What could drive the final nail into the coffin of RMBS? “Antitrust Verdict Boosts Shares for Hynix, Micron.” Fellow investors -Take out your calculators. Do the calculations. Think hard! During Wednesday’s trading RMBS dropped down to $4.00 per share. Yes, $4.00 per share! So, where will the stock of Rambus go when the market opens? Will it break below $4.00, and if so, how much lower can it drop? Could RMBS go below $1.00/ share?
My advice to longs is only hold if the stock price holds because it will become a falling knife if it keeps falling as I can't see any immediate good news ahead to sustain the current price long term. Even if you want to stay long buy puts to cover yourself. Good luck.