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What: Shares of technology company Rambus
So what: Shares fell on Friday because of a disappointing earnings report. One of the few analysts that follows the company decided to pile on today. BWS Financial downgraded the stock from buy to hold due to weaker than expected royalty rates and lower than expected earnings.
Now what: This is piling on to a bad year for Rambus, which was down 80% today from its 52-week high. Analysts have been furiously lowering expectations and are now expecting a loss for both fiscal 2012 and 2013. I really don't see a reason to buy shares today given that the company seems to be doing nothing but disappointing investors right now with poor financial performance. Until Rambus can prove that it can increase revenues I'm staying off this bandwagon.
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