Rambus (NASDAQ:RMBS) Sets New 52-Week Low - Here's Why

Key Points

• Rambus shares hit a new 52-week low, falling from a prior close of $82.90 to a last reported $72.98 during Thursday trading.
• Despite the decline, analysts maintain a consensus “Moderate Buy” rating and an average price target of $147.
• Rambus beat quarterly estimates, reporting earnings of $0.84 per share versus $0.79 expected and revenue of $218.29 million versus $213.21 million forecast.

Shares of Rambus, Inc. (NASDAQ:RMBS - Get Free Report) reached a new 52-week low during mid-day trading on Thursday. The stock traded as low as $75.54 and last traded at $72.9770, with a volume of 157,434 shares trading hands. The stock had previously closed at $82.90.

Wall Street Analyst Weigh In

Several research firms recently issued reports on RMBS. Glj Research set a $165.00 target price on Rambus in a research note on Tuesday, July 28th. UBS Group set a $165.00 target price on Rambus in a report on Tuesday, October 27th. Rosenblatt Securities reaffirmed a "buy" rating and issued a $165.00 target price on shares of Rambus in a research report on Tuesday, October 27th. Evercore reiterated an "outperform" rating and set a $150.00 price target on shares of Rambus in a research note on Tuesday, October 27th. Finally, Benchmark reissued a "buy" rating on shares of Rambus in a research report on Tuesday, July 28th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $147.00.

Rambus Stock Performance

The company's 50-day simple moving average is $93.56 and its 200 day simple moving average is $107.67. The company has a market cap of $7.64 billion, a PE ratio of 29.46 and a beta of 1.93.

Rambus (NASDAQ:RMBS - Get Free Report) last posted its quarterly earnings data on Monday, October 26th. The semiconductor company reported $0.84 earnings per share for the quarter, topping analysts' consensus estimates of $0.79 by $0.05. Rambus had a return on equity of 19.43% and a net margin of 33.40%. The business had revenue of $218.29 million for the quarter, compared to analyst estimates of $213.21 million. Analysts forecast that Rambus, Inc. will post 2.64 EPS for the current year.

Hedge Funds Weigh In On Rambus

Institutional investors and hedge funds have recently made changes to their positions in the stock. Hsbc Holdings PLC boosted its holdings in Rambus by 658.6% in the second quarter. Hsbc Holdings PLC now owns 48,013 shares of the semiconductor company's stock valued at $6,110,000 after purchasing an additional 41,684 shares in the last quarter. Engineers Gate Manager LP purchased a new position in Rambus in the second quarter valued at approximately $4,764,000. State of Wyoming purchased a new position in Rambus in the second quarter valued at approximately $1,825,000. Handelsbanken Fonder AB lifted its position in shares of Rambus by 28.1% during the 2nd quarter. Handelsbanken Fonder AB now owns 150,857 shares of the semiconductor company's stock worth $20,025,000 after buying an additional 33,060 shares during the last quarter. Finally, BlackRock Inc. purchased a new stake in shares of Rambus during the 2nd quarter worth approximately $1,853,645,000. 88.54% of the stock is owned by institutional investors and hedge funds.

About Rambus

Rambus Inc is a semiconductor technology company that develops and licenses intellectual property for memory and data-processing systems. Its technologies are designed to support higher bandwidth, improved performance, reliability and security across data centers, artificial intelligence and high-performance computing platforms, as well as other computing and communications applications.

The company offers memory interface products and intellectual property, including solutions for DDR5 and other advanced memory architectures, high-bandwidth memory, memory modules and associated system components.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.