Lam Research (NASDAQ:LRCX) Stock Price Down 9.3% – Here’s What Happened

Shares of Lam Research Corporation (NASDAQ:LRCX) traded down 9.3% during trading on Tuesday . The stock traded as low as $365.26 and last traded at $371.33. 15,741,646 shares traded hands during mid-day trading, an increase of 43% from the average session volume of 11,031,287 shares. The stock had previously closed at $409.54.

Lam Research News Summary

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

• Positive Sentiment: Micron’s strong quarterly results and upbeat AI-memory demand outlook lifted sentiment across chip suppliers, helping Lam Research rise alongside the broader semiconductor complex. Micron Q3 earnings beat sends stock surging 18% premarket
• Positive Sentiment: Lam Research opened a Boise office to get closer to Micron’s memory expansion, reinforcing its role in a major customer’s high-volume memory manufacturing buildout. Lam Research (LRCX) Opens Boise Office To Get Closer To Micron’s Memory Expansion
• Positive Sentiment: Wells Fargo raised its price target on Lam Research to $450 from $365 and kept an Overweight rating, signaling continued analyst confidence in the company’s growth outlook. Wells Fargo Raises its Price Target on Lam Research (LRCX)
• Positive Sentiment: Additional market commentary pointed to strong demand for NAND equipment and AI infrastructure exposure, which has kept Lam Research among the sector’s standout gainers. Lam Research Stock Just Got a New Street-High Price Target. NAND Equipment Demand Can Take LRCX Higher.
• Neutral Sentiment: Brokerage coverage remained constructive, with Lam Research receiving a “Moderate Buy” consensus rating, supporting the stock but not changing the story materially. Lam Research Corporation (NASDAQ:LRCX) Receives Average Recommendation of “Moderate Buy” from Brokerages
• Negative Sentiment: Recent volatility remains a risk, as the stock has also seen sharp swings in prior sessions despite the broader uptrend. Lam Research (LRCX) Registers a Bigger Fall Than the Market: Important Facts to Note

Analysts Set New Price Targets

LRCX has been the subject of a number of recent research reports. Erste Group Bank downgraded shares of Lam Research from a “buy” rating to a “hold” rating in a report on Thursday, April 2nd. HSBC lifted their price target on shares of Lam Research from $221.00 to $247.00 and gave the company a “hold” rating in a research report on Friday, April 24th. Barclays reiterated an “overweight” rating and issued a $335.00 price target (up from $275.00) on shares of Lam Research in a research note on Thursday, June 11th. Royal Bank Of Canada raised their price objective on Lam Research from $290.00 to $310.00 and gave the stock an “outperform” rating in a research note on Thursday, April 23rd. Finally, Sanford C. Bernstein lifted their price objective on Lam Research from $325.00 to $340.00 and gave the company an “outperform” rating in a report on Thursday, May 21st. Twenty-eight investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, Lam Research presently has a consensus rating of “Moderate Buy” and a consensus target price of $334.43.

Lam Research Stock Up 4.6%

The company has a market capitalization of $490.41 billion, a P/E ratio of 73.99, a price-to-earnings-growth ratio of 3.06 and a beta of 1.85. The company has a debt-to-equity ratio of 0.35, a quick ratio of 1.77 and a current ratio of 2.54. The firm’s fifty day moving average is $309.03 and its 200-day moving average is $246.96.

Lam Research (NASDAQ:LRCX) last issued its quarterly earnings data on Wednesday, April 22nd. The semiconductor company reported $1.47 EPS for the quarter, beating the consensus estimate of $1.36 by $0.11. The business had revenue of $5.84 billion during the quarter, compared to the consensus estimate of $5.70 billion. Lam Research had a net margin of 30.94% and a return on equity of 66.21%. The firm’s revenue was up 23.8% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.04 EPS. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. As a group, equities research analysts predict that Lam Research Corporation will post 5.7 EPS for the current year.

Lam Research Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, July 8th. Stockholders of record on Wednesday, June 17th will be paid a dividend of $0.26 per share. This represents a $1.04 dividend on an annualized basis and a dividend yield of 0.3%. The ex-dividend date of this dividend is Wednesday, June 17th. Lam Research’s dividend payout ratio (DPR) is presently 19.62%.

Insider Activity

In other Lam Research news, Director Eric Brandt sold 54,500 shares of the business’s stock in a transaction that occurred on Thursday, June 11th. The shares were sold at an average price of $350.80, for a total transaction of $19,118,600.00. Following the sale, the director directly owned 199,205 shares of the company’s stock, valued at $69,881,114. The trade was a 21.48% decrease in their position. The transaction was disclosed in a legal filing with the SEC, 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 shares were sold at an average price of $258.66, for a total transaction of $1,554,546.60. Following the transaction, the insider directly owned 53,205 shares of the company’s stock, valued at $13,762,005.30. The trade was a 10.15% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 86,339 shares of company stock valued at $27,680,267 over the last quarter. 0.31% of the stock is owned by company insiders.

Institutional Investors Weigh In On Lam Research

A number of institutional investors have recently made changes to their positions in LRCX. Brighton Jones LLC lifted its position in shares of Lam Research by 1,032.4% in the 4th quarter. Brighton Jones LLC now owns 14,189 shares of the semiconductor company’s stock worth $1,025,000 after purchasing an additional 12,936 shares during the period. Caxton Associates LLP acquired a new position in Lam Research in the first quarter valued at $239,000. Gabelli Funds LLC bought a new stake in Lam Research during the second quarter valued at $253,000. NewEdge Advisors LLC boosted its position in Lam Research by 2.7% during the second quarter. NewEdge Advisors LLC now owns 100,528 shares of the semiconductor company’s stock valued at $9,785,000 after acquiring an additional 2,661 shares during the last quarter. Finally, Osterweis Capital Management Inc. grew its holdings in Lam Research by 5,206.7% during the 2nd quarter. Osterweis Capital Management Inc. now owns 796 shares of the semiconductor company’s stock worth $77,000 after acquiring an additional 781 shares during the period. Institutional investors own 84.61% of the company’s stock.

Lam Research Company Profile

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.