Park West Asset Management LLC Makes New $30.50 Million Investment in Rambus, Inc. $RMBS

Key Points

• Park West Asset Management LLC has made a new investment of $30.50 million in Rambus, Inc., acquiring 589,150 shares, which accounts for approximately 2.5% of their investment portfolio.
• Several other institutional investors, including Price T Rowe Associates Inc., have significantly increased their positions in Rambus, reflecting growing interest in the semiconductor company.
• Analysts have mixed ratings on Rambus, with some upgrades to "buy" and one downgrade to "hold," resulting in a consensus rating of "Buy" with an average target price of $79.38.

Park West Asset Management LLC bought a new position in Rambus, Inc. (NASDAQ:RMBS - Free Report) during the first quarter, according to its most recent filing with the Securities and Exchange Commission. The fund bought 589,150 shares of the semiconductor company's stock, valued at approximately $30,503,000. Rambus makes up about 2.5% of Park West Asset Management LLC's investment portfolio, making the stock its 18th biggest position. Park West Asset Management LLC owned 0.55% of Rambus at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also made changes to their positions in the business. Price T Rowe Associates Inc. MD raised its holdings in shares of Rambus by 60.5% during the first quarter. Price T Rowe Associates Inc. MD now owns 8,746,856 shares of the semiconductor company's stock valued at $452,870,000 after acquiring an additional 3,297,728 shares during the period. American Century Companies Inc. grew its position in Rambus by 21.1% in the first quarter. American Century Companies Inc. now owns 1,424,365 shares of the semiconductor company's stock worth $73,747,000 after acquiring an additional 248,013 shares in the last quarter. Charles Schwab Investment Management Inc. grew its position in Rambus by 0.5% in the first quarter. Charles Schwab Investment Management Inc. now owns 1,256,346 shares of the semiconductor company's stock worth $65,047,000 after acquiring an additional 6,600 shares in the last quarter. Westwood Holdings Group Inc. boosted its holdings in shares of Rambus by 9.3% during the 1st quarter. Westwood Holdings Group Inc. now owns 1,232,210 shares of the semiconductor company's stock worth $63,798,000 after buying an additional 104,356 shares during the period. Finally, Congress Asset Management Co. boosted its holdings in shares of Rambus by 38.5% during the 1st quarter. Congress Asset Management Co. now owns 1,199,564 shares of the semiconductor company's stock worth $62,107,000 after buying an additional 333,538 shares during the period. 88.54% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on RMBS shares. Wall Street Zen downgraded shares of Rambus from a "buy" rating to a "hold" rating in a report on Sunday, August 10th. Arete upgraded shares of Rambus from a "neutral" rating to a "buy" rating and set a $91.00 price objective for the company in a research note on Thursday, August 28th. Jefferies Financial Group increased their target price on shares of Rambus from $69.00 to $75.00 and gave the stock a "buy" rating in a research report on Tuesday, July 29th. Susquehanna increased their target price on shares of Rambus from $70.00 to $75.00 and gave the stock a "positive" rating in a research report on Tuesday, July 29th. Finally, Arete Research raised shares of Rambus to a "strong-buy" rating in a report on Thursday, August 28th. Two investment analysts have rated the stock with a Strong Buy rating and eight have issued a Buy rating to the company. According to data from MarketBeat, Rambus presently has a consensus rating of "Buy" and an average target price of $79.38.

Insiders Place Their Bets

In other news, Director Necip Sayiner sold 7,500 shares of Rambus stock in a transaction that occurred on Friday, August 8th. The shares were sold at an average price of $73.53, for a total value of $551,475.00. Following the sale, the director directly owned 38,324 shares in the company, valued at $2,817,963.72. This trade represents a 16.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Emiko Higashi sold 1,075 shares of Rambus stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $77.75, for a total transaction of $83,581.25. Following the completion of the sale, the director owned 62,296 shares in the company, valued at $4,843,514. This trade represents a 1.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 12,686 shares of company stock worth $933,541. Company insiders own 1.00% of the company's stock.

Rambus Stock Performance

Shares of RMBS stock opened at $74.81 on Friday. The company has a market capitalization of $8.05 billion, a P/E ratio of 35.29 and a beta of 1.38. The company's 50 day moving average price is $70.34 and its two-hundred day moving average price is $59.69. Rambus, Inc. has a 52 week low of $37.42 and a 52 week high of $81.89.

Rambus Company Profile

Rambus Inc provides semiconductor products in the United States, South Korea, Singapore, and internationally. The company offers DDR memory interface chips, including DDR5 and DDR4 memory interface chips to module manufacturers, OEMs, and hyperscalers; silicon IP, such as interface and security IP solutions that move and protect data in advanced data center, government, and automotive applications; and interface IP solutions for high-speed memory and chip-to-chip digital controller IP.

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