Rambus (NASDAQ:RMBS) Stock Jumps 5.4% – Should You Buy?

Rambus, Inc. (NASDAQ:RMBS) shares traded up 5.4% on Monday. The stock traded as high as $92.41 and last traded at $91.93. 217,993 shares changed hands during mid-day trading, a decline of 91% from the average session volume of 2,562,196 shares. The stock had previously closed at $87.25.

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on RMBS. Weiss Ratings reissued a “hold (c+)” rating on shares of Rambus in a report on Wednesday, September 2nd. Glj Research set a $165.00 price objective on shares of Rambus in a research note on Tuesday, July 28th. Benchmark restated a “buy” rating on shares of Rambus in a report on Tuesday, July 28th. Finally, Rosenblatt Securities restated a “buy” rating and set a $165.00 target price on shares of Rambus in a report on Tuesday, July 28th. Six equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $145.88.

Rambus Price Performance

The business has a 50-day moving average of $94.90 and a two-hundred day moving average of $112.18. The company has a market cap of $10.02 billion, a P/E ratio of 42.39 and a beta of 1.85.

Rambus (NASDAQ:RMBS) last announced its earnings results on Monday, July 27th. The semiconductor company reported $0.77 EPS for the quarter, topping analysts’ consensus estimates of $0.72 by $0.05. The business had revenue of $207.39 million during the quarter, compared to the consensus estimate of $199.30 million. Rambus had a net margin of 31.69% and a return on equity of 17.89%. The firm’s revenue was up 20.4% on a year-over-year basis. During the same period in the previous year, the company posted $0.53 earnings per share. Equities analysts anticipate that Rambus, Inc. will post 2.52 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the company. Hsbc Holdings PLC increased its holdings in shares of Rambus by 658.6% in the second quarter. Hsbc Holdings PLC now owns 48,013 shares of the semiconductor company’s stock valued at $6,110,000 after purchasing an additional 41,684 shares during the period. State of Wyoming acquired a new position in shares of Rambus in the 2nd quarter valued at about $1,825,000. Handelsbanken Fonder AB boosted its stake in shares of Rambus by 28.1% in the second quarter. Handelsbanken Fonder AB now owns 150,857 shares of the semiconductor company’s stock worth $20,025,000 after buying an additional 33,060 shares during the last quarter. Engineers Gate Manager LP purchased a new stake in shares of Rambus in the second quarter worth about $4,764,000. Finally, BlackRock Inc. acquired a new stake in Rambus during the second quarter worth about $1,853,645,000. Hedge funds and other institutional investors own 88.54% of the company’s stock.

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.