Lam Research (NASDAQ:LRCX) Trading Up 6% – Time to Buy?

Lam Research Corporation (NASDAQ:LRCX) shares shot up 6% during trading on Monday . The stock traded as high as $393.07 and last traded at $388.92. 13,397,968 shares were traded during trading, an increase of 23% from the average session volume of 10,892,765 shares. The stock had previously closed at $366.81.

Lam Research News Summary

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

• Positive Sentiment: Lam Research is being highlighted as a strong growth stock, with articles pointing to solid earnings outlook, market-beating potential, and long-term appeal. Is Lam Research (LRCX) a Solid Growth Stock? 3 Reasons to Think “Yes”
• Positive Sentiment: Broader semiconductor momentum is supporting LRCX, as chip ETFs and several semiconductor names have been breaking out to new highs, suggesting strong sector-wide risk appetite. Chips Up 8.8% in One Week: 5 Semiconductor Names Breaking Into New Highs
• Positive Sentiment: Lam Research’s fair value estimate was raised after analyst target increases, reinforcing the view that Wall Street sees more upside tied to wafer fab equipment spending and AI-related demand. Lam Research (LRCX) Stock Fair Value Edges Higher After Analyst Target Increases
• Neutral Sentiment: Commentary on Lam Research’s recent run-up says the stock has surged off its June lows, but valuation and momentum are now in tension, which may make some investors more cautious at current levels. Buy, Hold, or Sell: Lam Research Rocketed 21% Off Its June Lows as a New Fed Begins. Is LRCX Worthwhile at $366?
• Neutral Sentiment: Analyst and brokerage-focused articles remain constructive overall, but they mainly reinforce existing optimism rather than introduce a clear new catalyst. Why Lam Research (LRCX) is a Top Stock for the Long-Term
• Negative Sentiment: Director Eric Brandt sold 54,500 shares in a pre-arranged 10b5-1 transaction, which can raise questions about insider sentiment even though the sale was planned in advance. SEC Form 4 filing

Analyst Upgrades and Downgrades

Several brokerages have commented on LRCX. UBS Group reiterated a “buy” rating and set a $375.00 target price (up from $310.00) on shares of Lam Research in a research note on Tuesday, June 9th. JPMorgan Chase & Co. increased their target price on Lam Research from $300.00 to $315.00 and gave the company an “overweight” rating in a research note on Thursday, April 23rd. TD Cowen increased their target price on Lam Research from $290.00 to $340.00 and gave the company a “buy” rating in a research note on Thursday, April 23rd. Stifel Nicolaus increased their target price on Lam Research from $300.00 to $325.00 and gave the company a “buy” rating in a research note on Thursday, April 23rd. Finally, B. Riley Financial increased their target price on Lam Research from $350.00 to $375.00 and gave the company a “buy” rating in a research note on Tuesday, May 12th. Twenty-eight investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $324.26.

Lam Research Trading Up 6.0%

The stock has a market capitalization of $486.37 billion, a PE ratio of 73.38, a P/E/G ratio of 3.02 and a beta of 1.85. The company has a current ratio of 2.54, a quick ratio of 1.77 and a debt-to-equity ratio of 0.35. The stock has a 50 day moving average price of $286.10 and a 200-day moving average price of $234.16.

Lam Research (NASDAQ:LRCX) last released its quarterly earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.36 by $0.11. The firm had revenue of $5.84 billion for the quarter, compared to the consensus estimate of $5.70 billion. Lam Research had a return on equity of 66.21% and a net margin of 30.94%.The company’s revenue for the quarter was up 23.8% on a year-over-year basis. During the same period last year, the business posted $1.04 EPS. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. Sell-side analysts expect that Lam Research Corporation will post 5.7 earnings per share for the current year.

Lam Research Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Wednesday, July 8th. Investors of record on Wednesday, June 17th will be issued a $0.26 dividend. This represents a $1.04 dividend on an annualized basis and a 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%.

Insider Buying and Selling

In related news, Director Eric Brandt sold 54,500 shares of the firm’s stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $350.80, for a total value of $19,118,600.00. Following the transaction, the director directly owned 199,205 shares of the company’s stock, valued at approximately $69,881,114. This trade represents a 21.48% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Ava Harter sold 6,010 shares of the firm’s stock in a transaction on 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 completion of the transaction, the insider directly owned 53,205 shares in the company, valued at approximately $13,762,005.30. This represents a 10.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 86,339 shares of company stock valued at $27,680,267. 0.31% of the stock is owned by company insiders.

Institutional Investors Weigh In On Lam Research

Institutional investors and hedge funds have recently bought and sold shares of the business. PMV Capital Advisers LLC bought a new stake in Lam Research during the fourth quarter valued at about $25,000. Stance Capital LLC bought a new stake in Lam Research during the third quarter valued at about $26,000. Bayban bought a new stake in Lam Research during the fourth quarter valued at about $26,000. Vermillion Wealth Management Inc. bought a new stake in Lam Research during the first quarter valued at about $26,000. Finally, Cedar Mountain Advisors LLC raised its holdings in Lam Research by 242.9% during the first quarter. Cedar Mountain Advisors LLC now owns 120 shares of the semiconductor company’s stock valued at $26,000 after acquiring an additional 85 shares during the period. 84.61% of the stock is owned by institutional investors.

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.