AXQ Capital LP Makes New Investment in Rambus, Inc. $RMBS

Key Points

• AXQ Capital LP initiated a new position in Rambus in the fourth quarter, buying 6,742 shares worth about $620,000.
• Rambus reported better-than-expected quarterly results, posting EPS of $0.63 and revenue of $180.19 million, both slightly above analyst estimates.
• Analysts remain mostly constructive overall, with the stock carrying a Moderate Buy consensus and a mean price target of $130.43, though there has also been notable insider selling recently.

AXQ Capital LP purchased a new position in shares of Rambus, Inc. (NASDAQ:RMBS - Free Report) in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund purchased 6,742 shares of the semiconductor company's stock, valued at approximately $620,000.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Baader Bank Aktiengesellschaft purchased a new stake in shares of Rambus during the 3rd quarter worth approximately $1,149,000. M&T Bank Corp lifted its position in shares of Rambus by 2,372.0% during the 4th quarter. M&T Bank Corp now owns 122,636 shares of the semiconductor company's stock worth $11,269,000 after buying an additional 117,675 shares during the last quarter. CloudAlpha Capital Management Limited Hong Kong purchased a new stake in shares of Rambus during the 3rd quarter worth approximately $17,276,000. TD Asset Management Inc lifted its position in shares of Rambus by 463.6% during the 3rd quarter. TD Asset Management Inc now owns 25,306 shares of the semiconductor company's stock worth $2,637,000 after buying an additional 20,816 shares during the last quarter. Finally, William Blair Investment Management LLC purchased a new stake in shares of Rambus during the 3rd quarter worth approximately $30,341,000. Institutional investors and hedge funds own 88.54% of the company's stock.

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. Jefferies Financial Group boosted their price objective on shares of Rambus from $120.00 to $145.00 and gave the stock a "buy" rating in a research report on Tuesday, April 28th. Evercore reiterated an "outperform" rating and issued a $172.00 price target on shares of Rambus in a research report on Tuesday, April 28th. Robert W. Baird downgraded shares of Rambus from an "outperform" rating to a "neutral" rating and set a $120.00 price target for the company. in a research report on Tuesday, April 28th. Rosenblatt Securities upped their price target on shares of Rambus from $130.00 to $150.00 and gave the company a "buy" rating in a research report on Tuesday, April 28th. Finally, Weiss Ratings downgraded shares of Rambus from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Tuesday, March 10th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $130.43.

Rambus Price Performance

RMBS stock opened at $170.66 on Thursday. The company has a fifty day moving average price of $122.66 and a 200 day moving average price of $107.20. Rambus, Inc. has a 12 month low of $56.08 and a 12 month high of $174.10. The company has a market cap of $18.46 billion, a price-to-earnings ratio of 81.27 and a beta of 1.84.

Rambus (NASDAQ:RMBS - Get Free Report) last released its quarterly earnings results on Monday, April 27th. The semiconductor company reported $0.63 EPS for the quarter, beating the consensus estimate of $0.61 by $0.02. The firm had revenue of $180.19 million during the quarter, compared to the consensus estimate of $179.94 million. Rambus had a net margin of 31.90% and a return on equity of 17.41%. As a group, analysts anticipate that Rambus, Inc. will post 2.44 earnings per share for the current year.

Insider Activity at Rambus

In other Rambus news, EVP Xianzhi Sean Fan sold 37,914 shares of the company's stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $151.69, for a total transaction of $5,751,174.66. Following the completion of the transaction, the executive vice president owned 168,358 shares in the company, valued at approximately $25,538,225.02. This represents a 18.38% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Emiko Higashi sold 10,000 shares of the company's stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $160.50, for a total transaction of $1,605,000.00. Following the transaction, the director owned 49,519 shares of the company's stock, valued at approximately $7,947,799.50. The trade was a 16.80% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 79,850 shares of company stock worth $11,649,796 in the last 90 days. Corporate insiders own 0.75% of the company's stock.

Trending Headlines about Rambus

Here are the key news stories impacting Rambus this week:

• Positive Sentiment: Investor enthusiasm remains supported by Rambus’ AI and data-center memory roadmap, including new product and IP announcements tied to next-generation AI infrastructure. Rambus shares jump as investors focus on AI-memory roadmap ahead of conference updates
• Positive Sentiment: The company recently beat quarterly EPS and revenue expectations, reinforcing the growth story behind the stock’s strong move higher. Rambus earnings and stock information
• Neutral Sentiment: A top-analyst rating update was published, but the details provided do not indicate a clear change in outlook. Rambus receives a rating update from a top analyst
• Negative Sentiment: Director Emiko Higashi sold 10,000 shares, adding to concerns that insiders are taking profits after the stock’s sharp run-up. SEC filing for Emiko Higashi sale
• Negative Sentiment: Director Necip Sayiner sold 5,000 shares, and additional reports showed other recent insider sales, reinforcing a pattern of insider selling at Rambus. SEC filing for Necip Sayiner sale
• Negative Sentiment: Another report highlighted that several Rambus insiders have been quietly cashing in with major stock sales, which may pressure shares despite the positive business narrative. Top Rambus Insiders Quietly Cash In With Major Stock Sales

Rambus 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.

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