Rambus Stock Sells With Far More To Come and here is why

Rambus - RMBS stock - a semiconductor & memory chip maker, has fallen recently and there is more selling to come

Rambus - RMBS Stock - 4-Hour Chart

In February, Rambus - RMBS stock - posted its latest financial statements and RMBS stock sold off nearly 24% in about a day’s time. Semiconductor chips have broadly been on fire since Nvidia’s financial release late last year. However, a lot of these stocks are significantly overpriced when you consider what these companies can earn in the upcoming quarters relative to current share price. Given that, RMBS stock is overpriced even after its brief selling, and RMBS stock is likely to drop an additional 50%, if not more - there is just not enough value in store for earnings.

Rambus is still a company with increasing revenue and earnings per share. However, on a relative basis, there are better options. And, when considering the future of the US economy with inflation, likely the entire stock market will see selling. All stocks that have been chased because of future potential will see a return back to more pragmatic levels. Broadly speaking, that means a lot of AI stocks are going to sell, and RMBS stock is at the top of the list.