SummitTX Capital L.P. Sells 16,698 Shares of Rambus, Inc. $RMBS

Key Points

• SummitTX Capital reduced its Rambus stake by 17.1% in the first quarter, selling 16,698 shares and retaining 80,674 shares valued at approximately $6.94 million. Institutional investors collectively own 88.54% of Rambus.
• Analyst sentiment remains positive, with Rambus receiving a “Moderate Buy” consensus rating and an average price target of $134.75; targets range from $120 to $172.
• Rambus recently exceeded quarterly earnings expectations, reporting $0.63 in EPS versus the $0.61 consensus and $180.19 million in revenue. However, insiders have sold 62,914 shares worth about $9.72 million over the past 90 days.

SummitTX Capital L.P. lowered its holdings in Rambus, Inc. (NASDAQ:RMBS - Free Report) by 17.1% during the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 80,674 shares of the semiconductor company's stock after selling 16,698 shares during the period. SummitTX Capital L.P. owned approximately 0.07% of Rambus worth $6,940,000 at the end of the most recent reporting period.

Other large investors have also recently modified their holdings of the company. Invesco Ltd. raised its stake in Rambus by 70.6% in the fourth quarter. Invesco Ltd. now owns 4,148,653 shares of the semiconductor company's stock valued at $381,220,000 after purchasing an additional 1,716,621 shares in the last quarter. Norges Bank purchased a new position in Rambus in the 4th quarter worth approximately $156,356,000. Bank of America Corp DE increased its holdings in shares of Rambus by 196.0% in the 3rd quarter. Bank of America Corp DE now owns 1,550,665 shares of the semiconductor company's stock worth $161,579,000 after buying an additional 1,026,776 shares during the last quarter. Bessemer Group Inc. increased its holdings in shares of Rambus by 1,009.5% in the 1st quarter. Bessemer Group Inc. now owns 1,039,905 shares of the semiconductor company's stock worth $89,463,000 after buying an additional 946,177 shares during the last quarter. Finally, AQR Capital Management LLC raised its position in shares of Rambus by 192.8% during the 2nd quarter. AQR Capital Management LLC now owns 701,746 shares of the semiconductor company's stock valued at $44,926,000 after buying an additional 462,116 shares in the last quarter. Institutional investors own 88.54% of the company's stock.

Analysts Set New Price Targets

A number of analysts have recently issued reports on the stock. Rosenblatt Securities upped their target price on shares of Rambus from $130.00 to $150.00 and gave the stock a "buy" rating in a research report on Tuesday, April 28th. Weiss Ratings reissued a "hold (c+)" rating on shares of Rambus in a research note on Friday, June 5th. Wells Fargo & Company raised their price target on Rambus from $115.00 to $145.00 and gave the company an "overweight" rating in a research report on Tuesday, April 28th. Robert W. Baird lowered Rambus from an "outperform" rating to a "neutral" rating and set a $120.00 price target for the company. in a research note on Tuesday, April 28th. Finally, Evercore reiterated an "outperform" rating and issued a $172.00 price objective on shares of Rambus in a report on Tuesday, April 28th. Two investment analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $134.75.

Insiders Place Their Bets

In other news, Director Eric B. Stang sold 5,000 shares of Rambus stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $146.00, for a total value of $730,000.00. Following the sale, the director directly owned 19,218 shares in the company, valued at approximately $2,805,828. This trade represents a 20.65% 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 Necip Sayiner sold 5,000 shares of the business's stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $170.15, for a total value of $850,750.00. Following the transaction, the director directly owned 18,223 shares in the company, valued at $3,100,643.45. This trade represents a 21.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 62,914 shares of company stock worth $9,724,775. 0.75% of the stock is currently owned by company insiders.

Rambus Trading Up 0.4%

RMBS stock opened at $96.42 on Tuesday. The stock has a market capitalization of $10.43 billion, a price-to-earnings ratio of 45.91 and a beta of 1.84. The firm's 50-day moving average price is $128.23 and its two-hundred day moving average price is $114.40. Rambus, Inc. has a 12-month low of $63.30 and a 12-month high of $174.10.

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

Rambus Company 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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