Rambus Inc. Common Stock (RMBS)

FairStock Score: 48/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable economics bought at a fair price. Rambus sells memory interface chips and silicon IP into a narrow, technically demanding niche. The filed numbers show a growing business: in fiscal year 2025, the year ended 2025-12-31, revenue was $707.6M and net income $230.5M, or $2.11 per diluted share. That compares with fiscal year 2024 revenue of $556.6M and net income of $179.8M, or $1.65 per diluted share. In fiscal Q1 2026, the quarter ended 2026-03-31, revenue was $180.2M and net income $59.9M, versus fiscal Q1 2025 revenue of $166.7M and net income of $60.3M — top-line progress, but not yet profit leverage. The balance sheet is conservative: debt-to-equity is 0.01 and FairStock's Altman Z-Score is 44.91. Cash generation is real: trailing free cash flow was $299.5M, a 2.8% FCF yield at the 2026-10-13 close. But price matters. At $98.17, FairStock's P/E is 45.03, P/B is 7.26, EV/EBITDA is 30.99, and PEG is 2.70. The Graham Number is $25.75, leaving a -281.24% margin of safety. The 48/100 FairStock Score and 2.8% FCF yield tell me expectations are already high. Rambus may be a good niche franchise, but the stock is not priced like a bargain.

In plain English: Rambus makes chips and technology designs that help computer memory and other electronics work faster. The company is profitable and growing, with little debt and strong cash flow. But at the recent price, the stock looks expensive compared with its earnings and accounting value.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · fiscal Q1 2025 10-Q (period ended 2025-03-31) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer