UPDATE: JP Morgan Upgrades Rambus to Overweight on Valuation

JP Morgan raised its rating on Rambus

from Neutral to Overweight with a reiterated $7 price target. JP Morgan noted, "After falling 46% year-to-date (S&P 500 up 8.1%), we think the stock, trading at trough-level multiples, is now largely de-risked. At $4.00-$4.50 we think investors are limited from further downside by the value of SBG contracted revenue (even without renewals) plus cash on hand, and the break-up value of the LED and CRI new businesses. We believe a potential settlement with Hynix presents near-term upside for short-term investors." Rambus closed at $4.07 on Friday.