Jim Cramer reiterated his bullish stance on Rambus Inc. (RMBX), arguing the semiconductor company’s valuation remains reasonable relative to its long-term growth prospects, despite recent market volatility.
- Rambus Inc. (RMBX) has a forward P/E ratio of ~18x, considered low for a growth-stage semiconductor firm.
- Fiscal 2026 revenue projections indicate a 14% year-over-year growth rate.
- Q4 earnings per share reached $0.97, exceeding estimates by 12%.
- Net income increased 21% year-over-year during the latest reporting period.
- Rambus is positioned in high-growth areas including AI chips and high-bandwidth memory.
Jim Cramer, host of CNBC's 'Mad Money,' spotlighted Rambus Inc. (RMBX) as a compelling opportunity in the current market environment. Speaking during a recent segment, he emphasized that Rambus’ stock price does not reflect its underlying potential, particularly given its strong position in memory interface technology and expanding presence in AI-driven data infrastructure. Cramer pointed to Rambus' forward price-to-earnings ratio of approximately 18x, which he described as modest for a company generating double-digit revenue growth. Revenue projections for fiscal year 2026 suggest a 14% year-over-year increase, driven by demand in high-bandwidth memory solutions used in next-generation GPUs and cloud computing platforms. The company’s recent quarter reported earnings per share of $0.97, surpassing Wall Street estimates by 12%, while net income rose 21% compared to the same period last year. These results underscore management’s ability to scale operations efficiently amid rising competition in the semiconductor sector. Investors with exposure to semiconductor ETFs or growth-oriented portfolios may find Rambus particularly attractive due to its low valuation multiple and strategic positioning in emerging tech verticals. The stock has traded within a narrow range over the past six months, suggesting limited short-term momentum but potential for upside if macroeconomic conditions stabilize and capex spending accelerates in the tech sector.