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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (16327)	2/22/1999 12:27:00 PM
From: Gary Wisdom	Respond to of 93625

Before everyone gets TOO giddy, keep in mind the 50 dma is still above $88. Of course, that could be reached tomorrow at this pace. However, until that's broken to the upside, nothing is set in stone. However, I am VERY happy with Rambus today. It's sure a weird stock but a goodie. <ggg>

To: Zeev Hed who wrote (16327)	2/22/1999 12:50:00 PM
From: Allen champ	Read Replies (1) \| Respond to of 93625

From wallstreetcity.com Stocks in Focus Feb 22 1999 10:21AM CST Archives... Rambus - Get In For The Long Run by Blair G. Jeffery Senior Investments Analyst Rambus Incorporated {RMBS} has seen its share of bad days in the market recently as the high speed processor chip manufacturer concern's stocks has slacked from the $109 high on the 11th of January to Fridays' close of $71, the lowest point for the stock in over four months. As one of the stocks taking the brunt of the most recent tech shunning, Rambus officials say that the stock has been the victim of slower than expected quarters and concerns over the initial ramp in direct RDRAMs for this year. Warburg Dillon analyst Greg Mischou commented on that very subject this morning in a note to clients. "I believe that Intel remains firmly committed to driving Rambus to become the next PC main memory standard, which I feel will be reiterated at next week's Intel Develop Forum." If the aforementioned prediction happens, it could mean that concerns over the ramping of the new DRAM chips may have been a little hasty. Obviously, such a happening would bring the Rambus stock roaring back from the grave. Mr. Mischou despite the admonition of the oversold condition warns that the actual big drive in chip growth may not happen until the 2000 year. "Although DRAMs may be somewhat supply constrained during the 2nd half of 1999, I feel that the mass market adoption will occur in 2000, creating explosive EPS potential." If Intel {INTC} can help boost investors and customer sentiment even higher for the DRAM chips, the stock will surely follow. Mr. Mischou is a firm believer that just this scenario will happen and he says that the weakened condition of the stock creates a tremendous opportunity to "participate fully in a truly unique story." The stock has taken notice today, gapping up from the $71 Friday close to add 7 1/8 currently to 78 1/8. Rambus Incorporated {RMBS: NNM} designs, develops, licenses, and markets high speed chip to chip interface technology to enhance the performance and cost-effectiveness of computers, consumer electronics and other electronic systems. To email feedback on this article or any other, simply click the underlined name of the author at the top of the article. Also, be sure to list the title of the article in the subject line of your email. Disclaimer: Trading involves risk, including possible loss of principal and other losses. Your trading results may vary. No representations are being made that these techniques will result in or guarantee profits in trading. Past performance is no indication of future results.

To: Zeev Hed who wrote (16327)	2/22/1999 12:51:00 PM
From: Dave B	Respond to of 93625

Zeev, But if the royalty ranges from 1-2.5% we're not talking about a large $ range. The larger factor that will keep the small DRAM mfr. less competitive will be the volume (cost curve). So the big mfr. doesn't get any technology benefit from their royalty payment. In some sense, the big guys are subsidizing the little guys' development efforts. Plus, I believe they've said the sliding scale royalty is based on the upfront licensing fee (bigger fee=smaller royalty). So some small mfr. who really believed in RMBS and bought in big might actually have a lower royalty rate than a large mfr. who wasn't sure whether this was going to take off or not and didn't pay much up front. Personally, I don't think they should be complaining. But everyone needs something to complain about <g>. Dave