5,565 Lam Research Corporation $LRCX Shares Sold by Brookstone Capital Management

Key Points

• Brookstone Capital Management reduced its Lam Research stake by 9.2% in the third quarter, selling 5,565 shares and retaining 55,170 shares valued at approximately $18.1 million.
• Institutional investors still own 84.61% of Lam Research, with several major firms—including State Street, Bank of America and Van ECK—recently increasing their positions.
• Lam Research reported strong fiscal Q1 results, with revenue up 54.4% year over year to $8.22 billion and EPS beating estimates, while analysts maintained a broadly positive “Moderate Buy” view. However, supply constraints and an expected decline in China revenue pose near-term risks.

Brookstone Capital Management trimmed its stake in Lam Research Corporation (NASDAQ:LRCX - Free Report) by 9.2% in the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 55,170 shares of the semiconductor company's stock after selling 5,565 shares during the period. Brookstone Capital Management's holdings in Lam Research were worth $18,124,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. State Street Corp grew its holdings in Lam Research by 2.6% during the second quarter. State Street Corp now owns 60,704,130 shares of the semiconductor company's stock valued at $26,320,468,000 after purchasing an additional 1,545,830 shares during the period. Bank of America Corp DE increased its position in Lam Research by 5.5% in the second quarter. Bank of America Corp DE now owns 11,244,147 shares of the semiconductor company's stock worth $4,872,426,000 after buying an additional 584,489 shares in the last quarter. Van ECK Associates Corp increased its position in Lam Research by 411.8% in the second quarter. Van ECK Associates Corp now owns 11,089,395 shares of the semiconductor company's stock worth $4,805,368,000 after buying an additional 8,922,854 shares in the last quarter. Bank of New York Mellon Corp bought a new position in shares of Lam Research in the second quarter worth about $3,777,585,000. Finally, Amundi raised its stake in shares of Lam Research by 23.7% in the first quarter. Amundi now owns 10,147,479 shares of the semiconductor company's stock worth $2,168,107,000 after buying an additional 1,942,862 shares during the period. 84.61% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of brokerages recently issued reports on LRCX. Stifel Nicolaus boosted their price objective on Lam Research from $325.00 to $425.00 and gave the company a "buy" rating in a research note on Friday, July 10th. Deutsche Bank Aktiengesellschaft restated a "buy" rating and set a $375.00 target price on shares of Lam Research in a research note on Monday. Morgan Stanley set a $339.00 price target on shares of Lam Research and gave the stock an "overweight" rating in a research report on Thursday. Wells Fargo & Company reissued an "overweight" rating and issued a $350.00 price objective (down from $450.00) on shares of Lam Research in a research note on Thursday, July 30th. Finally, Cantor Fitzgerald set a $500.00 price objective on shares of Lam Research and gave the company an "overweight" rating in a research report on Monday, June 29th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $354.55.

Key Stories Impacting Lam Research

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

• Positive Sentiment: Record results and strong demand: Lam Research reported fiscal Q1 2027 revenue of $8.22 billion, up 54.4% year over year and ahead of the $8.14 billion consensus. Adjusted EPS of $2.20 also exceeded estimates, while operating margin surpassed 40% for the first time. Growth was driven by NAND systems, record foundry revenue, AI infrastructure and memory-chip demand. Lam Research Q1 Earnings Beat on Systems Sales and Margin Gains
• Positive Sentiment: Favorable long-term industry outlook: Management sees wafer-fabrication-equipment spending exceeding $200 billion in 2027, supported by AI demand, memory upgrades and advanced manufacturing. It also raised longer-term spending expectations, while highlighting growth opportunities for its Aether dry-resist technology and customer-support business. $200B-Plus WFE Outlook for 2027
• Neutral Sentiment: Analysts remain broadly constructive: Cantor maintained a $500 price target and called Lam a top pick, while Mizuho, Needham and Morgan Stanley lowered targets but retained positive ratings. The reductions indicate near-term execution concerns rather than a broadly negative view of long-term demand. Street Trims Target on Supply Headwinds
• Negative Sentiment: Supply constraints limited the outlook: Lam warned that component and equipment bottlenecks are delaying shipments and capping near-term revenue growth. Its roughly $8.6 billion December-quarter revenue outlook was viewed as insufficiently strong relative to elevated investor expectations, despite broadly matching consensus forecasts. Supply Bottlenecks Are Holding Back Revenue
• Negative Sentiment: China revenue is expected to decline: Management indicated that China’s contribution, which reached about 35% of September-quarter revenue, will fall substantially in the December quarter. That creates an additional headwind for sales and raises concern about the durability of the company’s growth rate. Supply Snags and China Slowdown
• Negative Sentiment: Sector-wide risk aversion amplified the reaction: Chip stocks broadly fell as investors revisited concerns about AI spending and semiconductor capital expenditures. Tesla’s lower near-term spending target added to the cautious tone, making Lam’s supply warning more damaging to the sector. Two Big Reasons Chip Stocks Are Falling

Lam Research Stock Performance

NASDAQ:LRCX opened at $230.15 on Friday. The stock has a 50-day moving average price of $303.94 and a 200 day moving average price of $309.88. The stock has a market capitalization of $288.01 billion, a P/E ratio of 39.96, a P/E/G ratio of 0.95 and a beta of 1.85. Lam Research Corporation has a 12-month low of $135.50 and a 12-month high of $438.50. The company has a current ratio of 2.63, a quick ratio of 1.91 and a debt-to-equity ratio of 0.30.

Lam Research (NASDAQ:LRCX - Get Free Report) last posted its quarterly earnings results on Wednesday, October 21st. The semiconductor company reported $2.20 EPS for the quarter, topping analysts' consensus estimates of $2.18 by $0.02. Lam Research had a return on equity of 76.78% and a net margin of 32.34%. The company had revenue of $8.22 billion for the quarter, compared to analysts' expectations of $8.14 billion. During the same period in the previous year, the firm earned $1.26 EPS. The firm's revenue was up 54.4% compared to the same quarter last year. Equities research analysts forecast that Lam Research Corporation will post 9.35 EPS for the current fiscal year.

Lam Research Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, October 14th. Stockholders of record on Wednesday, September 23rd were given a dividend of $0.33 per share. The ex-dividend date was Wednesday, September 23rd. This is an increase from Lam Research's previous quarterly dividend of $0.26. This represents a $1.32 annualized dividend and a dividend yield of 0.6%. Lam Research's dividend payout ratio (DPR) is 22.92%.

Insider Activity at Lam Research

In related news, 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 completion of the transaction, the director owned 20,995 shares in the company, valued at approximately $6,607,966.30. This represents a 31.28% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Ava Harter sold 5,000 shares of the firm'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 transaction, the insider directly owned 42,462 shares of the company's stock, valued at $12,843,056.52. The trade was a 10.53% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.31% of the company's stock.

Lam Research 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.

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