Rambus Inc. [NASDAQ: RMBS] stock went on a downward path that fall over -3.78% on Tuesday, amounting to a one-week price increase of more than 4.60%. The company report on August 3, 2020 that Rambus Reports Second Quarter 2020 Financial Results.
– Excellent quarter, at the high end of expectations for revenue and profit.
– $62.0 million in cash provided by operating activities, the highest quarterly cash generation in over 10 years.
Over the last 12 months, RMBS stock rose by 25.73%. The one-year Rambus Inc. stock forecast points to a potential upside of 13.44. The average equity rating for RMBS stock is currently 2.20, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $1.67 billion, with 112.91 million shares outstanding and 112.14 million shares in the current float. Compared to the average trading volume of 735.15K shares, RMBS stock reached a trading volume of 1456201 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on Rambus Inc. [RMBS]:
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for RMBS shares is $17.33 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on RMBS stock is a recommendation set at 2.20. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Wells Fargo have made an estimate for Rambus Inc. shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on May 15, 2019. While these analysts kept the previous recommendation, Credit Suisse raised their target price to Neutral. The new note on the price target was released on May 29, 2018, representing the official price target for Rambus Inc. stock. Previously, the target price had yet another raise from $16 to $18, while The Benchmark Company kept a Buy rating on RMBS stock. On January 25, 2018, analysts increased their price target for RMBS shares from 16 to 18.
The Average True Range (ATR) for Rambus Inc. is set at 0.50, with the Price to Sales ratio for RMBS stock in the period of the last 12 months amounting to 6.99. The Price to Book ratio for the last quarter was 1.75, with the Price to Cash per share for the same quarter was set at 3.90. Price to Free Cash Flow for RMBS in the course of the last twelve months was 12.96 with Quick ratio for the last quarter at 8.40.
RMBS Stock Performance Analysis:
Rambus Inc. [RMBS] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 4.60. With this latest performance, RMBS shares dropped by -0.79% in over the last four-week period, additionally sinking by -9.26% over the last 6 months – not to mention a rise of 25.73% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for RMBS stock in for the last two-week period is set at 51.11, with the RSI for the last a single of trading hit 53.83, and the three-weeks RSI is set at 51.92 for Rambus Inc. [RMBS]. The present Moving Average for the last 50 days of trading for this stock 15.06, while it was recorded at 14.89 for the last single week of trading, and 13.95 for the last 200 days.
Insight into Rambus Inc. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and Rambus Inc. [RMBS] shares currently have an operating margin of -37.71 and a Gross Margin at +65.34. Rambus Inc.’s Net Margin is presently recorded at -40.36.
Return on Total Capital for RMBS is now -7.17, given the latest momentum, and Return on Invested Capital for the company is -7.70. Return on Equity for this stock declined to -9.12, with Return on Assets sitting at -6.70. When it comes to the capital structure of this company, Rambus Inc. [RMBS] has a Total Debt to Total Equity ratio set at 20.09. Additionally, RMBS Total Debt to Total Capital is recorded at 16.73, with Total Debt to Total Assets ending up at 14.57. Long-Term Debt to Equity for the company is recorded at 19.43, with the Long-Term Debt to Total Capital now at 16.18.
Reflecting on the efficiency of the workforce at the company, Rambus Inc. [RMBS] managed to generate an average of -$131,999 per employee. Receivables Turnover for the company is 0.98 with a Total Asset Turnover recorded at a value of 0.17.Rambus Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 8.40 and a Current Ratio set at 8.50.
RMBS Stock EPS
With the latest financial reports released by the company, Rambus Inc. posted 0.23/share EPS, while the average EPS was predicted by analysts to be reported at 0.23/share. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for RMBS. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Rambus Inc. go to 10.02%.
Rambus Inc. [RMBS] Insider Position Details
There are presently around $1,418 million, or 85.20% of RMBS stock, in the hands of institutional investors. The top three institutional holders of RMBS stocks are: BLACKROCK INC. with ownership of 16,433,543, which is approximately -3.861% of the company’s market cap and around 0.80% of the total institutional ownership; VANGUARD GROUP INC, holding 12,147,621 shares of the stock with an approximate value of $182.21 million in RMBS stocks shares; and DIMENSIONAL FUND ADVISORS LP, currently with $81.64 million in RMBS stock with ownership of nearly -10.616% of the company’s market capitalization.
Positions in Rambus Inc. stocks held by institutional investors increased at the end of August and at the time of the August reporting period, where 90 institutional holders increased their position in Rambus Inc. [NASDAQ:RMBS] by around 8,721,976 shares. Additionally, 93 investors decreased positions by around 9,054,157 shares, while 33 investors held positions by with 76,725,595 shares. The mentioned changes placed institutional holdings at 94,501,728 shares, according to the latest SEC report filing. RMBS stock had 30 new institutional investments in for a total of 4,171,285 shares, while 28 institutional investors sold positions of 606,255 shares during the same period.