B. Riley Issues Optimistic Outlook for Lam Research Earnings

Key Points

• B. Riley has raised its earnings per share estimate for Lam Research's Q1 2027 to $1.09, increasing from a previous forecast of $1.03, and maintains a "Buy" rating with a target price of $175.00.
• The overall consensus among analysts gives Lam Research a "Moderate Buy" rating with a target price of $128.04, with 23 analysts rating it as a Buy.
• Lam Research recently declared a dividend increase to $0.26 per share from $0.23, reflecting a positive shift from a 0.7% yield and a 25% payout ratio.

Lam Research Corporation (NASDAQ:LRCX - Free Report) - Stock analysts at B. Riley increased their Q1 2027 earnings per share estimates for shares of Lam Research in a report released on Monday, October 20th. B. Riley analyst C. Ellis now anticipates that the semiconductor company will earn $1.09 per share for the quarter, up from their previous forecast of $1.03. B. Riley has a "Buy" rating and a $175.00 price objective on the stock. The consensus estimate for Lam Research's current full-year earnings is $3.71 per share. B. Riley also issued estimates for Lam Research's Q2 2027 earnings at $1.13 EPS, Q3 2027 earnings at $1.14 EPS, Q4 2027 earnings at $1.23 EPS and FY2027 earnings at $4.59 EPS.

Several other research analysts also recently commented on the stock. UBS Group lifted their target price on shares of Lam Research from $95.00 to $120.00 and gave the stock a "buy" rating in a report on Monday, July 21st. HSBC set a $127.00 price target on Lam Research and gave the stock a "hold" rating in a report on Tuesday, September 30th. KeyCorp boosted their target price on shares of Lam Research from $105.00 to $115.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 15th. Cantor Fitzgerald increased their price target on shares of Lam Research from $155.00 to $170.00 and gave the company an "overweight" rating in a report on Tuesday, October 14th. Finally, Barclays set a $142.00 price objective on shares of Lam Research and gave the stock an "equal weight" rating in a report on Monday. Twenty-three analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $128.04.

Lam Research Trading Up 1.8%

Lam Research stock opened at $144.05 on Tuesday. The company has a debt-to-equity ratio of 0.38, a current ratio of 2.21 and a quick ratio of 1.55. The company has a market capitalization of $181.65 billion, a price-to-earnings ratio of 34.63, a PEG ratio of 1.72 and a beta of 1.84. The company's fifty day moving average price is $119.90 and its two-hundred day moving average price is $97.75. Lam Research has a one year low of $56.32 and a one year high of $153.70.

Lam Research (NASDAQ:LRCX - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The semiconductor company reported $1.33 EPS for the quarter, beating the consensus estimate of $1.21 by $0.12. The business had revenue of $5.17 billion during the quarter, compared to analysts' expectations of $4.99 billion. Lam Research had a return on equity of 58.17% and a net margin of 29.07%.The firm's quarterly revenue was up 33.6% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.03 EPS. Lam Research has set its Q1 2026 guidance at 1.100-1.300 EPS.

Lam Research Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, October 15th. Investors of record on Wednesday, September 24th were issued a $0.26 dividend. This is a positive change from Lam Research's previous quarterly dividend of $0.23. This represents a $1.04 annualized dividend and a yield of 0.7%. The ex-dividend date was Wednesday, September 24th. Lam Research's dividend payout ratio (DPR) is 25.00%.

Insiders Place Their Bets

In other Lam Research news, SVP Vahid Vahedi sold 52,190 shares of the company's stock in a transaction dated Monday, October 13th. The shares were sold at an average price of $138.90, for a total transaction of $7,249,191.00. Following the transaction, the senior vice president directly owned 251,047 shares in the company, valued at approximately $34,870,428.30. This represents a 17.21% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.31% of the company's stock.

Institutional Trading of Lam Research

A number of institutional investors and hedge funds have recently modified their holdings of LRCX. Brighton Jones LLC grew its holdings in 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 purchasing an additional 12,936 shares during the period. GAMMA Investing LLC grew its holdings in shares of Lam Research by 21.5% in the 1st quarter. GAMMA Investing LLC now owns 29,408 shares of the semiconductor company's stock valued at $2,138,000 after buying an additional 5,213 shares during the period. Childress Capital Advisors LLC increased its position in shares of Lam Research by 6.1% in the 1st quarter. Childress Capital Advisors LLC now owns 4,178 shares of the semiconductor company's stock valued at $304,000 after buying an additional 240 shares in the last quarter. Stiles Financial Services Inc raised its stake in Lam Research by 4.4% during the 1st quarter. Stiles Financial Services Inc now owns 49,666 shares of the semiconductor company's stock worth $3,611,000 after buying an additional 2,096 shares during the period. Finally, Oppenheimer & Co. Inc. lifted its holdings in Lam Research by 6.7% during the first quarter. Oppenheimer & Co. Inc. now owns 22,753 shares of the semiconductor company's stock worth $1,654,000 after acquiring an additional 1,432 shares in the last quarter. 84.61% of the stock is owned by 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.

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