as you know, i've followed RMBs for years and have made and lost money. probably broke even. but now the stock is dead in my first opinion. if they can't enforce thier royalties, the company is through. it should go to zero.
How do you expect to do a double. Particlarly in a few days.
tia
jhg
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Until last year, Rambus' primary business strategy was licensing its own next-generation PC memory standard, known as RDRAM. However, Rambus sued Hitachi in January, claiming its patents also entitle Rambus to royalties on memory using the rival DDR (double-data rate) standard as well as SDRAM, today's standard memory.
Hitachi and several other memory makers had settled with Rambus, but other large chipmakers, including Infineon and Micron Technology had balked at such a proposal.
Following Friday's ruling, Morgan Stanley analyst Mark Edelstone, a longtime backer of Rambus, cut his rating on the company's shares to "neutral" from "strong buy." Edelstone previously had estimated that Rambus could generate up to $1 billion a year in revenue by 2003 from licensing its technology to memory makers for use in standard memory.
"In our view, if Rambus loses the Infineon case, the stock loses its catalyst," Edelstone wrote in a research note earlier this week. |
