Lam Research (NASDAQ:LRCX) Shares Down 4.5% – Here’s What Happened

Lam Research Corporation (NASDAQ:LRCX)’s share price was down 4.5% during mid-day trading on Monday . The stock traded as low as $278.45 and last traded at $291.61. 14,069,042 shares were traded during mid-day trading, an increase of 25% from the average daily volume of 11,271,868 shares. The stock had previously closed at $305.21.

Wall Street Analyst Weigh In

LRCX has been the subject of several analyst reports. Susquehanna reaffirmed a “positive” rating and set a $475.00 target price (up from $385.00) on shares of Lam Research in a report on Tuesday, June 30th. HSBC reissued a “hold” rating and set a $333.00 target price on shares of Lam Research in a research report on Monday. Stifel Nicolaus upped their target price on shares of Lam Research from $325.00 to $425.00 and gave the company a “buy” rating in a research note on Friday, July 10th. BNP Paribas Exane increased their target price on shares of Lam Research from $250.00 to $260.00 and gave the stock a “neutral” rating in a research report on Thursday, April 23rd. Finally, B. Riley Financial raised their target price on Lam Research from $350.00 to $375.00 and gave the company a “buy” rating in a research note on Tuesday, May 12th. One analyst has rated the stock with a Strong Buy rating, twenty-eight have issued a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat, Lam Research has an average rating of “Moderate Buy” and an average price target of $363.37.

Lam Research Stock Down 6.2%

The company has a debt-to-equity ratio of 0.35, a current ratio of 2.54 and a quick ratio of 1.77. The company has a market capitalization of $316.41 billion, a price-to-earnings ratio of 47.74, a PEG ratio of 1.73 and a beta of 1.80. The firm has a 50-day moving average price of $341.94 and a two-hundred day moving average price of $275.43.

Lam Research Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, July 8th. Shareholders of record on Wednesday, June 17th were paid a dividend of $0.26 per share. This represents a $1.04 dividend on an annualized basis and a yield of 0.4%. The ex-dividend date was Wednesday, June 17th. Lam Research’s dividend payout ratio is presently 19.62%.

Insider Buying and Selling

In other Lam Research news, Director Eric Brandt sold 54,500 shares of the business’s stock in a transaction on Thursday, June 11th. The shares were sold at an average price of $350.80, for a total transaction of $19,118,600.00. Following the sale, the director owned 199,205 shares of the company’s stock, valued at approximately $69,881,114. The trade was a 21.48% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Abhijit Y. Talwalkar sold 18,282 shares of the stock in a transaction that occurred on Monday, July 13th. The shares were sold at an average price of $335.00, for a total transaction of $6,124,470.00. Following the sale, the director directly owned 87,142 shares of the company’s stock, valued at $29,192,570. This represents a 17.34% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 98,611 shares of company stock worth $32,250,190 in the last ninety days. 0.31% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in LRCX. Bayban bought a new stake in Lam Research in the 4th quarter valued at about $26,000. Vermillion Wealth Management Inc. purchased a new position in shares of Lam Research during the first quarter worth about $26,000. Cedar Mountain Advisors LLC grew its position in Lam Research by 242.9% during the first quarter. Cedar Mountain Advisors LLC now owns 120 shares of the semiconductor company’s stock valued at $26,000 after acquiring an additional 85 shares during the last quarter. Mcguire Capital Advisors Inc. bought a new stake in Lam Research in the fourth quarter worth $27,000. Finally, Triumph Capital Management purchased a new position in shares of Lam Research in the third quarter worth $27,000. 84.61% of the stock is currently owned by hedge funds and other institutional investors.

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.