Lam Research (NASDAQ:LRCX) Trading Down 1.2% – Time to Sell?

Lam Research Corporation (NASDAQ:LRCX) shares fell 1.2% during mid-day trading on Monday . The stock traded as low as $174.75 and last traded at $175.87. 6,113,806 shares were traded during trading, a decline of 48% from the average session volume of 11,741,299 shares. The stock had previously closed at $178.07.

Wall Street Analyst Weigh In

Several analysts have commented on LRCX shares. Zacks Research cut shares of Lam Research from a “strong-buy” rating to a “hold” rating in a research note on Monday, November 24th. Weiss Ratings restated a “buy (b)” rating on shares of Lam Research in a report on Monday, December 22nd. Mizuho upped their target price on Lam Research from $170.00 to $200.00 and gave the company an “outperform” rating in a research note on Wednesday, December 17th. Citigroup increased their target price on Lam Research from $175.00 to $190.00 and gave the stock a “buy” rating in a research report on Tuesday, November 11th. Finally, Jefferies Financial Group restated a “buy” rating and issued a $200.00 price target (up previously from $175.00) on shares of Lam Research in a report on Monday, December 15th. Twenty-six analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $161.21.

Lam Research Price Performance

The company has a 50 day simple moving average of $158.39 and a 200 day simple moving average of $126.45. The company has a market capitalization of $220.90 billion, a price-to-earnings ratio of 38.74, a price-to-earnings-growth ratio of 2.06 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 released its quarterly earnings data on Wednesday, October 22nd. The semiconductor company reported $1.26 earnings per share for the quarter, beating the consensus estimate 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 for the quarter, compared to analyst estimates of $5.23 billion. During the same period in the previous year, the company posted $0.86 EPS. The company’s revenue was up 27.7% compared to the same quarter last year. Lam Research has set its Q2 2026 guidance at 1.050-1.250 EPS. As a group, research analysts predict that Lam Research Corporation will post 3.71 EPS for the current year.

Lam Research Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, January 7th. Stockholders of record on Wednesday, December 3rd will be paid a $0.26 dividend. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend is Wednesday, December 3rd. Lam Research’s dividend payout ratio (DPR) is currently 22.91%.

Insider Buying and Selling at Lam Research

In other Lam Research news, insider Ava Harter sold 9,010 shares of the business’s stock in a transaction dated Monday, October 27th. The stock was sold at an average price of $157.47, for a total transaction of $1,418,804.70. Following the transaction, the insider owned 56,786 shares in the company, valued at $8,942,091.42. The trade was a 13.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, SVP Vahid Vahedi sold 52,190 shares of the stock in a transaction dated Monday, October 13th. The shares were sold at an average price of $138.90, for a total value of $7,249,191.00. Following the completion of the sale, the senior vice president owned 251,047 shares of the company’s stock, valued at approximately $34,870,428.30. This trade represents a 17.21% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 102,608 shares of company stock valued at $14,916,496 in the last quarter. Company insiders own 0.31% of the company’s stock.

Hedge Funds Weigh In On Lam Research

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Norges Bank acquired a new position in shares of Lam Research during the second quarter worth $1,894,585,000. Arrowstreet Capital Limited Partnership increased its stake in Lam Research by 781.3% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 11,340,865 shares of the semiconductor company’s stock worth $1,518,542,000 after buying an additional 10,053,978 shares during the period. JPMorgan Chase & Co. boosted its position in Lam Research by 14.4% in the 2nd quarter. JPMorgan Chase & Co. now owns 40,622,437 shares of the semiconductor company’s stock valued at $3,954,188,000 after buying an additional 5,102,589 shares during the last quarter. Invesco Ltd. grew its stake in shares of Lam Research by 18.2% during the third quarter. Invesco Ltd. now owns 21,182,948 shares of the semiconductor company’s stock valued at $2,836,397,000 after acquiring an additional 3,263,658 shares in the last quarter. Finally, Nordea Investment Management AB increased its position in shares of Lam Research by 34.1% during the second quarter. Nordea Investment Management AB now owns 10,594,574 shares of the semiconductor company’s stock worth $1,029,210,000 after acquiring an additional 2,692,189 shares during the last quarter. Hedge funds and other 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.