Lam Research (NASDAQ:LRCX) Sets New 52-Week High – Should You Buy?

Lam Research Corporation (NASDAQ:LRCX)’s share price hit a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $167.15 and last traded at $166.37, with a volume of 10024565 shares traded. The stock had previously closed at $159.35.

Wall Street Analyst Weigh In

A number of research analysts have commented on LRCX shares. Barclays set a $142.00 price objective on shares of Lam Research and gave the company an “equal weight” rating in a research note on Monday, October 20th. Erste Group Bank assumed coverage on Lam Research in a research report on Thursday, August 14th. They set a “buy” rating for the company. Stifel Nicolaus set a $160.00 target price on Lam Research and gave the company a “buy” rating in a research note on Thursday, October 23rd. Wells Fargo & Company upped their price target on Lam Research from $135.00 to $145.00 and gave the stock an “equal weight” rating in a research note on Thursday, October 23rd. Finally, Berenberg Bank increased their price target on Lam Research from $122.00 to $165.00 and gave the stock a “buy” rating in a report on Thursday, October 23rd. One analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and nine have issued a Hold rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $148.54.

Lam Research Price Performance

The stock has a fifty day moving average of $136.27 and a two-hundred day moving average of $107.57. The stock has a market cap of $208.97 billion, a price-to-earnings ratio of 36.65, a price-to-earnings-growth ratio of 1.68 and a beta of 1.87. 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 issued its earnings results on Wednesday, October 22nd. The semiconductor company reported $1.26 EPS for the quarter, topping the consensus estimate of $1.22 by $0.04. Lam Research had a net margin of 29.66% and a return on equity of 60.60%. The company 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 firm earned $0.86 EPS. The business’s revenue was up 27.7% on a year-over-year basis. Lam Research has set its Q2 2026 guidance at 1.050-1.250 EPS. On average, equities research analysts anticipate that Lam Research Corporation will post 3.71 earnings per share for the current year.

Lam Research Announces Dividend

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

Insider Activity

In related news, Director Bethany Mayer sold 1,298 shares of Lam Research stock in a transaction on Monday, November 3rd. The stock was sold at an average price of $159.99, for a total transaction of $207,667.02. Following the completion of the transaction, the director directly owned 1,652 shares of the company’s stock, valued at approximately $264,303.48. The trade was a 44.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Also, SVP Vahid Vahedi sold 52,190 shares of the company’s stock in a transaction on 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 directly owned 251,047 shares in the company, valued at $34,870,428.30. This trade represents a 17.21% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 62,528 shares of company stock worth $8,880,448. Company insiders own 0.31% of the company’s stock.

Institutional Investors Weigh In On Lam Research

Large investors have recently added to or reduced their stakes in the business. MAI Capital Management grew its position in shares of Lam Research by 9.6% in the third quarter. MAI Capital Management now owns 74,968 shares of the semiconductor company’s stock valued at $10,038,000 after purchasing an additional 6,537 shares during the last quarter. RWA Wealth Partners LLC lifted its stake in Lam Research by 4.1% in the 3rd quarter. RWA Wealth Partners LLC now owns 11,441 shares of the semiconductor company’s stock valued at $1,532,000 after buying an additional 451 shares in the last quarter. North Star Asset Management Inc. acquired a new stake in Lam Research during the 3rd quarter valued at $226,000. Waddell & Associates LLC purchased a new position in Lam Research during the third quarter worth $319,000. Finally, Cozad Asset Management Inc. raised its holdings in shares of Lam Research by 0.5% in the third quarter. Cozad Asset Management Inc. now owns 172,005 shares of the semiconductor company’s stock worth $23,031,000 after acquiring an additional 915 shares during the last quarter. 84.61% of the stock is owned by institutional investors and hedge funds.

About Lam Research

Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits. The company offers ALTUS systems to deposit conformal films for tungsten metallization applications; SABRE electrochemical deposition products for copper interconnect transition that offers copper damascene manufacturing; SOLA ultraviolet thermal processing products for film treatments; and VECTOR plasma-enhanced CVD ALD products.