Lam Research (NASDAQ:LRCX) Shares Down 1.6% – Here’s Why

Lam Research Corporation (NASDAQ:LRCX) traded down 1.6% on Thursday . The company traded as low as $229.64 and last traded at $231.29. 10,280,811 shares traded hands during mid-day trading, a decline of 24% from the average session volume of 13,538,310 shares. The stock had previously closed at $235.12.

Key Stories Impacting Lam Research

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

• Positive Sentiment: Analysts point to secular trends (AI, advanced nodes, foundry expansion) as drivers for Lam’s long‑term growth, supporting investor confidence in sustained demand for its etch and deposition tools. Analysts Cite Secular Trends For Lam Research Corporation (LRCX)’s Development
• Positive Sentiment: Lam announced leadership changes and new partnerships aimed at positioning the company for next‑generation chip demand — a strategic move investors view as reinforcing execution and market share potential. Lam Research Reshapes Leadership And Partnerships For Next Generation Chip Demand
• Neutral Sentiment: Published analyses asking whether Lam has a long runway for growth provide deeper context (valuation vs. growth opportunities) but don’t introduce new company‑specific catalysts. These pieces help frame investor debate rather than change fundamentals. Does Lam Research Corporation (LRCX) Have a Long Runway for Growth?
• Neutral Sentiment: Short‑interest reports show “0 shares” and NaN changes for early February — data that appears erroneous and is unlikely to be a meaningful market signal. Treat the short‑interest items as noise until corrected data is released.
• Negative Sentiment: A headline reporting insider selling coincided with a short‑term price dip; insider sales can weigh on sentiment even if they’re routine or non‑indicative of company fundamentals. Lam Research (NASDAQ:LRCX) Stock Price Down 1.2% on Insider Selling

Analyst Ratings Changes

Several brokerages have recently weighed in on LRCX. Wells Fargo & Company increased their price target on Lam Research from $250.00 to $290.00 and gave the company an “overweight” rating in a research note on Thursday, January 29th. Royal Bank Of Canada restated an “outperform” rating and set a $290.00 price target (up previously from $260.00) on shares of Lam Research in a report on Thursday, January 29th. Needham & Company LLC upped their price objective on shares of Lam Research from $250.00 to $300.00 and gave the company a “buy” rating in a research note on Thursday, January 29th. Berenberg Bank increased their price target on Lam Research from $122.00 to $165.00 and gave the stock a “buy” rating in a report on Thursday, October 23rd. Finally, Cantor Fitzgerald reissued an “overweight” rating and issued a $320.00 price objective (up from $265.00) on shares of Lam Research in a research note on Thursday, January 29th. One investment analyst has rated the stock with a Strong Buy rating, twenty-eight have assigned a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $244.88.

Lam Research Trading Up 1.8%

The company has a debt-to-equity ratio of 0.37, a current ratio of 2.26 and a quick ratio of 1.61. The firm’s fifty day moving average is $201.76 and its two-hundred day moving average is $154.95. The firm has a market capitalization of $294.12 billion, a PE ratio of 48.26, a PEG ratio of 2.48 and a beta of 1.78.

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

Lam Research Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, April 8th. Investors of record on Wednesday, March 4th will be issued a $0.26 dividend. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date of this dividend is Wednesday, March 4th. Lam Research’s payout ratio is 21.31%.

Insider Transactions at Lam Research

In other news, Director Eric Brandt sold 35,000 shares of the firm’s stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $225.60, for a total transaction of $7,896,000.00. Following the completion of the sale, the director owned 253,705 shares in the company, valued at $57,235,848. This trade represents a 12.12% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Company insiders own 0.31% of the company’s stock.

Institutional Trading of Lam Research

Several hedge funds have recently made changes to their positions in LRCX. Arete Wealth Advisors LLC increased its holdings in Lam Research by 242.1% in the 4th quarter. Arete Wealth Advisors LLC now owns 23,491 shares of the semiconductor company’s stock worth $4,021,000 after acquiring an additional 16,624 shares during the last quarter. Jacobi Capital Management LLC boosted its position in Lam Research by 15.1% during the fourth quarter. Jacobi Capital Management LLC now owns 16,727 shares of the semiconductor company’s stock worth $2,863,000 after purchasing an additional 2,196 shares during the period. FORA Capital LLC increased its stake in shares of Lam Research by 168.4% in the fourth quarter. FORA Capital LLC now owns 14,305 shares of the semiconductor company’s stock worth $2,449,000 after purchasing an additional 8,975 shares in the last quarter. CreativeOne Wealth LLC lifted its stake in shares of Lam Research by 8.2% during the 4th quarter. CreativeOne Wealth LLC now owns 21,972 shares of the semiconductor company’s stock valued at $3,761,000 after buying an additional 1,662 shares in the last quarter. Finally, Kestra Advisory Services LLC boosted its holdings in Lam Research by 7.6% in the 4th quarter. Kestra Advisory Services LLC now owns 155,250 shares of the semiconductor company’s stock worth $26,576,000 after buying an additional 10,997 shares during the period. 84.61% of the stock is currently 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.