Lam Research (NASDAQ:LRCX) Trading 2.8% Higher – Here’s Why

Lam Research Corporation (NASDAQ:LRCX) was up 2.8% during trading on Wednesday . The company traded as high as $346.19 and last traded at $343.71. Approximately 8,526,844 shares were traded during mid-day trading, a decline of 21% from the average daily volume of 10,776,171 shares. The stock had previously closed at $334.41.

Analyst Ratings Changes

Several research firms have recently issued reports on LRCX. Weiss Ratings lowered Lam Research from a “buy (b)” rating to a “buy (b-)” rating in a research report on Thursday, May 14th. Wells Fargo & Company restated an “overweight” rating and set a $575.00 price objective (up from $320.00) on shares of Lam Research in a report on Monday. Erste Group Bank lowered shares of Lam Research from a “buy” rating to a “hold” rating in a report on Thursday, April 2nd. B. Riley Financial lifted their price target on shares of Lam Research from $350.00 to $375.00 and gave the stock a “buy” rating in a research report on Tuesday, May 12th. Finally, TD Cowen upped their price objective on shares of Lam Research from $290.00 to $340.00 and gave the company a “buy” rating in a research report on Thursday, April 23rd. Twenty-seven investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat, Lam Research presently has a consensus rating of “Moderate Buy” and a consensus target price of $303.30.

Lam Research Price Performance

The stock has a market cap of $396.66 billion, a price-to-earnings ratio of 59.83, a P/E/G ratio of 2.85 and a beta of 1.85. The company has a 50 day simple moving average of $271.83 and a 200-day simple moving average of $226.18. 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 posted its quarterly earnings data on Wednesday, April 22nd. The semiconductor company reported $1.47 earnings per share for the quarter, topping the consensus estimate of $1.36 by $0.11. Lam Research had a return on equity of 66.21% and a net margin of 30.94%.The company had revenue of $5.84 billion during the quarter, compared to analysts’ expectations of $5.70 billion. During the same period in the prior year, the firm earned $1.04 earnings per share. Lam Research’s revenue for the quarter was up 23.8% compared to the same quarter last year. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. Research analysts expect that Lam Research Corporation will post 5.67 EPS for the current year.

Lam Research Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, July 8th. Stockholders of record on Wednesday, June 17th will be paid a dividend of $0.26 per share. This represents a $1.04 annualized dividend and a dividend yield of 0.3%. The ex-dividend date of this dividend is Wednesday, June 17th. Lam Research’s dividend payout ratio (DPR) is currently 19.62%.

Insiders Place Their Bets

In other news, SVP Neil J. Fernandes sold 7,659 shares of the firm’s stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $309.60, for a total value of $2,371,226.40. Following the completion of the transaction, the senior vice president owned 58,470 shares in the company, valued at $18,102,312. This trade represents a 11.58% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at 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 stock was sold at an average price of $258.66, for a total value of $1,554,546.60. Following the sale, the insider owned 53,205 shares in the company, valued at $13,762,005.30. The trade was a 10.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 31,839 shares of company stock worth $8,561,667. 0.31% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the stock. Norges Bank bought a new position in shares of Lam Research in the fourth quarter valued at $3,645,427,000. Price T Rowe Associates Inc. MD lifted its stake in Lam Research by 352.2% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 13,695,210 shares of the semiconductor company’s stock valued at $2,344,347,000 after acquiring an additional 10,666,540 shares during the last quarter. Arrowstreet Capital Limited Partnership grew its position in shares of Lam Research by 781.3% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 11,340,865 shares of the semiconductor company’s stock valued at $1,518,542,000 after acquiring an additional 10,053,978 shares during the period. Franklin Resources Inc. increased its stake in shares of Lam Research by 57.0% during the 4th quarter. Franklin Resources Inc. now owns 10,110,560 shares of the semiconductor company’s stock worth $1,730,724,000 after purchasing an additional 3,671,073 shares during the last quarter. Finally, Corient Private Wealth LLC raised its holdings in shares of Lam Research by 235.5% in the 4th quarter. Corient Private Wealth LLC now owns 5,199,441 shares of the semiconductor company’s stock valued at $890,040,000 after purchasing an additional 3,649,553 shares during the period. 84.61% of the stock is currently 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.