Lam Research (NASDAQ:LRCX) Trading Down 5.1% – Should You Sell?

Lam Research Corporation (NASDAQ:LRCX) shares dropped 5.1% on Wednesday . The stock traded as low as $153.60 and last traded at $154.98. Approximately 11,657,842 shares were traded during mid-day trading, a decline of 1% from the average daily volume of 11,729,699 shares. The stock had previously closed at $163.26.

More Lam Research News

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

• Positive Sentiment: Multiple sell‑side upgrades and price‑target increases from major firms lift sentiment and implied upside — B. Riley raised its target to $195 and maintained a buy rating. Article Title
• Positive Sentiment: Deutsche Bank raised its target to $195 and reiterated a buy, citing stronger forward visibility; that adds another institutional vote of confidence. Article Title
• Positive Sentiment: Mizuho lifted its price target to $200 from $170, maintaining an outperform view — another sizable increase that signals analysts expect stronger 2026 demand. Article Title
• Positive Sentiment: Coverage roundup: three firms turned bullish on LRCX today, a concentrated shift that drove short‑term buying interest. Article Title
• Positive Sentiment: Technical momentum: LRCX just flashed a golden‑cross (longer MA crossing above shorter MA) and cleared the 20‑day moving average — a buy signal that attracts momentum traders. Article Title
• Positive Sentiment: Investor recognition: IBD named Lam an “IBD Stock of the Day” and noted all‑time high momentum tied to 2026 prospects, which can attract retail inflows. Article Title
• Neutral Sentiment: Analysis pieces and price‑range summaries reflect consensus views and model updates (price forecasts shown from ~$175 to $210) — useful context but not a direct catalyst on its own. Article Title
• Neutral Sentiment: Feature coverage (Forbes) reviews the drivers behind today’s move and the 2026 thesis; good background for investors but largely descriptive. Article Title
• Neutral Sentiment: Corporate/community items (annual collegiate challenge winners) are positive PR but unlikely to move the stock materially. Article Title

Analysts Set New Price Targets

Several equities analysts recently commented on the stock. TD Cowen upped their price target on shares of Lam Research from $145.00 to $170.00 and gave the company a “buy” rating in a report on Thursday, October 23rd. Cantor Fitzgerald restated an “overweight” rating and set a $210.00 target price on shares of Lam Research in a research report on Tuesday. Rothschild & Co Redburn increased their price target on Lam Research from $140.00 to $150.00 and gave the stock a “buy” rating in a report on Tuesday, October 14th. New Street Research raised their price target on Lam Research from $105.00 to $140.00 and gave the stock a “neutral” rating in a research note on Thursday, October 23rd. Finally, Stifel Nicolaus set a $160.00 price objective on Lam Research and gave the company a “buy” rating in a report on Thursday, October 23rd. Twenty-six analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $160.37.

Lam Research Stock Performance

The firm has a 50 day moving average of $154.83 and a 200-day moving average of $122.80. The company has a market cap of $216.38 billion, a P/E ratio of 37.95, a PEG ratio of 1.69 and a beta of 1.77. The company has a quick ratio of 1.60, a current ratio of 2.21 and a debt-to-equity ratio of 0.37.

Lam Research (NASDAQ:LRCX) last issued its earnings results on Wednesday, October 22nd. The semiconductor company reported $1.26 earnings per share for the quarter, beating analysts’ consensus estimates of $1.22 by $0.04. Lam Research had a return on equity of 60.60% and a net margin of 29.66%.The business had revenue of $5.32 billion during the quarter, compared to analyst estimates of $5.23 billion. During the same period in the previous year, the company posted $0.86 EPS. Lam Research’s revenue was up 27.7% on a year-over-year basis. Lam Research has set its Q2 2026 guidance at 1.050-1.250 EPS. As a group, sell-side analysts anticipate that Lam Research Corporation will post 3.71 EPS for the current fiscal year.

Lam Research Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, January 7th. Shareholders of record on Wednesday, December 3rd will be issued a dividend of $0.26 per share. This represents a $1.04 annualized dividend and a yield of 0.6%. The ex-dividend date is Wednesday, December 3rd. Lam Research’s dividend payout ratio is presently 22.91%.

Insider Buying and Selling at Lam Research

In related news, Director Bethany Mayer sold 1,298 shares of Lam Research stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $159.99, for a total transaction of $207,667.02. Following the transaction, the director directly owned 1,652 shares of the company’s stock, valued at $264,303.48. This trade represents a 44.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CFO Douglas R. Bettinger sold 40,080 shares of the business’s 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 of the company’s stock, valued at $148,677,892.20. This trade represents a 3.90% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 102,608 shares of company stock worth $14,916,496. Company insiders own 0.31% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. AIA Group Ltd raised its position in shares of Lam Research by 197.6% in the 3rd quarter. AIA Group Ltd now owns 32,857 shares of the semiconductor company’s stock worth $4,400,000 after acquiring an additional 21,818 shares in the last quarter. Keel Point LLC grew its stake in Lam Research by 4.9% in the third quarter. Keel Point LLC now owns 8,593 shares of the semiconductor company’s stock valued at $1,151,000 after purchasing an additional 399 shares during the last quarter. FNY Investment Advisers LLC grew its stake in Lam Research by 830.5% in the third quarter. FNY Investment Advisers LLC now owns 9,947 shares of the semiconductor company’s stock valued at $1,331,000 after purchasing an additional 8,878 shares during the last quarter. Hudson Bay Capital Management LP raised its holdings in Lam Research by 3,594.0% in the third quarter. Hudson Bay Capital Management LP now owns 174,700 shares of the semiconductor company’s stock worth $23,392,000 after purchasing an additional 179,700 shares in the last quarter. Finally, CTC Alternative Strategies Ltd. purchased a new stake in shares of Lam Research during the third quarter valued at about $388,000. 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.