Lam Research (NASDAQ:LRCX) Trading Down 2.6% – Here’s What Happened

Lam Research Corporation (NASDAQ:LRCX) traded down 2.6% on Wednesday . The stock traded as low as $206.61 and last traded at $208.79. 18,163,304 shares traded hands during trading, an increase of 25% from the average session volume of 14,495,179 shares. The stock had previously closed at $214.38.

Key Lam Research News

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

• Positive Sentiment: Stifel Nicolaus raised its LRCX price target from $160 to $250 and kept a buy rating — a substantive bullish signal that underpins upside expectations for Lam’s stock. Read More.
• Positive Sentiment: Bank of America also raised its target to $245 with a buy rating, adding to analyst momentum and reinforcing the narrative that equipment demand and margins can remain robust. Read More.
• Positive Sentiment: Stifel projects WFE (wafer-fab equipment) spending to grow up to ~15% in 2026 — a direct tailwind for Lam as a leading equipment supplier. That industry forecast supports higher sales expectations even as regional revenue mix shifts. Read More.
• Positive Sentiment: Market-flow data shows strong bullish inflows into LRCX in the last year, supporting momentum and liquidity that helped the stock’s long run-up. Read More.
• Neutral Sentiment: Lam recently hit 52-week highs and is receiving multiple analysts’ coverage pieces evaluating whether the run can continue — useful context for investors but not an immediate catalyst. Read More.
• Neutral Sentiment: Opinion and trade-idea pieces (Forbes/Great Speculations) discuss strategies around LRCX near its highs; these are strategy-focused rather than new fundamental data. Read More.
• Neutral Sentiment: Coverage summaries and Q3 comparisons with peers provide benchmarking for investors deciding on allocation but don’t change the immediate outlook. Read More.
• Neutral Sentiment: Commentary (e.g., Jim Cramer) urging Lam to expand capacity highlights long-term growth vs execution trade-offs; useful for longer-horizon investors. Read More.
• Negative Sentiment: Zacks flags that export curbs may push Lam’s China revenue below 30% in 2026 — a near-term top-line risk given China’s historical weight and potential margin impact if growth outside China doesn’t fully offset. Read More.
• Negative Sentiment: Short-term profit-taking and a modest pullback versus the broader market were noted in recent trading, signaling elevated volatility after the rally. Read More.

Wall Street Analyst Weigh In

Several research firms have recently commented on LRCX. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Lam Research in a research note on Monday, December 29th. Stifel Nicolaus increased their target price on shares of Lam Research from $160.00 to $250.00 and gave the stock a “buy” rating in a report on Wednesday. Hsbc Global Res raised shares of Lam Research to a “hold” rating in a report on Tuesday, September 30th. Royal Bank Of Canada initiated coverage on shares of Lam Research in a research report on Wednesday. They issued an “outperform” rating for the company. Finally, Cowen reissued a “buy” rating on shares of Lam Research in a research note on Thursday, October 23rd. Twenty-seven investment analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $175.87.

Lam Research Trading Down 2.6%

The stock has a market cap of $262.25 billion, a P/E ratio of 45.99, a price-to-earnings-growth ratio of 2.54 and a beta of 1.77. The stock’s 50-day moving average is $168.35 and its two-hundred day moving average is $135.02. The company has a debt-to-equity ratio of 0.37, a current ratio of 2.21 and a quick ratio of 1.60.

Lam Research (NASDAQ:LRCX) last announced its quarterly earnings results on Wednesday, October 22nd. The semiconductor company reported $1.26 EPS for the quarter, topping the consensus estimate of $1.22 by $0.04. The business had revenue of $5.32 billion for the quarter, compared to analysts’ expectations of $5.23 billion. Lam Research had a net margin of 29.66% and a return on equity of 60.60%. The business’s quarterly revenue was up 27.7% compared to the same quarter last year. During the same quarter in the previous year, the company earned $0.86 EPS. Lam Research has set its Q2 2026 guidance at 1.050-1.250 EPS. Equities research analysts anticipate that Lam Research Corporation will post 3.71 EPS for the current year.

Lam Research Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, January 7th. Shareholders of record on Wednesday, December 3rd were paid a $0.26 dividend. The ex-dividend date of this dividend was Wednesday, December 3rd. This represents a $1.04 dividend on an annualized basis and a yield of 0.5%. Lam Research’s payout ratio is presently 22.91%.

Insider Transactions at Lam Research

In other news, CFO Douglas R. Bettinger sold 40,080 shares of the stock in a transaction that occurred on Friday, November 14th. The stock was sold at an average price of $150.60, for a total transaction of $6,036,048.00. Following the completion of the transaction, the chief financial officer directly owned 987,237 shares in the company, valued at approximately $148,677,892.20. This represents a 3.90% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Ava Harter sold 9,010 shares of the business’s stock in a transaction on Monday, October 27th. The stock was sold at an average price of $157.47, for a total transaction of $1,418,804.70. Following the completion of the sale, the insider owned 56,786 shares in the company, valued at $8,942,091.42. This represents a 13.69% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 50,418 shares of company stock valued at $7,667,305 in the last ninety days. Corporate insiders own 0.31% of the company’s stock.

Institutional Investors Weigh In On Lam Research

Several institutional investors have recently modified their holdings of LRCX. Sava Infond d.o.o. raised its stake in shares of Lam Research by 3.1% in the second quarter. Sava Infond d.o.o. now owns 75,250 shares of the semiconductor company’s stock valued at $7,325,000 after acquiring an additional 2,250 shares in the last quarter. Oregon Public Employees Retirement Fund increased its holdings in Lam Research by 30.9% during the 3rd quarter. Oregon Public Employees Retirement Fund now owns 144,656 shares of the semiconductor company’s stock worth $19,369,000 after purchasing an additional 34,147 shares during the period. Horizon Bancorp Inc. IN purchased a new stake in Lam Research during the 2nd quarter worth about $389,000. Genus Capital Management Inc. acquired a new stake in Lam Research in the 2nd quarter valued at about $14,476,000. Finally, Diversified Trust Co boosted its stake in shares of Lam Research by 34.4% in the 3rd quarter. Diversified Trust Co now owns 31,922 shares of the semiconductor company’s stock valued at $4,274,000 after buying an additional 8,172 shares during the period. 84.61% of the stock is owned by 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.