Lam Research (NASDAQ:LRCX) Cut to “Hold” at Zacks Research

Zacks Research cut shares of Lam Research (NASDAQ:LRCX) from a strong-buy rating to a hold rating in a report released on Monday morning,Zacks.com reports.

A number of other research analysts have also recently issued reports on LRCX. Hsbc Global Res raised shares of Lam Research to a “hold” rating in a report on Tuesday, September 30th. Mizuho lifted their price objective on Lam Research from $162.00 to $170.00 and gave the company an “outperform” rating in a research note on Thursday, October 23rd. Rothschild & Co Redburn lifted their target price on shares of Lam Research from $140.00 to $150.00 and gave the company a “buy” rating in a report on Tuesday, October 14th. Cantor Fitzgerald reissued an “overweight” rating and set a $170.00 target price on shares of Lam Research in a research note on Thursday, October 23rd. Finally, Needham & Company LLC lifted their price target on shares of Lam Research from $150.00 to $160.00 and gave the company a “buy” rating in a research note on Thursday, October 23rd. Twenty-six research analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $152.17.

Lam Research Price Performance

LRCX opened at $155.14 on Monday. The business’s 50-day moving average is $146.09 and its two-hundred day moving average is $113.79. The company has a debt-to-equity ratio of 0.37, a current ratio of 2.21 and a quick ratio of 1.60. Lam Research has a 1 year low of $56.32 and a 1 year high of $167.15. The firm has a market capitalization of $194.86 billion, a PE ratio of 34.17, a price-to-earnings-growth ratio of 1.68 and a beta of 1.87.

Lam Research (NASDAQ:LRCX) last posted its earnings results on Wednesday, October 22nd. The semiconductor company reported $1.26 EPS for the quarter, beating analysts’ consensus estimates 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 during the quarter, compared to analysts’ expectations of $5.23 billion. During the same quarter in the prior year, the company posted $0.86 earnings per share. Lam Research’s revenue for the quarter was up 27.7% compared to the same quarter last year. Lam Research has set its Q2 2026 guidance at 1.050-1.250 EPS. Research analysts anticipate that Lam Research will post 3.71 earnings per share for the current fiscal year.

Lam Research Dividend Announcement

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 given 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 0.7%. Lam Research’s dividend payout ratio is presently 22.91%.

Insider Activity at Lam Research

In related news, insider Ava Harter sold 9,010 shares of the stock in a transaction that occurred on Monday, October 27th. The shares were sold at an average price of $157.47, for a total transaction of $1,418,804.70. Following the completion of the transaction, the insider 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 position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Douglas R. Bettinger sold 40,080 shares of the firm’s stock in a transaction on 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 transaction, the chief financial officer owned 987,237 shares of the company’s stock, valued at approximately $148,677,892.20. This represents a 3.90% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 102,608 shares of company stock valued at $14,916,496. 0.31% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the stock. IMG Wealth Management Inc. acquired a new stake in shares of Lam Research in the 2nd quarter valued at $26,000. Stance Capital LLC acquired a new stake in shares of Lam Research during the third quarter worth about $26,000. Howard Hughes Medical Institute acquired a new position in Lam Research during the second quarter worth approximately $27,000. Triumph Capital Management purchased a new stake in Lam Research in the 3rd quarter valued at $27,000. Finally, Strategic Wealth Investment Group LLC purchased a new stake in shares of Lam Research in the second quarter valued at about $29,000. 84.61% of the stock is currently owned by hedge funds and other institutional investors.

Lam Research Company Profile

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.