Equities researchers at Goldman Sachs (NYSE: GS) set a $38.00 target price on shares of Lam Research (NASDAQ: LRCX) stock in a report issued on Wednesday. The firm currently has a a “neutral” rating on the stock.
The analysts wrote, “While Neutral rated on the stock we have a positive long-term outlook on the company as: (1) We expect the Novellus acquisition to be accretive, and we believe Lam could achieve cost synergies beyond the $100 mn per year objective exiting 2013 that the company is targeting given management’s experience with restructuring Lam’s operations and integrating SEZ; (2) Lam is likely to eventually add Intel as an etch customer given Novellus’ historical relationship with Intel in deposition. This would represent upside potential to our current estimates; (3) Lam has above average exposure to NAND, a market that is currently very weak but has some potential to improve in 2013.”
Shares of Lam Research traded up 3.16% during mid-day trading on Wednesday, hitting $38.50. Lam Research has a 52 week low of $34.81 and a 52 week high of $46.27. The company has a market cap of $4.630 billion and a P/E ratio of 16.51.
Lam Research last announced its earnings results on Wednesday, April 18th. The company reported $0.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.45 by $0.05. The company’s revenue for the quarter was down 18.6% on a year-over-year basis. On average, analysts predict that Lam Research will post $0.77 earnings per share next quarter.
Several other analysts have also recently commented on the stock. Analysts at Barclays Capital (NYSE: BCS) reiterated an “overweight” rating on shares of Lam Research in a research note to investors on Tuesday. Separately, analysts at Needham & Company cut their price target on shares of Lam Research from $50.00 to $48.00 in a research note to investors on Tuesday. They now have a “buy” rating on the stock. Finally, analysts at JPMorgan Chase (NYSE: JPM) downgraded shares of Lam Research from a “neutral” rating to an “underweight” rating in a research note to investors on Wednesday, May 16th. They now have a $35.00 price target on the stock.
Lam Research Corporation (Lam Research) is a supplier of wafer fabrication equipment and services to the worldwide semiconductor industry.