Insider Selling: Rambus (NASDAQ:RMBS) Director Sells 2,972 Shares of Stock

Key Points

• Meera Rao, a Rambus director, sold 2,972 shares on April 24 at an average price of $150.30 for about $446,692, reducing her stake by 12.95% (she also sold 8,538 shares on April 14).
• Rambus shares plunged 10.1% to $142.43 on heavy volume (2.58M shares) during the trading session following the disclosed insider activity.
• Analysts' consensus target of $105.71 (average rating "Moderate Buy") is well below the current price, indicating analysts see limited upside from present levels.

Rambus, Inc. (NASDAQ:RMBS - Get Free Report) Director Meera Rao sold 2,972 shares of the company's stock in a transaction that occurred on Friday, April 24th. The shares were sold at an average price of $150.30, for a total value of $446,691.60. Following the transaction, the director directly owned 19,974 shares of the company's stock, valued at $3,002,092.20. This trade represents a 12.95% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink.

Meera Rao also recently made the following trade(s):

• On Tuesday, April 14th, Meera Rao sold 8,538 shares of Rambus stock. The shares were sold at an average price of $118.08, for a total value of $1,008,167.04.

Rambus Stock Down 10.1%

Shares of NASDAQ:RMBS traded down $15.98 during trading on Monday, hitting $142.43. 2,578,615 shares of the company traded hands, compared to its average volume of 2,364,697. The stock has a market capitalization of $15.40 billion, a price-to-earnings ratio of 67.53 and a beta of 1.63. The business's fifty day moving average is $101.69 and its 200-day moving average is $100.96. Rambus, Inc. has a one year low of $46.57 and a one year high of $161.80.

Rambus (NASDAQ:RMBS - Get Free Report) last posted its earnings results on Monday, February 2nd. The semiconductor company reported $0.68 EPS for the quarter, meeting the consensus estimate of $0.68. The company had revenue of $190.24 million during the quarter, compared to analyst estimates of $188.21 million. Rambus had a return on equity of 17.69% and a net margin of 32.57%. On average, analysts forecast that Rambus, Inc. will post 2.49 EPS for the current year.

Institutional Investors Weigh In On Rambus

A number of institutional investors and hedge funds have recently modified their holdings of RMBS. NewEdge Advisors LLC lifted its position in shares of Rambus by 22,321.4% during the 1st quarter. NewEdge Advisors LLC now owns 9,417 shares of the semiconductor company's stock valued at $488,000 after acquiring an additional 9,375 shares during the last quarter. Empowered Funds LLC lifted its position in shares of Rambus by 34.1% during the 1st quarter. Empowered Funds LLC now owns 22,750 shares of the semiconductor company's stock valued at $1,178,000 after acquiring an additional 5,783 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in shares of Rambus by 6.6% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 309,512 shares of the semiconductor company's stock valued at $16,025,000 after acquiring an additional 19,120 shares during the last quarter. Acadian Asset Management LLC acquired a new stake in shares of Rambus during the 1st quarter valued at $218,000. Finally, Quantbot Technologies LP acquired a new stake in shares of Rambus during the 2nd quarter valued at $102,000. Institutional investors and hedge funds own 88.54% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on RMBS shares. Zacks Research upgraded Rambus to a "hold" rating in a research report on Monday, January 26th. Weiss Ratings downgraded Rambus from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Tuesday, March 10th. Evercore cut their target price on Rambus from $126.00 to $119.00 and set an "outperform" rating for the company in a research report on Tuesday, February 3rd. Susquehanna cut their target price on Rambus from $100.00 to $90.00 and set a "neutral" rating for the company in a research report on Tuesday, February 3rd. Finally, Rosenblatt Securities restated a "buy" rating and issued a $130.00 target price on shares of Rambus in a research report on Tuesday, February 3rd. Two investment analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $105.71.

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.

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