Lam Research (NASDAQ:LRCX) Stock Price Up 7% – Time to Buy?

Shares of Lam Research Corporation (NASDAQ:LRCX) rose 7% during mid-day trading on Monday . The stock traded as high as $330.68 and last traded at $324.45. Approximately 11,411,820 shares were traded during mid-day trading, an increase of 6% from the average daily volume of 10,783,759 shares. The stock had previously closed at $303.28.

Lam Research News Roundup

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

• Positive Sentiment: Barclays raised its price target on Lam Research to $335 from $275, keeping an equal weight rating. The firm also lifted wafer fabrication equipment estimates, which supports the view that demand for chip-making tools remains healthy. Article: Barclays adjusts Lam Research price target to 335 from 275
• Positive Sentiment: Lam Research was also included among “top unstoppable growth stocks,” reinforcing investor interest in the name as a high-growth semiconductor play. Article: Lam Research Corporation among the top unstoppable growth stocks
• Positive Sentiment: Semiconductor equipment stocks have been trading at record highs amid continued AI-driven demand for chip gear, a sector tailwind that is helping lift Lam Research and peers like Applied Materials and KLA. Article: Applied Materials, Other Chip Gear Stocks At Record Highs
• Neutral Sentiment: Recent commentary on the semiconductor sector suggests the group may be due for a correction after a strong run, which could create near-term volatility for Lam Research even if the longer-term outlook remains constructive. Article: Semiconductor Index Outlook: Upside Target Reached, Correction Underway
• Negative Sentiment: Some investors are also debating whether the semiconductor cycle is nearing a peak, which could temper enthusiasm if chip-equipment demand slows later this year. Article: Lam Research: The Etch Monopoly Printing Record Margins While The Street Debates Peak Cycle

Analyst Upgrades and Downgrades

LRCX has been the topic of several recent research reports. Needham & Company LLC reiterated a “buy” rating and issued a $300.00 price target on shares of Lam Research in a research note on Thursday, April 23rd. TD Cowen boosted their price objective on shares of Lam Research from $290.00 to $340.00 and gave the stock a “buy” rating in a research note on Thursday, April 23rd. UBS Group restated a “buy” rating and set a $375.00 price objective (up from $310.00) on shares of Lam Research in a research note on Tuesday. JPMorgan Chase & Co. boosted their price objective on shares of Lam Research from $300.00 to $315.00 and gave the stock an “overweight” rating in a research note on Thursday, April 23rd. Finally, Seaport Research Partners started coverage on shares of Lam Research in a research note on Monday, May 4th. They set a “buy” rating and a $300.00 price objective on the stock. Twenty-seven investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. Based on data from MarketBeat, Lam Research has an average rating of “Moderate Buy” and an average price target of $322.01.

Lam Research Stock Performance

The firm has a market cap of $402.43 billion, a price-to-earnings ratio of 60.72, a price-to-earnings-growth ratio of 2.69 and a beta of 1.85. The stock’s 50 day moving average is $277.79 and its 200 day moving average is $229.81. The company has a current ratio of 2.54, a quick ratio of 1.77 and a debt-to-equity ratio of 0.35.

Lam Research (NASDAQ:LRCX) last announced its quarterly earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 EPS for the quarter, beating analysts’ consensus estimates of $1.36 by $0.11. Lam Research had a net margin of 30.94% and a return on equity of 66.21%. The business had revenue of $5.84 billion for the quarter, compared to analyst estimates of $5.70 billion. During the same quarter in the prior year, the business earned $1.04 EPS. Lam Research’s quarterly revenue was up 23.8% on a year-over-year basis. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. Analysts anticipate that Lam Research Corporation will post 5.67 earnings per share for the current year.

Lam Research Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, July 8th. Investors of record on Wednesday, June 17th will be paid a $0.26 dividend. The ex-dividend date is Wednesday, June 17th. This represents a $1.04 dividend on an annualized basis and a yield of 0.3%. Lam Research’s dividend payout ratio is 19.62%.

Insider Transactions at Lam Research

In related news, SVP Neil J. Fernandes sold 18,170 shares of the company’s stock in a transaction dated Friday, May 1st. The shares were sold at an average price of $255.14, for a total value of $4,635,893.80. Following the transaction, the senior vice president owned 66,129 shares in the company, valued at approximately $16,872,153.06. This represents a 21.55% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Ava Harter sold 6,010 shares of the company’s stock in a transaction dated Monday, April 27th. The shares were sold at an average price of $258.66, for a total transaction of $1,554,546.60. Following the completion of the transaction, the insider owned 53,205 shares in the company, valued at approximately $13,762,005.30. This trade represents a 10.15% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders sold 31,839 shares of company stock worth $8,561,667. 0.31% of the stock is owned by company insiders.

Institutional Trading of Lam Research

Institutional investors have recently bought and sold shares of the business. PMV Capital Advisers LLC bought a new stake in Lam Research in the 4th quarter valued at about $25,000. Stance Capital LLC bought a new stake in Lam Research in the 3rd quarter valued at about $26,000. Bayban bought a new stake in Lam Research in the 4th quarter valued at about $26,000. Vermillion Wealth Management Inc. bought a new stake in Lam Research in the 1st quarter valued at about $26,000. Finally, Cedar Mountain Advisors LLC boosted its holdings in Lam Research by 242.9% in the 1st quarter. Cedar Mountain Advisors LLC now owns 120 shares of the semiconductor company’s stock valued at $26,000 after purchasing an additional 85 shares during the period. Institutional investors 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.