Lam Research (NASDAQ:LRCX) Stock Price Down 5.6% After Insider Selling

Lam Research Corporation (NASDAQ:LRCX)’s stock price traded down 5.6% on Thursday following insider selling activity. The company traded as low as $297.01 and last traded at $298.01. 9,831,907 shares traded hands during mid-day trading, a decline of 10% from the average daily volume of 10,881,781 shares. The stock had previously closed at $315.84.

Specifically, Director Bethany Mayer sold 9,557 shares of Lam Research stock in a transaction dated Wednesday, September 9th. The stock was sold at an average price of $314.74, for a total transaction of $3,007,970.18. Following the transaction, the director directly owned 20,995 shares of the company’s stock, valued at approximately $6,607,966.30. The trade was a 31.28% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link.

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the company. Rothschild & Co Redburn increased their price target on Lam Research from $305.00 to $420.00 and gave the company a “buy” rating in a research note on Wednesday, June 17th. Raymond James Financial set a $425.00 price objective on Lam Research in a research note on Wednesday, June 10th. UBS Group reduced their target price on Lam Research from $435.00 to $425.00 and set a “buy” rating on the stock in a report on Tuesday, September 1st. Stifel Nicolaus increased their target price on shares of Lam Research from $325.00 to $425.00 and gave the company a “buy” rating in a research report on Friday, July 10th. Finally, Oppenheimer restated an “outperform” rating and set a $400.00 price target (up from $330.00) on shares of Lam Research in a report on Monday, June 15th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $361.81.

More Lam Research News

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

• Positive Sentiment: Lam Research is positioned to benefit from the memory-chip investment cycle. Global wafer-fabrication-equipment spending is projected to increase 16.9% to $135.2 billion in 2026, with DRAM and NAND spending supported by demand for HBM, advanced memory and enterprise storage. Lam is described as having the greatest memory exposure among several major equipment suppliers. 3 Chip Equipment Stocks Set to Win the Memory Boom
• Positive Sentiment: The company returned $5.12 billion to shareholders in fiscal 2026 through repurchases and dividends, including a 27% dividend increase. Strong earnings and capital returns may support investor confidence. Lam Research Returns $5B+ to Shareholders in FY26
• Positive Sentiment: Analyst commentary continues to highlight Lam Research’s competitive advantages and long-term positioning, with the company included among wide-moat stocks. Its latest reported quarter also exceeded earnings and revenue expectations, with revenue up 30% year over year.
• Neutral Sentiment: Recent conference and investor-letter coverage points to macroeconomic volatility, inflation concerns and uncertainty surrounding Federal Reserve policy and leadership. These factors could contribute to choppy trading across high-beta technology stocks.
• Neutral Sentiment: Several articles describe clinical studies involving aesthetic surgery, imaging or vein health that appear unrelated to Lam Research’s semiconductor-equipment business and are likely erroneous or misattributed. They do not provide a meaningful investment catalyst for LRCX.
• Negative Sentiment: Director Bethany Mayer sold 9,557 shares for approximately $3.0 million at an average price of $314.74, reducing her ownership by 31.28%. While a single insider sale does not establish a fundamental problem, it can weigh on sentiment and encourage profit-taking.
• Negative Sentiment: The stock also recently underperformed the broader market, suggesting investors may be taking profits or reducing exposure to richly valued semiconductor shares. Lam Research trades at roughly 52 times earnings, leaving the stock sensitive to changes in growth expectations and market risk appetite.

Lam Research Price Performance

The company has a market capitalization of $372.91 billion, a price-to-earnings ratio of 51.74, a P/E/G ratio of 1.27 and a beta of 1.85. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.91 and a current ratio of 2.63. The business has a 50 day moving average price of $315.51 and a 200-day moving average price of $293.41.

Lam Research (NASDAQ:LRCX) last announced its earnings results on Wednesday, July 29th. The semiconductor company reported $1.82 EPS for the quarter, beating the consensus estimate of $1.69 by $0.13. Lam Research had a return on equity of 67.60% and a net margin of 31.27%.The company had revenue of $6.72 billion for the quarter, compared to analyst estimates of $6.66 billion. During the same quarter in the prior year, the company earned $1.33 EPS. The firm’s revenue for the quarter was up 30.0% compared to the same quarter last year. Lam Research has set its Q1 2027 guidance at 2.000-2.300 EPS. Research analysts predict that Lam Research Corporation will post 9.33 EPS for the current fiscal year.

Lam Research Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, October 14th. Shareholders of record on Wednesday, September 23rd will be issued a dividend of $0.33 per share. This represents a $1.32 dividend on an annualized basis and a dividend yield of 0.4%. The ex-dividend date is Wednesday, September 23rd. This is a positive change from Lam Research’s previous quarterly dividend of $0.26. Lam Research’s dividend payout ratio (DPR) is currently 18.06%.

Institutional Trading of Lam Research

Large investors have recently modified their holdings of the stock. Brighton Jones LLC increased its stake in shares of Lam Research by 1,032.4% in the 4th quarter. Brighton Jones LLC now owns 14,189 shares of the semiconductor company’s stock valued at $1,025,000 after acquiring an additional 12,936 shares in the last quarter. Caxton Associates LLP bought a new position in Lam Research during the first quarter worth $239,000. Gabelli Funds LLC bought a new position in Lam Research during the second quarter worth $253,000. NewEdge Advisors LLC grew its holdings in Lam Research by 2.7% in the second 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. grew its holdings in Lam Research by 5,206.7% in the second quarter. Osterweis Capital Management Inc. now owns 796 shares of the semiconductor company’s stock worth $77,000 after purchasing an additional 781 shares during the period. Institutional investors and hedge funds own 84.61% of the company’s stock.

Lam Research Company Profile

Lam Research Corporation is a semiconductor equipment company that develops and manufactures systems used in the fabrication of integrated circuits. Its equipment supports key wafer-processing steps, including deposition, etch, wafer cleaning, and related processes used to create and connect the microscopic features found on semiconductor devices.

The company serves semiconductor manufacturers producing a range of products, including memory, logic, and specialty chips. In addition to manufacturing equipment, Lam Research provides installation, maintenance, spare parts, upgrades, technical support, and other services intended to help customers operate and improve their fabrication facilities.

Founded in 1980, Lam Research is headquartered in Fremont, California, and serves customers through a global network of offices, engineering facilities, and support operations.