Rambus (NASDAQ:RMBS) Stock Price Down 6% – What’s Next?

Shares of Rambus, Inc. (NASDAQ:RMBS) were down 6% during trading on Wednesday . The company traded as low as $91.39 and last traded at $91.2150. Approximately 679,796 shares changed hands during trading, a decline of 55% from the average daily volume of 1,521,678 shares. The stock had previously closed at $97.00.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on RMBS. Jefferies Financial Group upgraded shares of Rambus to a “strong-buy” rating in a research note on Tuesday, October 28th. Cfra Research lowered Rambus from a “hold” rating to a “moderate sell” rating in a research note on Monday, December 15th. Weiss Ratings reissued a “buy (b-)” rating on shares of Rambus in a research note on Monday, December 29th. Robert W. Baird upped their price objective on Rambus from $90.00 to $120.00 and gave the company an “outperform” rating in a report on Monday, September 15th. Finally, Evercore ISI raised their target price on Rambus from $114.00 to $126.00 and gave the company an “outperform” rating in a research note on Tuesday, October 28th. Two research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating and one has assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average price target of $108.14.

Rambus Trading Up 2.2%

The company has a market cap of $10.05 billion, a price-to-earnings ratio of 44.26 and a beta of 1.51. The business has a 50-day moving average price of $96.92 and a 200 day moving average price of $86.83.

Rambus (NASDAQ:RMBS) last announced its 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 return on equity of 17.73% and a net margin of 33.72%.The company had revenue of $178.51 million for the quarter, compared to analyst estimates of $175.60 million. During the same period last year, the firm earned $0.45 earnings per share. The firm’s revenue for the quarter was up 22.7% on a year-over-year basis. On average, analysts anticipate that Rambus, Inc. will post 1.89 earnings per share for the current year.

Insider Activity at Rambus

In other Rambus news, Director Eric B. Stang sold 5,000 shares of the firm’s stock in a transaction dated Friday, November 7th. The shares were sold at an average price of $102.35, for a total value 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. This trade represents a 17.01% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. 1.00% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Rambus

Hedge funds have recently made changes to their positions in the company. Congress Asset Management Co. boosted its stake in Rambus by 4.7% in the 4th quarter. Congress Asset Management Co. now owns 1,410,615 shares of the semiconductor company’s stock worth $129,621,000 after purchasing an additional 63,430 shares during the period. SG Americas Securities LLC lifted its holdings in shares of Rambus by 45.1% in the fourth quarter. SG Americas Securities LLC now owns 63,652 shares of the semiconductor company’s stock valued at $5,849,000 after purchasing an additional 19,772 shares in the last quarter. Marshall Financial Group LLC acquired a new stake in shares of Rambus in the fourth quarter worth $717,000. Wealth Enhancement Advisory Services LLC boosted its position in shares of Rambus by 7.3% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 10,048 shares of the semiconductor company’s stock worth $975,000 after buying an additional 685 shares during the period. Finally, Argent Capital Management LLC purchased a new position in shares of Rambus during the fourth quarter valued at $588,000. Hedge funds and other institutional investors own 88.54% of the company’s stock.

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.