RAMBUS INC (RMBS) Stock Fundamental Analysis
USA - NASDAQ:RMBS - US7509171069 - Common Stock
94.45 USD
-3.06 (-3.14%)
94.97 USD
+0.52 (+0.55%)
We assign a fundamental rating of 7 out of 10 to RMBS. RMBS was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. RMBS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. RMBS is growing strongly while it is still valued neutral. This is a good combination! These ratings could make RMBS a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year RMBS was profitable.
RMBS had a positive operating cash flow in the past year.
In multiple years RMBS reported negative net income over the last 5 years.
Each year in the past 5 years RMBS had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 15.61%, RMBS belongs to the top of the industry, outperforming 90.18% of the companies in the same industry.
The Return On Equity of RMBS (18.66%) is better than 84.82% of its industry peers.
RMBS has a better Return On Invested Capital (15.43%) than 87.50% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RMBS is in line with the industry average of 10.98%.
The last Return On Invested Capital (15.43%) for RMBS is above the 3 year average (9.26%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.61% | ||
| ROE | 18.66% | ||
| ROIC | 15.43% |
ROA(3y)12.84%
ROA(5y)7.35%
ROE(3y)15.46%
ROE(5y)8.81%
ROIC(3y)9.26%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 35.49%, RMBS belongs to the best of the industry, outperforming 94.64% of the companies in the same industry.
RMBS's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 37.10%, RMBS belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
RMBS's Operating Margin has improved in the last couple of years.
RMBS has a Gross Margin of 80.29%. This is amongst the best in the industry. RMBS outperforms 97.32% of its industry peers.
In the last couple of years the Gross Margin of RMBS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.1% | ||
| PM (TTM) | 35.49% | ||
| GM | 80.29% |
OM growth 3Y64.05%
OM growth 5YN/A
PM growth 3Y79.62%
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.71%
2. Health
2.1 Basic Checks
RMBS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for RMBS has been reduced compared to 1 year ago.
The number of shares outstanding for RMBS has been reduced compared to 5 years ago.
There is no outstanding debt for RMBS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
RMBS has an Altman-Z score of 27.77. This indicates that RMBS is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 27.77, RMBS belongs to the top of the industry, outperforming 91.96% of the companies in the same industry.
There is no outstanding debt for RMBS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 27.77 |
ROIC/WACC1.33
WACC11.58%
2.3 Liquidity
RMBS has a Current Ratio of 10.85. This indicates that RMBS is financially healthy and has no problem in meeting its short term obligations.
RMBS's Current ratio of 10.85 is amongst the best of the industry. RMBS outperforms 95.54% of its industry peers.
A Quick Ratio of 10.32 indicates that RMBS has no problem at all paying its short term obligations.
The Quick ratio of RMBS (10.32) is better than 96.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 10.85 | ||
| Quick Ratio | 10.32 |
3. Growth
3.1 Past
RMBS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 41.42%, which is quite impressive.
The Earnings Per Share has been growing by 14.14% on average over the past years. This is quite good.
The Revenue has grown by 35.17% in the past year. This is a very strong growth!
The Revenue has been growing by 19.59% on average over the past years. This is quite good.
EPS 1Y (TTM)41.42%
EPS 3Y10.73%
EPS 5Y14.14%
EPS Q2Q%57.14%
Revenue 1Y (TTM)35.17%
Revenue growth 3Y19.24%
Revenue growth 5Y19.59%
Sales Q2Q%30.33%
3.2 Future
The Earnings Per Share is expected to grow by 21.01% on average over the next years. This is a very strong growth
RMBS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.86% yearly.
EPS Next Y36.82%
EPS Next 2Y26.65%
EPS Next 3Y24.24%
EPS Next 5Y21.01%
Revenue Next Year23.46%
Revenue Next 2Y18.62%
Revenue Next 3Y17.2%
Revenue Next 5Y9.86%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 39.52, RMBS can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of RMBS indicates a somewhat cheap valuation: RMBS is cheaper than 63.39% of the companies listed in the same industry.
RMBS's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.77.
The Price/Forward Earnings ratio is 31.66, which means the current valuation is very expensive for RMBS.
RMBS's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.23. RMBS is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.52 | ||
| Fwd PE | 31.66 |
4.2 Price Multiples
63.39% of the companies in the same industry are more expensive than RMBS, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, RMBS is valued a bit cheaper than 73.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.77 | ||
| EV/EBITDA | 33.47 |
4.3 Compensation for Growth
RMBS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
RMBS has an outstanding profitability rating, which may justify a higher PE ratio.
RMBS's earnings are expected to grow with 24.24% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.07
PEG (5Y)2.79
EPS Next 2Y26.65%
EPS Next 3Y24.24%
5. Dividend
5.1 Amount
No dividends for RMBS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
94.45
-3.06 (-3.14%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners93.35%
Inst Owner Change-1.34%
Ins Owners0.73%
Ins Owner Change-2.06%
Market Cap10.16B
Revenue(TTM)645.49M
Net Income(TTM)229.10M
Analysts82.5
Price Target95.35 (0.95%)
Short Float %4.39%
Short Ratio2.43
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.03%
Min EPS beat(2)10.74%
Max EPS beat(2)13.32%
EPS beat(4)2
Avg EPS beat(4)4.12%
Min EPS beat(4)-4.79%
Max EPS beat(4)13.32%
EPS beat(8)4
Avg EPS beat(8)-0.3%
EPS beat(12)7
Avg EPS beat(12)0.87%
EPS beat(16)9
Avg EPS beat(16)-3.23%
Revenue beat(2)2
Avg Revenue beat(2)0.37%
Min Revenue beat(2)0.33%
Max Revenue beat(2)0.41%
Revenue beat(4)2
Avg Revenue beat(4)-0.69%
Min Revenue beat(4)-3.17%
Max Revenue beat(4)0.41%
Revenue beat(8)2
Avg Revenue beat(8)-4.95%
Revenue beat(12)2
Avg Revenue beat(12)-9.74%
Revenue beat(16)2
Avg Revenue beat(16)-13.13%
PT rev (1m)18.11%
PT rev (3m)28.19%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.68%
EPS NY rev (1m)0.69%
EPS NY rev (3m)0.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.63%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.52 | ||
| Fwd PE | 31.66 | ||
| P/S | 15.74 | ||
| P/FCF | 38.77 | ||
| P/OCF | 34.7 | ||
| P/B | 8.28 | ||
| P/tB | 10.96 | ||
| EV/EBITDA | 33.47 |
EPS(TTM)2.39
EY2.53%
EPS(NY)2.98
Fwd EY3.16%
FCF(TTM)2.44
FCFY2.58%
OCF(TTM)2.72
OCFY2.88%
SpS6
BVpS11.41
TBVpS8.62
PEG (NY)1.07
PEG (5Y)2.79
Graham Number24.77
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.61% | ||
| ROE | 18.66% | ||
| ROCE | 17.16% | ||
| ROIC | 15.43% | ||
| ROICexc | 26.88% | ||
| ROICexgc | 43.03% | ||
| OM | 37.1% | ||
| PM (TTM) | 35.49% | ||
| GM | 80.29% | ||
| FCFM | 40.6% |
ROA(3y)12.84%
ROA(5y)7.35%
ROE(3y)15.46%
ROE(5y)8.81%
ROIC(3y)9.26%
ROIC(5y)N/A
ROICexc(3y)14.69%
ROICexc(5y)N/A
ROICexgc(3y)27.93%
ROICexgc(5y)N/A
ROCE(3y)10.3%
ROCE(5y)N/A
ROICexgc growth 3Y30.89%
ROICexgc growth 5YN/A
ROICexc growth 3Y66.38%
ROICexc growth 5YN/A
OM growth 3Y64.05%
OM growth 5YN/A
PM growth 3Y79.62%
PM growth 5YN/A
GM growth 3Y0.7%
GM growth 5Y0.71%
F-Score8
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 74.98% | ||
| Cap/Sales | 4.76% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 104.4% | ||
| Profit Quality | 114.4% | ||
| Current Ratio | 10.85 | ||
| Quick Ratio | 10.32 | ||
| Altman-Z | 27.77 |
F-Score8
WACC11.58%
ROIC/WACC1.33
Cap/Depr(3y)54.47%
Cap/Depr(5y)51.24%
Cap/Sales(3y)5.02%
Cap/Sales(5y)6.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)41.42%
EPS 3Y10.73%
EPS 5Y14.14%
EPS Q2Q%57.14%
EPS Next Y36.82%
EPS Next 2Y26.65%
EPS Next 3Y24.24%
EPS Next 5Y21.01%
Revenue 1Y (TTM)35.17%
Revenue growth 3Y19.24%
Revenue growth 5Y19.59%
Sales Q2Q%30.33%
Revenue Next Year23.46%
Revenue Next 2Y18.62%
Revenue Next 3Y17.2%
Revenue Next 5Y9.86%
EBIT growth 1Y78.21%
EBIT growth 3Y95.61%
EBIT growth 5YN/A
EBIT Next Year34.84%
EBIT Next 3Y21.47%
EBIT Next 5YN/A
FCF growth 1Y34.41%
FCF growth 3Y0.76%
FCF growth 5Y10.38%
OCF growth 1Y32.74%
OCF growth 3Y3.3%
OCF growth 5Y12.41%