Lam Research (NASDAQ:LRCX) Trading Up 1.3% – Still a Buy?

Shares of Lam Research Corporation (NASDAQ:LRCX) were up 1.3% on Thursday . The company traded as high as $302.00 and last traded at $299.15. Approximately 5,523,018 shares traded hands during mid-day trading, a decline of 50% from the average daily volume of 11,037,275 shares. The stock had previously closed at $295.44.

Key Headlines Impacting Lam Research

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

• Positive Sentiment: Lam Research is benefiting from AI-driven demand for semiconductor manufacturing equipment, with reports citing record quarterly revenue and EPS, along with expanding margins. Lam Research Rides AI Boom With Record Results And Margin Expansion
• Positive Sentiment: Management reportedly lifted its outlook for wafer fabrication equipment spending and advanced packaging revenue, reinforcing expectations for continued growth tied to AI infrastructure. Why Lam Research (LRCX) Is Levered to AI-Driven Wafer Fab and Packaging Spending
• Positive Sentiment: Wall Street sentiment remains constructive, with multiple reports pointing to bullish analyst views and higher price targets after the company topped estimates and reached record stock levels. Lam Research (LRCX) Stock Surges Past $300 Milestone as Wall Street Boosts Price Targets
• Neutral Sentiment: Several articles focused on Lam Research’s long-term investment appeal and why investors favor the stock, which adds to the positive narrative but does not appear to introduce new catalysts. If You Invested $1000 in Lam Research a Decade Ago, This is How Much It’d Be Worth Now
• Neutral Sentiment: Conference-participation news may keep Lam Research visible to investors, but it is not likely to move the stock on its own. Lam Research Corporation Announces Participation at Upcoming Conferences

Analyst Ratings Changes

Several research analysts have commented on LRCX shares. Rothschild & Co Redburn lifted their price objective on shares of Lam Research from $225.00 to $265.00 and gave the stock a “buy” rating in a research note on Friday, February 6th. Summit Insights raised shares of Lam Research from a “hold” rating to a “buy” rating in a research note on Thursday, January 29th. Seaport Research Partners initiated coverage on shares of Lam Research in a research note on Monday, May 4th. They issued a “buy” rating and a $300.00 price objective for the company. Oppenheimer reaffirmed an “outperform” rating and issued a $330.00 price objective on shares of Lam Research in a research note on Thursday, April 23rd. Finally, New Street Research upped their price objective on shares of Lam Research from $235.00 to $280.00 and gave the stock a “neutral” rating in a research note on Monday, April 27th. Twenty-six research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $291.75.

Lam Research Price Performance

The firm has a market capitalization of $356.06 billion, a P/E ratio of 53.72, a P/E/G ratio of 2.48 and a beta of 1.81. The company has a debt-to-equity ratio of 0.35, a current ratio of 2.54 and a quick ratio of 1.77. The stock’s fifty day simple moving average is $246.23 and its 200 day simple moving average is $210.73.

Lam Research (NASDAQ:LRCX) last announced its earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 EPS for the quarter, topping analysts’ consensus estimates 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% on a year-over-year basis. During the same period in the previous year, the company posted $1.04 earnings per share. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. On average, equities research analysts predict that Lam Research Corporation will post 5.67 EPS for the current year.

Insiders Place Their Bets

In other Lam Research news, insider Ava Harter sold 6,010 shares of the business’s stock in a transaction dated Monday, April 27th. The shares were sold at an average price of $258.66, for a total value of $1,554,546.60. Following the completion of the transaction, the insider directly owned 53,205 shares in the company, valued at approximately $13,762,005.30. The trade was a 10.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, SVP Neil J. Fernandes sold 18,170 shares of the business’s stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $255.14, for a total transaction of $4,635,893.80. Following the completion of the transaction, the senior vice president owned 66,129 shares of the company’s stock, valued at $16,872,153.06. This represents a 21.55% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 120,066 shares of company stock worth $27,953,242. 0.31% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Lam Research

Several hedge funds have recently modified their holdings of LRCX. Brighton Jones LLC increased its holdings in shares of Lam Research by 1,032.4% during the fourth quarter. Brighton Jones LLC now owns 14,189 shares of the semiconductor company’s stock valued at $1,025,000 after acquiring an additional 12,936 shares in the last quarter. Caxton Associates LLP acquired a new position in shares of Lam Research during the first quarter valued at about $239,000. Gabelli Funds LLC acquired a new position in shares of Lam Research during the second quarter valued at about $253,000. NewEdge Advisors LLC increased its holdings in shares of 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 in the last quarter. Finally, Osterweis Capital Management Inc. increased its holdings in shares of Lam Research by 5,206.7% during the second quarter. Osterweis Capital Management Inc. now owns 796 shares of the semiconductor company’s stock valued at $77,000 after acquiring an additional 781 shares in the last quarter. Institutional investors and hedge funds own 84.61% of the company’s stock.

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.