Lam Research (NASDAQ:LRCX) Trading 2.2% Higher – Here’s Why

Lam Research Corporation (NASDAQ:LRCX)’s share price was up 2.2% during mid-day trading on Wednesday . The company traded as high as $337.50 and last traded at $333.15. 7,970,810 shares changed hands during mid-day trading, a decline of 30% from the average session volume of 11,418,632 shares. The stock had previously closed at $326.13.

Key Stories Impacting Lam Research

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

• Negative Sentiment: Lam Research fell more than the broader market as semiconductor-equipment names weakened on concerns that AI infrastructure spending may cool at the margin, making the stock vulnerable to profit-taking after a big run-up. Lam Research (LRCX) Dips More Than Broader Market: What You Should Know
• Neutral Sentiment: The company was added to the Russell Top 50, which can help institutional exposure over time, but the market also appears to view the AI narrative as already richly valued. Lam Research (LRCX) Joins Russell Top 50 On An AI Narrative That Looks Fully Valued
• Positive Sentiment: Recent analyst commentary remains constructive, and Lam continues to be highlighted as a long-term winner in semicap equipment thanks to its exposure to AI and advanced chip manufacturing. Why Lam Research (LRCX) is a top stock for the long term
• Positive Sentiment: Wall Street coverage also continues to frame Lam Research as a stock with favorable long-term earnings momentum, supporting the view that the recent pullback may be technical rather than fundamental. Why Lam Research (LRCX) is a Top Stock for the Long-Term

Analyst Ratings Changes

LRCX has been the subject of several recent analyst reports. Cantor Fitzgerald set a $500.00 target price on shares of Lam Research and gave the company an “overweight” rating in a research note on Monday, June 29th. Evercore upped their price target on Lam Research from $275.00 to $300.00 and gave the stock an “outperform” rating in a research report on Thursday, April 23rd. Jefferies Financial Group increased their price objective on Lam Research from $285.00 to $315.00 and gave the company a “buy” rating in a report on Thursday, April 23rd. Berenberg Bank raised their price objective on Lam Research from $265.00 to $335.00 and gave the stock a “buy” rating in a research report on Thursday, April 23rd. Finally, B. Riley Financial boosted their target price on Lam Research from $350.00 to $375.00 and gave the stock a “buy” rating in a research note on Tuesday, May 12th. Twenty-eight investment analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $347.75.

Lam Research Price Performance

The stock has a fifty day moving average of $329.35 and a 200 day moving average of $260.54. The stock has a market cap of $416.63 billion, a price-to-earnings ratio of 62.86, a P/E/G ratio of 2.09 and a beta of 1.80. The company has a debt-to-equity ratio of 0.35, a current ratio of 2.54 and a quick ratio of 1.77.

Lam Research (NASDAQ:LRCX) last released its quarterly earnings data on Wednesday, April 22nd. The semiconductor company reported $1.47 EPS for the quarter, beating the consensus estimate of $1.36 by $0.11. The business had revenue of $5.84 billion for the quarter, compared to the consensus estimate of $5.70 billion. Lam Research had a net margin of 30.94% and a return on equity of 66.21%. The business’s revenue for the quarter was up 23.8% on a year-over-year basis. During the same period in the prior year, the firm earned $1.04 EPS. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. On average, analysts expect that Lam Research Corporation will post 5.68 EPS for the current fiscal year.

Lam Research Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 8th. Shareholders of record on Wednesday, June 17th will be paid a dividend of $0.26 per share. 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 (DPR) is presently 19.62%.

Insider Activity

In other news, insider Ava Harter sold 6,010 shares of the company’s stock in a transaction dated 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 ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP Neil J. Fernandes sold 18,170 shares of the firm’s stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $255.14, for a total value of $4,635,893.80. Following the sale, the senior vice president directly owned 66,129 shares in the company, valued at approximately $16,872,153.06. This trade represents a 21.55% decrease in their ownership of the stock. 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 a total of 86,339 shares of company stock valued at $27,680,267 in the last quarter. 0.31% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Lam Research

Several institutional investors have recently made changes to their positions in the company. PMV Capital Advisers LLC purchased a new stake in Lam Research during the fourth quarter worth $25,000. Stance Capital LLC purchased a new position in Lam Research in the third quarter valued at $26,000. Bayban acquired a new position in shares of Lam Research in the fourth quarter worth about $26,000. Vermillion Wealth Management Inc. acquired a new position in shares of Lam Research in the first quarter worth about $26,000. Finally, Cedar Mountain Advisors LLC boosted its stake in shares of Lam Research by 242.9% during the 1st quarter. Cedar Mountain Advisors LLC now owns 120 shares of the semiconductor company’s stock worth $26,000 after acquiring an additional 85 shares in the last quarter. 84.61% of the stock is owned by hedge funds and other 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.