Lam Research (NASDAQ:LRCX) Trading Down 6.3% – What’s Next?

Lam Research Corporation (NASDAQ:LRCX)’s stock price was down 6.3% on Wednesday . The stock traded as low as $305.08 and last traded at $307.17. Approximately 9,943,609 shares traded hands during trading, a decline of 12% from the average daily volume of 11,243,897 shares. The stock had previously closed at $327.92.

Analysts Set New Price Targets

A number of research analysts recently commented on the company. Wall Street Zen cut Lam Research from a “buy” rating to a “hold” rating in a report on Sunday, May 10th. Evercore reaffirmed an “outperform” rating and set a $355.00 price objective on shares of Lam Research in a report on Monday, July 20th. JPMorgan Chase & Co. boosted their price target on shares of Lam Research from $300.00 to $315.00 and gave the stock an “overweight” rating in a research report on Thursday, April 23rd. Morgan Stanley dropped their price objective on shares of Lam Research from $404.00 to $367.00 and set an “overweight” rating for the company in a research note on Thursday, July 30th. Finally, B. Riley Financial decreased their target price on shares of Lam Research from $385.00 to $350.00 and set a “buy” rating on the stock in a research report on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $358.47.

Lam Research Stock Performance

The business’s 50-day moving average price is $338.53 and its 200-day moving average price is $285.89. The company has a current ratio of 2.63, a quick ratio of 1.91 and a debt-to-equity ratio of 0.30. The stock has a market cap of $392.91 billion, a PE ratio of 54.51, a P/E/G ratio of 1.22 and a beta of 1.84.

Lam Research (NASDAQ:LRCX) last posted its quarterly earnings results on Wednesday, July 29th. The semiconductor company reported $1.82 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.69 by $0.13. The business had revenue of $6.72 billion during the quarter, compared to analysts’ expectations of $6.66 billion. Lam Research had a net margin of 31.27% and a return on equity of 67.60%. The business’s quarterly revenue was up 30.0% on a year-over-year basis. During the same quarter last year, the company posted $1.33 earnings per share. Lam Research has set its Q1 2027 guidance at 2.000-2.300 EPS. As a group, equities research analysts expect that Lam Research Corporation will post 9.32 earnings per share for the current fiscal year.

Insider Buying and Selling at Lam Research

In other news, Director Eric Brandt sold 54,500 shares of the firm’s stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $350.80, for a total value of $19,118,600.00. Following the completion of the transaction, the director owned 199,205 shares of the company’s stock, valued at approximately $69,881,114. This trade represents a 21.48% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Abhijit Y. Talwalkar sold 18,282 shares of the firm’s stock in a transaction that occurred on Monday, July 13th. The shares were sold at an average price of $335.00, for a total transaction of $6,124,470.00. Following the completion of the sale, the director directly owned 87,142 shares in the company, valued at approximately $29,192,570. This trade represents a 17.34% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 80,441 shares of company stock valued at $27,614,296 over the last quarter. 0.31% of the stock is owned by company insiders.

Hedge Funds Weigh In On Lam Research

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Brighton Jones LLC grew its stake in shares of Lam Research by 1,032.4% during the 4th quarter. Brighton Jones LLC now owns 14,189 shares of the semiconductor company’s stock valued at $1,025,000 after buying an additional 12,936 shares during the period. Caxton Associates LLP purchased a new stake in Lam Research during the first quarter valued at about $239,000. Gabelli Funds LLC acquired a new stake in Lam Research during the second quarter worth about $253,000. NewEdge Advisors LLC raised its holdings in shares of Lam Research by 2.7% in the 2nd quarter. NewEdge Advisors LLC now owns 100,528 shares of the semiconductor company’s stock worth $9,785,000 after purchasing an additional 2,661 shares during the period. Finally, Osterweis Capital Management Inc. lifted its stake in shares of Lam Research by 5,206.7% in the 2nd quarter. Osterweis Capital Management Inc. now owns 796 shares of the semiconductor company’s stock valued at $77,000 after purchasing an additional 781 shares in the last quarter. Institutional investors and hedge funds own 84.61% of the company’s stock.

About Lam Research

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.