Lam Research (NASDAQ:LRCX) Trading Up 2.2% – Here’s Why

Lam Research Corporation (NASDAQ:LRCX)’s share price traded up 2.2% during mid-day trading on Wednesday . The stock traded as high as $337.50 and last traded at $333.15. 7,970,810 shares changed hands during trading, a decline of 30% from the average session volume of 11,418,632 shares. The stock had previously closed at $326.13.

Key Headlines Impacting Lam Research

Here are the key news stories impacting Lam Research this week:

• Positive Sentiment: Stifel raised its price target on Lam Research to $425 from $325 and reiterated a Buy rating, signaling confidence that earnings and growth expectations can support more upside. Stifel price target raise
• Positive Sentiment: Needham boosted its target to $390 from $300 and kept a Buy rating, adding to the bullish analyst momentum behind LRCX. Needham price target raise
• Positive Sentiment: Mizuho lifted its target to $400 from $380 and reiterated an Outperform rating, contributing to the strong run in the shares. Mizuho price target raise
• Positive Sentiment: Morgan Stanley maintained a Buy rating with a $404 target, citing ongoing outperformance and structural share gains. Morgan Stanley Buy rating reaffirmed
• Neutral Sentiment: Lam Research announced its June quarter financial conference call for July 29, giving investors a near-term catalyst for updated guidance but no new operating results yet. Conference call announcement

Analyst Upgrades and Downgrades

A number of equities research analysts have recently commented on LRCX shares. Jefferies Financial Group upped their price objective on shares of Lam Research from $285.00 to $315.00 and gave the company a “buy” rating in a research note on Thursday, April 23rd. TD Cowen reaffirmed a “buy” rating and set a $400.00 price target (up from $340.00) on shares of Lam Research in a research report on Thursday. Raymond James Financial set a $425.00 price objective on Lam Research in a research report on Wednesday, June 10th. Sanford C. Bernstein boosted their price objective on Lam Research from $325.00 to $340.00 and gave the company an “outperform” rating in a research note on Thursday, May 21st. Finally, Wells Fargo & Company restated an “overweight” rating and set a $450.00 target price (up from $365.00) on shares of Lam Research in a research report on Monday, June 22nd. Twenty-eight research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $350.81.

Lam Research Trading Down 0.8%

The company has a quick ratio of 1.77, a current ratio of 2.54 and a debt-to-equity ratio of 0.35. The company has a market capitalization of $438.11 billion, a P/E ratio of 66.10, a P/E/G ratio of 1.98 and a beta of 1.80. The firm’s 50-day moving average price is $332.86 and its 200 day moving average price is $263.00.

Lam Research (NASDAQ:LRCX) last released its quarterly earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.36 by $0.11. The business had revenue of $5.84 billion during the quarter, compared to the consensus estimate of $5.70 billion. Lam Research had a return on equity of 66.21% and a net margin of 30.94%.The company’s quarterly revenue was up 23.8% on a year-over-year basis. During the same quarter in the previous 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 predict that Lam Research Corporation will post 5.68 earnings per share for the current year.

Lam Research Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, July 8th. Stockholders of record on Wednesday, June 17th were issued a $0.26 dividend. The ex-dividend date was Wednesday, June 17th. This represents a $1.04 annualized dividend and a dividend yield of 0.3%. Lam Research’s dividend payout ratio is currently 19.62%.

Insider Activity at Lam Research

In other Lam Research news, insider Ava Harter sold 6,010 shares of the stock in a transaction dated Monday, April 27th. The shares were sold at an average price of $258.66, for a total value of $1,554,546.60. Following the completion of the sale, the insider owned 53,205 shares in the company, valued at approximately $13,762,005.30. This trade represents a 10.15% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, SVP Neil J. Fernandes sold 18,170 shares of the business’s stock in a transaction that occurred on Friday, May 1st. The stock was sold at an average price of $255.14, for a total value of $4,635,893.80. Following the completion of the transaction, 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 position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 86,339 shares of company stock valued at $27,680,267 over the last ninety days. Corporate insiders own 0.31% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of LRCX. Brighton Jones LLC raised its stake in shares of Lam Research by 1,032.4% during the 4th quarter. Brighton Jones LLC now owns 14,189 shares of the semiconductor company’s stock worth $1,025,000 after purchasing an additional 12,936 shares during the period. Caxton Associates LLP purchased a new stake in Lam Research during the first quarter worth about $239,000. Gabelli Funds LLC bought a new stake in Lam Research in the second quarter worth about $253,000. NewEdge Advisors LLC boosted its stake in Lam Research by 2.7% in the second quarter. NewEdge Advisors LLC now owns 100,528 shares of the semiconductor company’s stock valued at $9,785,000 after acquiring an additional 2,661 shares during the last quarter. Finally, Osterweis Capital Management Inc. grew its position in shares of Lam Research by 5,206.7% during the 2nd quarter. Osterweis Capital Management Inc. now owns 796 shares of the semiconductor company’s stock valued at $77,000 after acquiring an additional 781 shares during the period. Institutional investors own 84.61% of the company’s stock.

Lam Research Company Profile

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.