Rambus Inc.

NasdaqGS:RMBS Stock Report

Market Cap: US$11.1b

Rambus Valuation

Is RMBS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of RMBS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: RMBS ($102.64) is trading above our estimate of future cash flow value ($69.11)

Significantly Below Future Cash Flow Value: RMBS is trading above our estimate of future cash flow value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for RMBS?

Key metric: As RMBS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for RMBS. This is calculated by dividing RMBS's market cap by their current earnings.
What is RMBS's PE Ratio?
PE Ratio48x
EarningsUS$230.46m
Market CapUS$11.06b

Price to Earnings Ratio vs Peers

How does RMBS's PE Ratio compare to its peers?

The above table shows the PE ratio for RMBS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average54.7x
MTSI MACOM Technology Solutions Holdings
112.7x30.98%US$18.3b
TSEM Tower Semiconductor
65.6x35.74%US$14.5b
QRVO Qorvo
22.4x13.01%US$7.6b
CRUS Cirrus Logic
18x-2.10%US$7.3b
RMBS Rambus
48x20.38%US$11.1b

Price-To-Earnings vs Peers: RMBS is good value based on its Price-To-Earnings Ratio (48x) compared to the peer average (54.7x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does RMBS's PE Ratio compare vs other companies in the US Semiconductor Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
CHJI China Changjiang Mining & New Energy Company
0.3xn/aUS$19.39k
No more companies available in this PE range
RMBS 48.0xIndustry Avg. 43.0xNo. of Companies6PE020406080100+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RMBS is expensive based on its Price-To-Earnings Ratio (48x) compared to the US Semiconductor industry average (43x).

Price to Earnings Ratio vs Fair Ratio

What is RMBS's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

RMBS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio48x
Fair PE Ratio42.2x

Price-To-Earnings vs Fair Ratio: RMBS is expensive based on its Price-To-Earnings Ratio (48x) compared to the estimated Fair Price-To-Earnings Ratio (42.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst RMBS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$102.64
US$118.88
+15.82%
10.24%US$132.00US$90.00n/a8
Feb ’27US$113.83
US$120.00
+5.42%
7.23%US$130.00US$100.00n/a8
Jan ’27US$91.89
US$120.00
+30.59%
7.23%US$130.00US$100.00n/a8
Dec ’26US$94.19
US$120.00
+27.40%
7.23%US$130.00US$100.00n/a8
Nov ’26US$102.84
US$115.88
+12.68%
10.96%US$130.00US$91.00n/a8
Oct ’26US$103.14
US$100.38
-2.68%
22.77%US$130.00US$73.00n/a8
Sep ’26US$73.77
US$81.88
+10.99%
8.56%US$91.00US$73.00n/a8
Aug ’26US$72.41
US$78.25
+8.07%
11.06%US$90.00US$62.00n/a8
Jul ’26US$64.14
US$72.92
+13.69%
10.22%US$90.00US$62.00n/a9
Jun ’26US$53.47
US$73.13
+36.76%
10.78%US$90.00US$62.00n/a8
May ’26US$48.88
US$74.71
+52.85%
9.54%US$90.00US$69.00n/a7
Apr ’26US$52.29
US$76.43
+46.16%
12.17%US$92.00US$69.00n/a7
Mar ’26US$55.89
US$73.13
+30.84%
16.87%US$92.00US$50.00n/a8
Feb ’26US$61.62
US$68.29
+10.82%
20.03%US$90.00US$50.00US$113.837
Jan ’26US$52.86
US$68.29
+29.18%
20.03%US$90.00US$50.00US$91.897
Dec ’25US$57.81
US$68.29
+18.12%
20.03%US$90.00US$50.00US$94.197
Nov ’25US$47.95
US$64.00
+33.47%
20.99%US$85.00US$50.00US$102.844
Oct ’25US$40.13
US$66.50
+65.71%
18.68%US$85.00US$50.00US$103.144
Sep ’25US$44.72
US$69.25
+54.85%
13.41%US$85.00US$61.00US$73.774
Aug ’25US$44.88
US$69.25
+54.30%
13.41%US$85.00US$61.00US$72.414
Jul ’25US$58.00
US$76.20
+31.38%
11.57%US$85.00US$61.00US$64.145
Jun ’25US$55.26
US$76.20
+37.89%
11.57%US$85.00US$61.00US$53.475
May ’25US$52.75
US$77.93
+47.74%
8.77%US$85.00US$65.00US$48.886
Apr ’25US$62.23
US$76.96
+23.67%
8.65%US$85.00US$65.00US$52.297
Mar ’25US$64.49
US$76.96
+19.33%
8.65%US$85.00US$65.00US$55.897
Feb ’25US$68.15
US$77.81
+14.18%
12.07%US$92.00US$65.00US$61.627
US$118.88
Fair Value
13.7% undervalued intrinsic discount
8
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/02/23 07:33
End of Day Share Price 2026/02/20 00:00
Earnings2025/12/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Rambus Inc. is covered by 18 analysts. 9 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Brett SimpsonArete Research Services LLP
James FontanelliArete Research Services LLP
Tristan GerraBaird