Lam Research (NASDAQ:LRCX) Stock Price Down 4.3% – Time to Sell?

Lam Research Corporation (NASDAQ:LRCX)’s share price traded down 4.3% during trading on Thursday . The company traded as low as $208.00 and last traded at $209.49. 9,091,333 shares changed hands during mid-day trading, a decline of 25% from the average session volume of 12,146,335 shares. The stock had previously closed at $218.87.

Lam Research News Roundup

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

• Positive Sentiment: Lam is engaging with BE Semiconductor Industries (BESI) to boost advanced‑packaging capabilities and content — a strategic M&A angle that would accelerate Lam’s exposure to fast‑growing advanced packaging markets. Lam Research BESI Talks Highlight Push Into Advanced Packaging Content — Also reported that BESI has drawn takeover interest with Lam among suitors. Exclusive‑BESI attracts takeover interest as advanced chip packaging demand surges
• Positive Sentiment: Lam and IBM announced a long‑term collaboration to develop processes/materials for sub‑1nm logic and High‑NA EUV — strengthening Lam’s roadmap exposure to next‑gen logic and AI chips. Lam Research IBM Alliance Targets Sub 1nm Logic And AI Chip Demand
• Positive Sentiment: Management is targeting growth in foundry and logic markets and is aiming for gross margins above 50% via pricing and mix — a direct driver of EPS leverage if demand stays strong. Lam Research Corp. (LRCX) Targets Growth in Foundry and Logic Markets
• Positive Sentiment: Analysts have lifted targets and reiterated conviction after solid results and outlook; Barclays raised its price target recently (supportive to near‑term sentiment). Is Lam Research One of the Best Large‑Cap Tech Stocks to Invest In?
• Positive Sentiment: Industry analysis highlights a supply‑constrained WFE cycle and strong AI/advanced‑packaging demand that underpin a multi‑year capex runway for Lam. Lam Research: Supply‑Constrained WFE Cycle Sets Up A Multi‑Year Runway
• Neutral Sentiment: Market momentum: LRCX has rallied ~33% over three months on earnings beats and AI/packaging demand—helpful context but not a new catalyst. LRCX Stock Soars 33% in Three Months
• Negative Sentiment: Valuation concerns: some analysts/commentaries warn the stock may be extended and expect a re‑rating or consolidation — a risk if WFE momentum or execution disappoints. Lam Research: Wonderful Company, But The Price Needs To Come Back To Earth

Analysts Set New Price Targets

Several research firms recently commented on LRCX. Royal Bank Of Canada reiterated an “outperform” rating and issued a $290.00 price objective (up from $260.00) on shares of Lam Research in a report on Thursday, January 29th. Oppenheimer reaffirmed an “outperform” rating and set a $265.00 price target on shares of Lam Research in a report on Thursday, January 29th. Citic Securities boosted their price objective on shares of Lam Research from $165.00 to $275.00 and gave the company a “buy” rating in a report on Friday, January 30th. Argus raised their target price on shares of Lam Research from $175.00 to $280.00 in a report on Tuesday, February 3rd. Finally, Mizuho set a $265.00 target price on shares of Lam Research in a research note on Wednesday, January 28th. One analyst has rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Lam Research currently has an average rating of “Moderate Buy” and an average target price of $245.35.

Lam Research Stock Up 1.3%

The company’s 50 day moving average price is $224.75 and its two-hundred day moving average price is $172.69. The company has a current ratio of 2.26, a quick ratio of 1.61 and a debt-to-equity ratio of 0.37. The firm has a market cap of $264.99 billion, a PE ratio of 43.48, a PEG ratio of 2.25 and a beta of 1.77.

Lam Research (NASDAQ:LRCX) last announced its earnings results on Wednesday, January 28th. The semiconductor company reported $1.27 EPS for the quarter, topping analysts’ consensus estimates of $1.17 by $0.10. Lam Research had a return on equity of 62.81% and a net margin of 30.22%.The company had revenue of $5.34 billion for the quarter, compared to analysts’ expectations of $5.23 billion. During the same period last year, the firm earned $0.91 EPS. Lam Research’s revenue for the quarter was up 22.1% compared to the same quarter last year. Lam Research has set its Q3 2026 guidance at 1.250-1.450 EPS. On average, equities research analysts expect that Lam Research Corporation will post 3.71 EPS for the current fiscal year.

Lam Research Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, April 8th. Investors of record on Wednesday, March 4th will be paid a dividend of $0.26 per share. The ex-dividend date is Wednesday, March 4th. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.5%. Lam Research’s payout ratio is 21.31%.

Insiders Place Their Bets

In other Lam Research news, insider Ava Harter sold 1,500 shares of Lam Research stock in a transaction that occurred on Wednesday, March 4th. The shares were sold at an average price of $222.66, for a total transaction of $333,990.00. Following the transaction, the insider owned 53,205 shares of the company’s stock, valued at $11,846,625.30. The trade was a 2.74% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Eric Brandt sold 35,000 shares of the company’s stock in a transaction that occurred on Friday, February 6th. The stock was sold at an average price of $225.60, for a total transaction of $7,896,000.00. Following the completion of the transaction, the director owned 253,705 shares of the company’s stock, valued at approximately $57,235,848. The trade was a 12.12% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 130,886 shares of company stock worth $29,658,802. Company insiders own 0.31% of the company’s stock.

Hedge Funds Weigh In On Lam Research

Large investors have recently made changes to their positions in the business. PMV Capital Advisers LLC purchased a new position in Lam Research in the 4th quarter worth approximately $25,000. Stance Capital LLC bought a new stake in shares of Lam Research during the third quarter valued at approximately $26,000. Bayban purchased a new position in shares of Lam Research in the fourth quarter worth $26,000. Howard Hughes Medical Institute purchased a new position in shares of Lam Research in the second quarter worth $27,000. Finally, Triumph Capital Management bought a new position in shares of Lam Research during the third quarter worth $27,000. 84.61% of the stock is currently owned by hedge funds and other institutional investors.

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.