Science & Technology
Science and Technology
Science and Technology
Wed, August 18, 2010
Tue, August 17, 2010 
CHICAGO--([ BUSINESS WIRE ])--Zacks.com Analyst Blog features: Rambus Inc. (Nasdaq: [ RMBS ]), NVIDIA Corp. (Nasdaq: [ NVDA ]), Micron Technology Inc. (NYSE: [ MU ]), Nelnet Inc. (NYSE: [ NNI ]) and SLM Corporation (NYSE: [ SLM ]).
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: [ http://at.zacks.com/?id=4579 ]
Here are highlights from Mondaya™s Analyst Blog:
Rambus, NVIDIA Make a Deal
Technology licensing company Rambus Inc. (Nasdaq: [ RMBS ]) announced that it had inked a patent licensing deal with the leading graphics chip company, NVIDIA Corp. (Nasdaq: [ NVDA ]). As per the deal, NVIDIA will pay a royalty to Rambus for certain memory controller patents.
Despite a long-standing legal battle between the two companies related to patent infringements, the deal indicates a situation in favor of Rambus.
Rambusa™ second quarter 2010 results were disappointing, with the loss per share of 19 cents (excluding gains from Samsung and cost of restatement and related legal activities, but including stock-based compensation expense) missing the Zacks Consensus Estimate.
Revenues were up 44% from the year-earlier period, but down 76% from the prior quarter. The significant sequential decline was due to the huge amount ($95.9 million) received as compensation for the settlement of a dispute with Samsung Electronics in the first quarter of 2010.
We believe that strong cash generation capabilities and diversification in the $100 billion LED market are positives for Rambus. However, a disappointing guidance for the third quarter, competitive pressure from Samsung Electronics and pending lawsuits against Hynix and Micron Technology Inc. (NYSE: [ MU ]) are reasons of concern.
Nelnet Offers $55M to Settle Case
Nelnet Inc. (NYSE: [ NNI ]) agreed to pay $55 million as part of its efforts to settle a lawsuit filed by Jon H. Oberg, the former Department of Education researcher, on behalf of the federal government. It was alleged the company, along with some other organizations such as SLM Corporation (NYSE: [ SLM ]), of receiving improper subsidies from the government.
Nelnet would pay this amount with its existing cash and this would be reflected in the companya™s third quarter 2010 results. While Nelnet didna™t admit any wrong doing, the company said it was alleged to have received about $407 million in improper 9.5% special allowance payments.
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: [ http://at.zacks.com/?id=5514 ].
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: [ http://at.zacks.com/?id=5516 ]
About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at [ http://at.zacks.com/?id=4580 ].
Visit [ http://www.zacks.com/performance ] for information about the performance numbers displayed in this press release.
Follow us on Twitter: [ http://twitter.com/zacksresearch ]
Join us on Facebook: [ http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts ]
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
