Lam Research (NASDAQ:LRCX) Stock Price Down 3.4% – Here’s What Happened

Shares of Lam Research Corporation (NASDAQ:LRCX) were down 3.4% during mid-day trading on Thursday . The stock traded as low as $219.76 and last traded at $220.70. Approximately 11,469,361 shares changed hands during mid-day trading, a decline of 20% from the average daily volume of 14,260,832 shares. The stock had previously closed at $228.39.

Trending Headlines about Lam Research

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

• Positive Sentiment: Zacks upgraded LRCX from “hold” to “strong-buy,” signaling renewed analyst conviction that the company can keep outperforming as semiconductor demand remains strong. Read More.
• Positive Sentiment: Zacks highlights Lam’s track record of beating estimates and says the company currently has the key drivers (momentum + favorable fundamentals) that make another earnings beat likely. Upcoming results are a potential catalyst. Read More.
• Positive Sentiment: Lam was added to Zacks Rank #1 (Strong Buy) momentum lists and recently outperformed the broader market, underscoring short-term bullish analyst sentiment and investor interest. Read More.
• Positive Sentiment: Seeking Alpha and other coverage argue Lam benefits as chipmakers shift to “vertical” and more advanced process steps — a structural tailwind for Lam’s wafer-fabrication tools and recurring high-margin revenue. Read More.
• Positive Sentiment: Some analyst compilations (Benzinga) show upside scenarios — several firms project double-digit upside for LRCX, which keeps bullish price-target chatter alive. Read More.
• Neutral Sentiment: Jim Cramer called Lam “the best of the best” but cautioned against buying into parabolic moves — positive endorsement balanced by a warning about buying at extreme momentum. Read More.
• Neutral Sentiment: MarketBeat compared Lam favorably to peers for recurring, high-margin revenue and strong recent sales, but framed this inside a broader industry comparison — useful context but not an immediate catalyst. Read More.
• Negative Sentiment: MarketBeat and some analyst notes caution that Lam’s rapid 2025 rally may be overextended; certain analyst aggregates now forecast a near-term cooling with downside from current levels, which could pressure the stock if earnings or guidance disappoint. Read More.
• Neutral Sentiment: Investors should watch the imminent earnings release — Zacks and others flag it as the primary near-term catalyst that could validate the bullish case or trigger a pullback. Read More.

Analysts Set New Price Targets

A number of brokerages have issued reports on LRCX. Dbs Bank boosted their price target on shares of Lam Research from $119.40 to $184.20 in a research note on Monday, October 27th. The Goldman Sachs Group reaffirmed a “buy” rating and set a $180.00 target price on shares of Lam Research in a research note on Friday, January 9th. Cantor Fitzgerald reissued an “overweight” rating and issued a $265.00 price target (up previously from $210.00) on shares of Lam Research in a research report on Thursday, January 8th. B. Riley restated a “buy” rating on shares of Lam Research in a research note on Thursday, January 15th. Finally, Needham & Company LLC reiterated a “buy” rating and issued a $250.00 price objective (up from $160.00) on shares of Lam Research in a research note on Tuesday. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating and seven have issued a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $198.75.

Lam Research Trading Down 3.4%

The company has a current ratio of 2.21, a quick ratio of 1.60 and a debt-to-equity ratio of 0.37. The firm has a market cap of $277.21 billion, a PE ratio of 48.61, a P/E/G ratio of 2.55 and a beta of 1.77. The business has a fifty day moving average price of $175.34 and a 200 day moving average price of $139.90.

Lam Research (NASDAQ:LRCX) last announced its quarterly earnings results on Wednesday, October 22nd. The semiconductor company reported $1.26 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.22 by $0.04. Lam Research had a return on equity of 60.60% and a net margin of 29.66%.The firm had revenue of $5.32 billion during the quarter, compared to the consensus estimate of $5.23 billion. During the same period in the prior year, the company posted $0.86 earnings per share. The firm’s quarterly revenue was up 27.7% compared to the same quarter last year. Analysts forecast that Lam Research Corporation will post 3.71 EPS for the current year.

Lam Research Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, January 7th. Investors of record on Wednesday, December 3rd were given a $0.26 dividend. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.5%. The ex-dividend date of this dividend was Wednesday, December 3rd. Lam Research’s dividend payout ratio (DPR) is 22.91%.

Insider Buying and Selling

In other news, CFO Douglas R. Bettinger sold 40,080 shares of the business’s stock in a transaction dated Friday, November 14th. The stock was sold at an average price of $150.60, for a total value of $6,036,048.00. Following the completion of the sale, the chief financial officer directly owned 987,237 shares of the company’s stock, valued at approximately $148,677,892.20. The trade was a 3.90% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Ava Harter sold 9,010 shares of the company’s stock in a transaction dated Monday, October 27th. The shares were sold at an average price of $157.47, for a total value of $1,418,804.70. Following the completion of the sale, the insider directly owned 56,786 shares of the company’s stock, valued at approximately $8,942,091.42. This trade represents a 13.69% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 50,418 shares of company stock worth $7,667,305 in the last ninety days. 0.31% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Lam Research

Several large investors have recently modified their holdings of LRCX. PMV Capital Advisers LLC acquired a new stake in shares of Lam Research during the fourth quarter worth about $25,000. IMG Wealth Management Inc. purchased a new stake in Lam Research during the 2nd quarter valued at approximately $26,000. Stance Capital LLC purchased a new stake in Lam Research during the 3rd quarter valued at approximately $26,000. Howard Hughes Medical Institute acquired a new stake in Lam Research during the 2nd quarter worth approximately $27,000. Finally, Triumph Capital Management purchased a new position in shares of Lam Research in the 3rd quarter valued at approximately $27,000. 84.61% of the stock is owned by institutional investors and hedge funds.

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.