Rambus Inc (NASDAQ:RMBS), a premier silicon IP and chip provider making data faster and safer, recently saw a significant insider sell by its President and CEO, Luc Seraphin. According to a recent SEC Filing, the insider sold 15,000 shares of the company on March 5, 2024.
Over the past year, Luc Seraphin has been active in the market with regards to the company's shares. The insider has sold a total of 132,056 shares and has not made any purchases. This latest transaction continues the trend of insider selling at Rambus Inc, with a total of 23 insider sells and no insider buys occurring over the past year.
On the day of the sell, Rambus Inc shares were trading at $62.17, valuing the company at a market cap of $6.829 billion. The company's price-earnings ratio stands at 21.10, which is below both the industry median of 29.74 and the company's historical median price-earnings ratio.
Despite the lower price-earnings ratio, Rambus Inc's stock appears to be significantly overvalued when considering the GuruFocus Value. With a share price of $62.17 and a GuruFocus Value of $45.51, the price-to-GF-Value ratio is 1.37, indicating that the stock is trading at a premium according to this valuation measure.
The GF Value is determined by historical trading multiples, a GuruFocus adjustment factor based on past returns and growth, and future business performance estimates provided by Morningstar analysts.
The insider trend image above reflects the recent selling activity by insiders at Rambus Inc, which may be of interest to investors monitoring insider behaviors.
The GF Value image provides a visual representation of the stock's valuation relative to its intrinsic value estimate, as calculated by GuruFocus.
Investors and analysts often pay close attention to insider transactions as they can provide insights into the insider's view of the company's current valuation and future prospects. The consistent selling by the insider at Rambus Inc could be a point of consideration for those evaluating the company's stock.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
