Lam Research (NASDAQ:LRCX) Trading Up 4.9% – Here’s Why

Lam Research Corporation (NASDAQ:LRCX)’s share price shot up 4.9% during mid-day trading on Monday . The stock traded as high as $305.69 and last traded at $302.28. Approximately 11,223,035 shares changed hands during mid-day trading, an increase of 3% from the average daily volume of 10,896,326 shares. The stock had previously closed at $288.11.

Wall Street Analysts Forecast Growth

LRCX has been the subject of a number of recent research reports. HSBC reiterated a “hold” rating and set a $333.00 price objective on shares of Lam Research in a research report on Monday, July 27th. Jefferies Financial Group set a $335.00 target price on Lam Research and gave the stock a “buy” rating in a research report on Thursday, July 30th. Morgan Stanley reduced their target price on Lam Research from $404.00 to $367.00 and set an “overweight” rating for the company in a report on Thursday, July 30th. Cantor Fitzgerald set a $500.00 price target on Lam Research and gave the company an “overweight” rating in a research report on Monday, June 29th. Finally, Wells Fargo & Company reissued an “overweight” rating and issued a $350.00 price target (down from $450.00) on shares of Lam Research in a research note on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, Lam Research presently has an average rating of “Moderate Buy” and a consensus price target of $361.81.

Lam Research Stock Down 3.3%

The business’s 50 day simple moving average is $305.28 and its 200-day simple moving average is $296.62. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.91 and a current ratio of 2.63. The company has a market cap of $376.33 billion, a price-to-earnings ratio of 52.04, a price-to-earnings-growth ratio of 1.20 and a beta of 1.85.

Lam Research (NASDAQ:LRCX) last issued its earnings results on Wednesday, July 29th. The semiconductor company reported $1.82 earnings per share for the quarter, topping the consensus estimate of $1.69 by $0.13. The company had revenue of $6.72 billion for the quarter, compared to analyst estimates of $6.66 billion. Lam Research had a return on equity of 67.60% and a net margin of 31.27%.The business’s revenue was up 30.0% compared to the same quarter last year. During the same period in the prior year, the firm posted $1.33 EPS. Lam Research has set its Q1 2027 guidance at 2.000-2.300 EPS. Sell-side analysts expect that Lam Research Corporation will post 9.33 earnings per share for the current year.

Lam Research Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 14th. Investors of record on Wednesday, September 23rd will be given a dividend of $0.33 per share. The ex-dividend date of this dividend is Wednesday, September 23rd. This is a boost from Lam Research’s previous quarterly dividend of $0.26. This represents a $1.32 annualized dividend and a yield of 0.4%. Lam Research’s payout ratio is 18.06%.

Insider Buying and Selling at Lam Research

In other Lam Research news, insider Ava Harter sold 5,000 shares of Lam Research stock in a transaction that occurred on Monday, August 31st. The shares were sold at an average price of $302.46, for a total value of $1,512,300.00. Following the completion of the sale, the insider directly owned 42,462 shares in the company, valued at $12,843,056.52. The trade was a 10.53% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Abhijit Talwalkar sold 18,282 shares of the stock in a transaction on Monday, July 13th. The stock was sold at an average price of $335.00, for a total transaction of $6,124,470.00. Following the transaction, the director owned 87,142 shares in the company, valued at approximately $29,192,570. This trade represents a 17.34% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 32,839 shares of company stock worth $10,644,740 over the last ninety days. 0.31% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Lam Research

Several institutional investors have recently bought and sold shares of the stock. Andra AP fonden boosted its position in Lam Research by 6.0% during the second quarter. Andra AP fonden now owns 189,539 shares of the semiconductor company’s stock valued at $82,133,000 after purchasing an additional 10,800 shares during the last quarter. State Street Corp increased its position in shares of Lam Research by 2.6% during the 2nd quarter. State Street Corp now owns 60,704,130 shares of the semiconductor company’s stock worth $26,320,468,000 after purchasing an additional 1,545,830 shares during the last quarter. Security National Bank of Sioux City Iowa IA raised its stake in shares of Lam Research by 24.9% during the 2nd quarter. Security National Bank of Sioux City Iowa IA now owns 15,734 shares of the semiconductor company’s stock worth $6,818,000 after purchasing an additional 3,140 shares in the last quarter. Wellington Altus USA Inc. boosted its holdings in shares of Lam Research by 39.3% in the 2nd quarter. Wellington Altus USA Inc. now owns 1,686 shares of the semiconductor company’s stock valued at $731,000 after buying an additional 476 shares during the last quarter. Finally, Smith Chas P & Associates PA Cpas acquired a new stake in shares of Lam Research in the 2nd quarter valued at approximately $280,000. 84.61% of the stock is currently owned by institutional investors.

About Lam Research

Lam Research Corporation is a semiconductor equipment company that develops and manufactures systems used in the fabrication of integrated circuits. Its equipment supports key wafer-processing steps, including deposition, etch, wafer cleaning, and related processes used to create and connect the microscopic features found on semiconductor devices.

The company serves semiconductor manufacturers producing a range of products, including memory, logic, and specialty chips. In addition to manufacturing equipment, Lam Research provides installation, maintenance, spare parts, upgrades, technical support, and other services intended to help customers operate and improve their fabrication facilities.

Founded in 1980, Lam Research is headquartered in Fremont, California, and serves customers through a global network of offices, engineering facilities, and support operations.