earnings results on Monday, October 26th. The semiconductor company reported $0.84 EPS for the quarter, topping the consensus estimate of $0.79 by $0.05. Rambus had a return on equity of 17.89% and a net margin of 31.69%. The business had revenue of $218.29 million for the quarter, compared to analysts’ expectations of $213.21 million. On average, equities analysts predict that Rambus will post 2.52 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Rambus

Hedge funds have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in shares of Rambus in the second quarter valued at about $1,853,645,000. EdgePoint Investment Group Inc. lifted its stake in Rambus by 38.5% during the first quarter. EdgePoint Investment Group Inc. now owns 1,947,742 shares of the semiconductor company’s stock worth $167,564,000 after purchasing an additional 541,056 shares during the period. Swedbank AB lifted its stake in Rambus by 14.7% during the first quarter. Swedbank AB now owns 1,563,000 shares of the semiconductor company’s stock worth $134,465,000 after purchasing an additional 200,000 shares during the period. Bank of America Corp DE lifted its stake in Rambus by 9.0% during the first quarter. Bank of America Corp DE now owns 1,361,570 shares of the semiconductor company’s stock worth $117,136,000 after purchasing an additional 111,928 shares during the period. Finally, Bessemer Group Inc. lifted its stake in Rambus by 1,009.5% during the first quarter. Bessemer Group Inc. now owns 1,039,905 shares of the semiconductor company’s stock worth $89,463,000 after purchasing an additional 946,177 shares during the period. 88.54% of the stock is currently owned by institutional investors.

Key Headlines Impacting Rambus

Here are the key news stories impacting Rambus this week:

• Positive Sentiment: Rambus reported record third-quarter revenue of $218.3 million, up 22% year over year, beating the roughly $213 million consensus estimate. Non-GAAP earnings were $0.84 per share, above expectations near $0.78-$0.79 and up from $0.63 a year earlier. Rambus Beats Q3 Earnings and Revenue Estimates
• Positive Sentiment: Product revenue reached a record $114.3 million, increasing 22% year over year, while operating cash flow reached a record $102.5 million. Rambus also repurchased approximately $135 million of stock during the quarter, supporting per-share value. Rambus: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: Management cited accelerating AI-driven demand for memory chips and forecast fourth-quarter revenue of $227 million to $233 million, implying continued sequential growth. Rambus Q3 Earnings Call Highlights AI Demand and Supply Pressures
• Neutral Sentiment: The results reinforce Rambus’s exposure to data-center and AI infrastructure growth, but investors are weighing whether record revenue can be sustained as the market expands. Can Rambus Sustain Record Revenue as Data-Center Grows?
• Negative Sentiment: Supply constraints and higher costs are expected to pressure margins. In addition, fourth-quarter guidance, while higher sequentially, was viewed as relatively muted compared with elevated investor expectations, limiting the positive reaction to the earnings beat. Rambus Falls Despite Earnings Beat on Muted Guidance Outlook

Rambus Company Profile

Rambus Inc is a semiconductor technology company that develops and licenses intellectual property for memory and data-processing systems. Its technologies are designed to support higher bandwidth, improved performance, reliability and security across data centers, artificial intelligence and high-performance computing platforms, as well as other computing and communications applications.

The company offers memory interface products and intellectual property, including solutions for DDR5 and other advanced memory architectures, high-bandwidth memory, memory modules and associated system components.