RMBS Relative Valuation
RMBS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, RMBS is overvalued; if below, it's undervalued.
Historical Valuation
Rambus Inc (RMBS) is now in the Overvalued zone, suggesting that its current forward PE ratio of 34.90 is considered Overvalued compared with the five-year average of 22.72. The fair price of Rambus Inc (RMBS) is between 56.47 to 87.74 according to relative valuation methord. Compared to the current price of 98.81 USD , Rambus Inc is Overvalued By 12.61%.
Relative Value
Fair Zone
56.47-87.74
Current Price：98.81
12.61%
Overvalued
34.90
PE
1Y
3Y
5Y
Trailing
Forward
24.83
EV/EBITDA
Rambus Inc. (RMBS) has a current EV/EBITDA of 24.83. The 5-year average EV/EBITDA is 14.58. The thresholds are as follows: Strongly Undervalued below 3.92, Undervalued between 3.92 and 9.25, Fairly Valued between 19.91 and 9.25, Overvalued between 19.91 and 25.24, and Strongly Overvalued above 25.24. The current Forward EV/EBITDA of 24.83 falls within the Overvalued range.
27.28
EV/EBIT
Rambus Inc. (RMBS) has a current EV/EBIT of 27.28. The 5-year average EV/EBIT is 16.44. The thresholds are as follows: Strongly Undervalued below 4.65, Undervalued between 4.65 and 10.54, Fairly Valued between 22.33 and 10.54, Overvalued between 22.33 and 28.22, and Strongly Overvalued above 28.22. The current Forward EV/EBIT of 27.28 falls within the Overvalued range.
13.47
PS
Rambus Inc. (RMBS) has a current PS of 13.47. The 5-year average PS is 8.01. The thresholds are as follows: Strongly Undervalued below 2.50, Undervalued between 2.50 and 5.26, Fairly Valued between 10.76 and 5.26, Overvalued between 10.76 and 13.52, and Strongly Overvalued above 13.52. The current Forward PS of 13.47 falls within the Overvalued range.
32.71
P/OCF
Rambus Inc. (RMBS) has a current P/OCF of 32.71. The 5-year average P/OCF is 19.34. The thresholds are as follows: Strongly Undervalued below 6.65, Undervalued between 6.65 and 12.99, Fairly Valued between 25.68 and 12.99, Overvalued between 25.68 and 32.02, and Strongly Overvalued above 32.02. The current Forward P/OCF of 32.71 falls within the Strongly Overvalued range.
37.08
P/FCF
Rambus Inc. (RMBS) has a current P/FCF of 37.08. The 5-year average P/FCF is 23.05. The thresholds are as follows: Strongly Undervalued below 8.24, Undervalued between 8.24 and 15.65, Fairly Valued between 30.46 and 15.65, Overvalued between 30.46 and 37.86, and Strongly Overvalued above 37.86. The current Forward P/FCF of 37.08 falls within the Overvalued range.
Rambus Inc (RMBS) has a current Price-to-Book (P/B) ratio of 8.26. Compared to its 3-year average P/B ratio of 6.29 , the current P/B ratio is approximately 31.30% higher. Relative to its 5-year average P/B ratio of 5.04, the current P/B ratio is about 63.83% higher. Rambus Inc (RMBS) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 3.30%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 4.69% , the current FCF yield is about -100.00% lower.
8.26
P/B
Median3y
6.29
Median5y
5.04
2.77
FCF Yield
Median3y
3.30
Median5y
4.69
Competitors Valuation Multiple
The average P/S ratio for RMBS's competitors is , providing a benchmark for relative valuation. Rambus Inc Corp (RMBS) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of 22.68%, this premium appears sustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of RMBS increased by 86.93% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 25.67 to 47.02.
The secondary factor is the Revenue Growth, contributed 22.68%to the performance.
Overall, the performance of RMBS in the past 1 year is driven by P/E Change. Which is more unsustainable.
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