Lam Research (NASDAQ:LRCX) Stock Price Up 5.3% – Still a Buy?

Lam Research Corporation (NASDAQ:LRCX)’s stock price traded up 5.3% during mid-day trading on Monday . The stock traded as high as $409.75 and last traded at $409.54. 14,099,959 shares traded hands during trading, an increase of 28% from the average session volume of 11,031,479 shares. The stock had previously closed at $389.04.

Analyst Upgrades and Downgrades

Several brokerages have commented on LRCX. JPMorgan Chase & Co. increased their price target on shares of Lam Research from $300.00 to $315.00 and gave the company an “overweight” rating in a research note on Thursday, April 23rd. Zacks Research downgraded shares of Lam Research from a “strong-buy” rating to a “hold” rating in a research report on Monday, April 6th. Cantor Fitzgerald set a $425.00 target price on shares of Lam Research and gave the company an “overweight” rating in a report on Wednesday, June 10th. The Goldman Sachs Group reaffirmed a “buy” rating and issued a $290.00 target price on shares of Lam Research in a research report on Thursday, April 23rd. Finally, BNP Paribas Exane boosted their price target on shares of Lam Research from $250.00 to $260.00 and gave the company a “neutral” rating in a research report on Thursday, April 23rd. Twenty-eight research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $329.59.

Lam Research Trading Up 5.3%

The company has a debt-to-equity ratio of 0.35, a quick ratio of 1.77 and a current ratio of 2.54. The stock has a market capitalization of $512.16 billion, a PE ratio of 77.27, a price-to-earnings-growth ratio of 3.21 and a beta of 1.85. The business’s 50-day moving average is $301.75 and its two-hundred day moving average is $242.18.

Lam Research (NASDAQ:LRCX) last released its earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 EPS for the quarter, topping the consensus estimate of $1.36 by $0.11. The company had revenue of $5.84 billion during the quarter, compared to analysts’ expectations of $5.70 billion. Lam Research had a net margin of 30.94% and a return on equity of 66.21%. The business’s revenue was up 23.8% on a year-over-year basis. During the same quarter last year, the business earned $1.04 EPS. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. As a group, equities research analysts anticipate that Lam Research Corporation will post 5.7 earnings per share for the current year.

Lam Research Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 8th. Shareholders of record on Wednesday, June 17th will be issued a $0.26 dividend. This represents a $1.04 dividend on an annualized basis and a yield of 0.3%. The ex-dividend date of this dividend is Wednesday, June 17th. Lam Research’s payout ratio is currently 19.62%.

Insiders Place Their Bets

In other Lam Research news, insider Ava Harter sold 6,010 shares of the stock in a transaction on Monday, April 27th. The stock was sold at an average price of $258.66, for a total value of $1,554,546.60. Following the completion of the transaction, the insider owned 53,205 shares in the company, valued at approximately $13,762,005.30. This represents a 10.15% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, SVP Neil J. Fernandes sold 18,170 shares of the business’s stock in a transaction on Friday, May 1st. The stock was sold at an average price of $255.14, for a total transaction of $4,635,893.80. Following the sale, the senior vice president owned 66,129 shares in the company, valued at $16,872,153.06. The trade was a 21.55% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 86,339 shares of company stock worth $27,680,267. Company insiders own 0.31% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in LRCX. Norges Bank acquired a new position in shares of Lam Research in the fourth quarter valued at approximately $3,645,427,000. Price T Rowe Associates Inc. MD raised its holdings in Lam Research by 352.2% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 13,695,210 shares of the semiconductor company’s stock valued at $2,344,347,000 after acquiring an additional 10,666,540 shares during the last quarter. Arrowstreet Capital Limited Partnership lifted its stake in shares of Lam Research by 781.3% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 11,340,865 shares of the semiconductor company’s stock worth $1,518,542,000 after purchasing an additional 10,053,978 shares during the period. Franklin Resources Inc. boosted its holdings in shares of Lam Research by 57.0% during the fourth quarter. Franklin Resources Inc. now owns 10,110,560 shares of the semiconductor company’s stock worth $1,730,724,000 after purchasing an additional 3,671,073 shares during the last quarter. Finally, Corient Private Wealth LLC grew its position in shares of Lam Research by 235.5% in the fourth quarter. Corient Private Wealth LLC now owns 5,199,441 shares of the semiconductor company’s stock valued at $890,040,000 after purchasing an additional 3,649,553 shares during the period. 84.61% of the stock is currently owned by institutional investors and hedge funds.

About Lam Research

Lam Research Corporation (NASDAQ: LRCX) is a global supplier of wafer fabrication equipment and services to the semiconductor industry. Founded in 1980 by David K. Lam and headquartered in Fremont, California, the company develops and manufactures systems used in multiple stages of semiconductor device production, including thin film deposition, plasma etch, wafer cleaning and related process modules and automation.

Lam’s product portfolio covers core process technologies employed by logic and memory manufacturers, with equipment designed to support advanced-node patterning, 3D NAND and other emerging device architectures.