Lam Research (NASDAQ:LRCX) Stock Price Down 2.4% – Time to Sell?

Shares of Lam Research Corporation (NASDAQ:LRCX) traded down 2.4% during mid-day trading on Friday . The company traded as low as $298.65 and last traded at $313.30. Approximately 12,786,527 shares were traded during mid-day trading, an increase of 12% from the average daily volume of 11,368,872 shares. The stock had previously closed at $320.96.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the stock. Mizuho increased their target price on shares of Lam Research from $380.00 to $400.00 and gave the stock an “outperform” rating in a report on Thursday, July 9th. Wells Fargo & Company restated an “overweight” rating and set a $450.00 price target (up from $365.00) on shares of Lam Research in a report on Monday, June 22nd. Sanford C. Bernstein upped their price target on Lam Research from $325.00 to $340.00 and gave the company an “outperform” rating in a research report on Thursday, May 21st. Royal Bank Of Canada increased their price objective on Lam Research from $290.00 to $310.00 and gave the stock an “outperform” rating in a report on Thursday, April 23rd. Finally, Evercore lifted their price objective on Lam Research from $275.00 to $300.00 and gave the stock an “outperform” rating in a research report on Thursday, April 23rd. Twenty-eight research analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, Lam Research currently has a consensus rating of “Moderate Buy” and a consensus price target of $358.67.

Lam Research Price Performance

The company has a current ratio of 2.54, a quick ratio of 1.77 and a debt-to-equity ratio of 0.35. The business’s 50 day moving average price is $339.57 and its two-hundred day moving average price is $268.94. The stock has a market cap of $391.80 billion, a P/E ratio of 59.11, a price-to-earnings-growth ratio of 1.85 and a beta of 1.80.

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, topping analysts’ consensus estimates of $1.36 by $0.11. Lam Research had a net margin of 30.94% and a return on equity of 66.21%. The company had revenue of $5.84 billion during the quarter, compared to the consensus estimate of $5.70 billion. During the same period in the prior year, the firm earned $1.04 earnings per share. Lam Research’s revenue was up 23.8% on a year-over-year basis. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. As a group, sell-side analysts expect that Lam Research Corporation will post 5.68 earnings per share for the current fiscal year.

Lam Research Announces Dividend

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

Insider Transactions at Lam Research

In related news, Director Eric Brandt sold 54,500 shares of the company’s stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $350.80, for a total value of $19,118,600.00. Following the sale, the director directly owned 199,205 shares of the company’s stock, valued at $69,881,114. This represents a 21.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Ava Harter sold 6,010 shares of the company’s 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 sale, the insider directly owned 53,205 shares in the company, valued at approximately $13,762,005.30. The trade was a 10.15% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 104,621 shares of company stock worth $33,804,737 over the last 90 days. 0.31% of the stock is currently owned by insiders.

Institutional Trading of Lam Research

A number of hedge funds have recently modified their holdings of the business. Brighton Jones LLC increased its stake in shares of Lam Research by 1,032.4% during the fourth quarter. Brighton Jones LLC now owns 14,189 shares of the semiconductor company’s stock valued at $1,025,000 after purchasing an additional 12,936 shares in the last quarter. Caxton Associates LLP bought a new stake in shares of Lam Research in the 1st quarter worth approximately $239,000. Gabelli Funds LLC purchased a new stake in shares of Lam Research in the 2nd quarter worth approximately $253,000. NewEdge Advisors LLC grew its stake in shares of Lam Research by 2.7% in the 2nd quarter. NewEdge Advisors LLC now owns 100,528 shares of the semiconductor company’s stock worth $9,785,000 after buying an additional 2,661 shares during the last quarter. Finally, Osterweis Capital Management Inc. increased its position in 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 buying an additional 781 shares in the last quarter. 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.