Lam Research (NASDAQ:LRCX) Releases Q2 2027 Earnings Guidance

Lam Research (NASDAQ:LRCX) issued an update on its second quarter 2027 earnings guidance on Friday morning. The company provided earnings per share guidance of 2.180-2.480 for the period, compared to the consensus estimate of 2.300. The company issued revenue guidance of $8.2 billion-$9.0 billion, compared to the consensus revenue estimate of $8.5 billion.

Lam Research Stock Down 0.0%

NASDAQ:LRCX opened at $230.10 on Friday. Lam Research has a one year low of $135.50 and a one year high of $438.50. The company has a debt-to-equity ratio of 0.27, a current ratio of 2.48 and a quick ratio of 1.91. The company has a market cap of $287.95 billion, a PE ratio of 34.29, a P/E/G ratio of 0.83 and a beta of 1.85. The firm’s 50 day simple moving average is $301.90 and its 200 day simple moving average is $309.32.

Lam Research (NASDAQ:LRCX) last issued its quarterly earnings data on Wednesday, October 21st. The semiconductor company reported $2.20 earnings per share for the quarter, topping the consensus estimate of $2.18 by $0.02. The company had revenue of $8.22 billion for the quarter, compared to analysts’ expectations of $8.14 billion. Lam Research had a net margin of 32.34% and a return on equity of 72.15%. Lam Research’s revenue for the quarter was up 54.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.26 earnings per share. On average, research analysts anticipate that Lam Research will post 9.48 earnings per share for the current year.

Lam Research Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, October 14th. Shareholders of record on Wednesday, September 23rd were issued a dividend of $0.33 per share. This represents a $1.32 annualized dividend and a yield of 0.6%. The ex-dividend date of this dividend was Wednesday, September 23rd. This is a boost from Lam Research’s previous quarterly dividend of $0.26. Lam Research’s dividend payout ratio (DPR) is presently 19.67%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on LRCX shares. Weiss Ratings lowered Lam Research from a “buy (b)” rating to a “buy (b-)” rating in a research report on Friday, September 4th. Deutsche Bank Aktiengesellschaft reissued a “buy” rating and issued a $375.00 price target on shares of Lam Research in a research note on Monday, October 19th. Bank of America restated a “buy” rating and set a $345.00 price objective on shares of Lam Research in a research report on Thursday. Wall Street Zen raised Lam Research from a “hold” rating to a “buy” rating in a research note on Saturday. Finally, Berenberg Bank set a $420.00 price objective on Lam Research in a research note on Wednesday, September 9th. Twenty-six equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $354.55.

Insider Buying and Selling at Lam Research

In other Lam Research news, insider Ava Harter sold 5,000 shares of the company’s stock in a transaction on Monday, August 31st. The shares were sold at an average price of $302.46, for a total transaction of $1,512,300.00. Following the sale, the insider owned 42,462 shares of the company’s stock, valued at approximately $12,843,056.52. This represents a 10.53% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bethany Mayer sold 9,557 shares of the company’s stock in a transaction on Wednesday, September 9th. The shares were sold at an average price of $314.74, for a total transaction of $3,007,970.18. Following the sale, the director directly owned 20,995 shares in the company, valued at $6,607,966.30. This trade represents a 31.28% decrease in their position. The SEC filing for this sale provides additional information. 0.31% of the stock is owned by insiders.

Key Lam Research News

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

• Positive Sentiment: Record results and strong profitability: Fiscal first-quarter revenue rose 54.4% year over year to $8.22 billion, exceeding estimates, while adjusted EPS of $2.20 also beat forecasts. Operating margin topped 40% for the first time, supported by strong systems sales, memory demand and record foundry revenue. Lam Research Q1 Earnings Beat on Systems Sales and Margin Gains
• Positive Sentiment: Long-term AI and memory demand remains supportive: Lam expects wafer-fabrication-equipment spending to exceed $200 billion in 2027, driven by AI infrastructure, memory upgrades and advanced manufacturing. Customer Support revenue is expected to grow more than 30%, while Aether dry-resist revenue is projected to reach $2.5 billion cumulatively. LRCX Q1 Earnings Call Highlights
• Positive Sentiment: Some analysts remain bullish: Mizuho reiterated an Outperform rating and recommended buying the pullback, while Bank of America maintained a Buy rating. Erste Group also modestly increased its FY2027 and FY2028 EPS estimates. Mizuho recommends buying the pullback
• Neutral Sentiment: Guidance was broadly in line but leaves limited room for disappointment: Fiscal second-quarter revenue guidance of $8.2 billion-$9.0 billion and EPS guidance of $2.18-$2.48 bracket consensus estimates of $8.5 billion and $2.30, respectively. Mizuho trimmed its price target to $360 from $365, signaling continued upside but greater near-term caution.
• Negative Sentiment: Supply bottlenecks are limiting shipments: Component shortages and cleanroom capacity constraints could restrict equipment deliveries through 2027, preventing Lam from fully converting strong demand into revenue. Lam Research says supply bottlenecks are holding back revenue
• Negative Sentiment: China exposure and sector pressure are weighing on sentiment: China’s revenue contribution is expected to decline substantially from 35% in the September quarter. Citi warned of additional downside for Lam and peers, while a broad AI-chip sell-off amplified concerns about valuations and spending.

Lam Research Company Profile

Lam Research Corporation (NASDAQ:LRCX) is a semiconductor equipment company that develops and manufactures systems used to fabricate integrated circuits. Its technologies support key stages of wafer processing, helping semiconductor manufacturers create the increasingly complex structures found in memory, logic and other types of chips.

The company’s product portfolio includes etch systems, which selectively remove materials from wafers; deposition systems, which apply thin films; and cleaning solutions used to remove contaminants and residue during manufacturing.