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Replies to #7114 on Rambus (RMBS)
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smd1234

01/11/06 10:12 PM

#7116 RE: smkj79 #7114

Show me where ML as a firm, or the guy actually quoted, "follows" Rambus and I'll buy you a Starbucks.

This proclamation was resulting from a quant screen for smaller issues that had risen a lot (%-wise) in 2006 + Rambus was chosen from the list b/c someone at ML's trading desk needed to push down the price so as to minimize the hurt in buying Rambus shares for inventory "replenishment" purposes.

JMHO

smd
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Threejack

01/11/06 10:19 PM

#7118 RE: smkj79 #7114

re: He cautioned against selling all winners, however.


Hey smkj79,

Like I said, my belief is Mr. Pradhuman knows nothing about Rambus fundamentals or he would know Rambus is a long-term winner. He is saying Rambus is up because of the January Effect and an increase in estimated earnings. He says Rambus will decline "the most." Geez, who is he trying to scare?

Whoever owns Rambus shares, that's who.

Merrill and the other brokerage houses can't buy Rambus shares if folks don't sell them their Rambus shares. Read nickel's post again. Float is 90MM shares. Just not enough shares to go around Wall Street. The professionals are desperate to get Rambus shares. Expect more of these messages from the top tier firms, and a blizzard of message board exhorts to sell Rambus.

Will there be a pullback? Sure, at some point. If you have a short-term investment horizon and need the money, you can decide if you want to sell as Mr Pradhuman suggests.

Just my opinion.

Threejack