Lam Research Corporation (NASDAQ:LRCX) Receives Consensus Rating of “Moderate Buy” from Analysts

Lam Research Corporation (NASDAQ:LRCX) has been given a consensus recommendation of “Moderate Buy” by the thirty-four ratings firms that are currently covering the stock, Marketbeat.com reports. Seven investment analysts have rated the stock with a hold recommendation and twenty-seven have given a buy recommendation to the company. The average 1-year price objective among analysts that have issued a report on the stock in the last year is $303.2968.

LRCX has been the subject of a number of recent research reports. JPMorgan Chase & Co. increased their target price on Lam Research from $300.00 to $315.00 and gave the stock an “overweight” rating in a research note on Thursday, April 23rd. Sanford C. Bernstein increased their target price on Lam Research from $325.00 to $340.00 and gave the stock an “outperform” rating in a research note on Thursday, May 21st. Barclays set a $275.00 target price on Lam Research and gave the stock an “equal weight” rating in a research note on Thursday, April 23rd. Zacks Research downgraded Lam Research from a “strong-buy” rating to a “hold” rating in a research note on Monday, April 6th. Finally, Erste Group Bank downgraded Lam Research from a “buy” rating to a “hold” rating in a research note on Thursday, April 2nd.

Trending Headlines about Lam Research

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

• Positive Sentiment: Analysts and hedge fund commentary remain constructive on Lam Research, viewing it as a wide-moat leader in semiconductor equipment with meaningful upside potential as chipmakers keep investing in advanced manufacturing. What Do Analysts Say About Lam Research (LRCX)’s Earnings Outlook?
• Positive Sentiment: Investor commentary also points to Lam Research’s growing importance in essential chip manufacturing, reinforcing the view that demand for its tools should stay strong if semiconductor capex continues to rise. Lam Research Corp (LRCX): Increasing Dependence on Essential Chip Manufacturing
• Neutral Sentiment: One bullish article argues Lam Research is still a buy because of its wide moat and leadership position, but it also warns that the stock is trading at a rich valuation, which may limit near-term upside. Lam Research: A Wide-Moat Equipment Leader That I Rate A Buy – Despite A Rich Valuation
• Negative Sentiment: Recent market commentary noted that LRCX slipped even as the broader market rose, suggesting some investors are taking profits after the stock’s strong move higher. Lam Research (LRCX) Stock Slides as Market Rises: Facts to Know Before You Trade

Lam Research Price Performance

Shares of NASDAQ LRCX opened at $303.28 on Friday. The stock’s 50-day simple moving average is $273.22 and its 200-day simple moving average is $226.72. The firm has a market capitalization of $379.27 billion, a PE ratio of 57.22, a price-to-earnings-growth ratio of 2.51 and a beta of 1.85. The company has a debt-to-equity ratio of 0.35, a quick ratio of 1.77 and a current ratio of 2.54. Lam Research has a fifty-two week low of $85.86 and a fifty-two week high of $346.19.

Lam Research (NASDAQ:LRCX) last announced its earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 EPS for the quarter, beating 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 business had revenue of $5.84 billion during the quarter, compared to analysts’ expectations of $5.70 billion. During the same period in the prior year, the company earned $1.04 earnings per share. The business’s revenue was up 23.8% compared to the same quarter last year. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. As a group, equities research analysts forecast that Lam Research will post 5.67 EPS for the current fiscal year.

Lam Research Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, July 8th. Investors of record on Wednesday, June 17th will be issued a $0.26 dividend. The ex-dividend date is 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 currently 19.62%.

Insider Buying and Selling

In related news, insider Ava Harter sold 6,010 shares of the company’s stock in a transaction that occurred 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 sale, the insider owned 53,205 shares in the company, valued at $13,762,005.30. This represents a 10.15% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, SVP Neil J. Fernandes sold 7,659 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $309.60, for a total value of $2,371,226.40. Following the completion of the sale, the senior vice president owned 58,470 shares in the company, valued at approximately $18,102,312. This represents a 11.58% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 31,839 shares of company stock worth $8,561,667. Insiders own 0.31% of the company’s stock.

Institutional Investors Weigh In On Lam Research

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. lifted its stake in Lam Research by 0.3% in the 3rd quarter. Vanguard Group Inc. now owns 130,974,214 shares of the semiconductor company’s stock valued at $17,537,447,000 after buying an additional 364,949 shares in the last quarter. State Street Corp lifted its stake in Lam Research by 0.4% in the 3rd quarter. State Street Corp now owns 59,817,352 shares of the semiconductor company’s stock valued at $8,024,684,000 after buying an additional 265,805 shares in the last quarter. Geode Capital Management LLC raised its holdings in Lam Research by 0.4% in the 4th quarter. Geode Capital Management LLC now owns 33,747,368 shares of the semiconductor company’s stock valued at $5,764,117,000 after acquiring an additional 126,613 shares during the last quarter. Invesco Ltd. raised its holdings in Lam Research by 7.7% in the 4th quarter. Invesco Ltd. now owns 22,821,354 shares of the semiconductor company’s stock valued at $3,906,559,000 after acquiring an additional 1,638,406 shares during the last quarter. Finally, Norges Bank acquired a new position in Lam Research in the 4th quarter valued at $3,645,427,000. Hedge funds and other 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.