Rambus (NASDAQ:RMBS) Shares Down 5.6% - What's Next?

Key Points

• Rambus Inc. shares dropped by 5.6% to $101.40, with trading volume declining by 26% from the average.
• Analysts have generally upgraded their price targets for Rambus, with expectations ranging from $75.00 to $130.00, indicating a bullish outlook.
• Insiders, including the Director and CFO, have sold significant shares recently, reducing their stakes in the company.

Rambus, Inc. (NASDAQ:RMBS - Get Free Report)'s share price traded down 5.6% during mid-day trading on Friday . The company traded as low as $102.13 and last traded at $101.40. 860,751 shares traded hands during trading, a decline of 26% from the average session volume of 1,165,034 shares. The stock had previously closed at $107.38.

Analysts Set New Price Targets

A number of research analysts have issued reports on the stock. Evercore ISI upped their target price on shares of Rambus from $81.00 to $114.00 and gave the company an "outperform" rating in a research report on Tuesday, September 16th. Arete Research upgraded shares of Rambus to a "strong-buy" rating in a research report on Thursday, August 28th. Susquehanna upped their target price on shares of Rambus from $70.00 to $75.00 and gave the company a "positive" rating in a research report on Tuesday, July 29th. Jefferies Financial Group upped their target price on shares of Rambus from $69.00 to $75.00 and gave the company a "buy" rating in a research report on Tuesday, July 29th. Finally, Rosenblatt Securities upped their target price on shares of Rambus from $90.00 to $130.00 and gave the company a "buy" rating in a research report on Wednesday, September 17th. Two equities research analysts have rated the stock with a Strong Buy rating and eight have assigned a Buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Buy" and an average target price of $93.50.

Rambus Stock Performance

The firm has a market capitalization of $11.50 billion, a price-to-earnings ratio of 53.03 and a beta of 1.38. The business's 50-day moving average is $76.23 and its two-hundred day moving average is $62.33.

Insider Activity

In other Rambus news, Director Meera Rao sold 3,000 shares of the firm's stock in a transaction that occurred on Tuesday, September 2nd. The shares were sold at an average price of $71.72, for a total transaction of $215,160.00. Following the sale, the director directly owned 29,914 shares in the company, valued at approximately $2,145,432.08. This trade represents a 9.11% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Emiko Higashi sold 1,075 shares of the firm's stock in a transaction that occurred on Wednesday, August 13th. The stock was sold at an average price of $77.75, for a total transaction of $83,581.25. Following 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. Over the last 90 days, insiders have sold 29,260 shares of company stock valued at $2,407,852. Insiders own 1.00% of the company's stock.

Institutional Trading of Rambus

Several hedge funds have recently bought and sold shares of RMBS. Banque Cantonale Vaudoise acquired a new stake in Rambus during the 1st quarter worth approximately $25,000. Tsfg LLC acquired a new stake in Rambus during the 1st quarter worth approximately $26,000. True Wealth Design LLC raised its holdings in Rambus by 162.5% during the 2nd quarter. True Wealth Design LLC now owns 420 shares of the semiconductor company's stock worth $27,000 after buying an additional 260 shares during the period. Bessemer Group Inc. grew its stake in shares of Rambus by 105.8% during the 2nd quarter. Bessemer Group Inc. now owns 463 shares of the semiconductor company's stock worth $30,000 after acquiring an additional 238 shares in the last quarter. Finally, Hantz Financial Services Inc. grew its stake in shares of Rambus by 1,386.0% during the 2nd quarter. Hantz Financial Services Inc. now owns 639 shares of the semiconductor company's stock worth $41,000 after acquiring an additional 596 shares in the last quarter. 88.54% of the stock is currently owned by institutional investors and hedge funds.

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.