Quick Read – Rambus (RMBS) posted Q1 FY26 revenue of $180.19M with product revenue up 15% YoY on AI infrastructure demand, but royalties declined to $69.64M from $74M, causing non-GAAP operating margin to compress from 46% to 42% despite the stock’s 166% one-year rally. – Rambus…
ades at a forward P/E near 70 with valuation stretched ahead of fundamentals, prompting a sell rating and 24/7 Wall St. price target of $118.67 (18% downside), though the bull case hinges on royalty reacceleration and margin expansion driven by HBM4E and SOCAMM2 adoption. – Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Rambus didn’t make the cut. Grab the names FREE today
Our Rambus (NASDAQ:RMBS) call is a tough one to make, because this stock has been a runaway winner. After a 166.41% one-year rally, the 24/7 Wall St. price target points to meaningful downside over the next 12 months. Memory interface chips remain a core AI infrastructure play, but valuation has stretched ahead of fundamentals.
The 24/7 Wall St. Price Target for Rambus Is $118.67 Our 24/7 Wall St. price target for Rambus is $118.67, implying roughly 18% downside from current levels. The model returns a sell with high confidence, driven by an implied forward P/E of 64 and a stock that now sits just 10% below its 52-week high.