Lam Research Corporation $LRCX Position Raised by Fulcrum Asset Management LLP

Key Points

• Fulcrum Asset Management increased its Lam Research stake by 148.5% in the third quarter, adding 12,672 shares to hold 21,206 shares valued at about $6.9 million.
• Lam Research reported quarterly EPS of $2.20, beating estimates of $2.18, while revenue of $8.22 billion exceeded expectations and rose 54.4% year over year.
• The company authorized a $25 billion share buyback, covering up to 9% of outstanding shares, and declared a quarterly dividend of $0.33 per share.

Fulcrum Asset Management LLP increased its stake in shares of Lam Research Corporation (NASDAQ:LRCX - Free Report) by 148.5% in the third quarter, according to its most recent Form 13F filing with the SEC. The fund owned 21,206 shares of the semiconductor company's stock after buying an additional 12,672 shares during the period. Fulcrum Asset Management LLP's holdings in Lam Research were worth $6,868,000 as of its most recent SEC filing.

Several other hedge funds have also added to or reduced their stakes in the stock. Van ECK Associates Corp boosted its holdings in Lam Research by 411.8% in the 2nd 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 during the period. Bank of New York Mellon Corp bought a new stake in Lam Research during the 2nd quarter valued at $3,777,585,000. Jennison Associates LLC raised its holdings in Lam Research by 296.9% during the 1st quarter. Jennison Associates LLC now owns 3,373,306 shares of the semiconductor company's stock valued at $720,740,000 after acquiring an additional 2,523,351 shares during the period. California Public Employees Retirement System lifted its position in shares of Lam Research by 50.6% during the first quarter. California Public Employees Retirement System now owns 5,870,899 shares of the semiconductor company's stock worth $1,254,376,000 after acquiring an additional 1,972,277 shares in the last quarter. Finally, Amundi lifted its position in shares of Lam Research by 23.7% during the first quarter. Amundi now owns 10,147,479 shares of the semiconductor company's stock worth $2,168,107,000 after acquiring an additional 1,942,862 shares in the last quarter. Institutional investors own 84.61% of the company's stock.

Lam Research Stock Performance

Shares of LRCX stock opened at $200.44 on Monday. The company has a quick ratio of 1.86, a current ratio of 2.48 and a debt-to-equity ratio of 0.27. The business has a 50-day moving average price of $284.37 and a two-hundred day moving average price of $283.67. Lam Research Corporation has a 12-month low of $135.50 and a 12-month high of $438.50. The firm has a market cap of $250.38 billion, a P/E ratio of 29.87, a price-to-earnings-growth ratio of 0.74 and a beta of 1.97.

Lam Research (NASDAQ:LRCX - Get Free Report) last posted its quarterly earnings data on Wednesday, October 21st. The semiconductor company reported $2.20 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.18 by $0.02. The firm had revenue of $8.22 billion during the quarter, compared to analysts' expectations of $8.14 billion. Lam Research had a return on equity of 72.15% and a net margin of 32.34%. The company's revenue for the quarter was up 54.4% compared to the same quarter last year. During the same period in the prior year, the business earned $1.26 EPS. Equities analysts anticipate that Lam Research Corporation will post 9.59 EPS for the current fiscal year.

Lam Research declared that its board has approved a stock buyback plan on Thursday, November 5th that allows the company to buy back $25 billion in outstanding shares. This buyback authorization allows the semiconductor company to reacquire up to 9% of its stock through open market purchases. Share buyback plans are generally a sign that the company's leadership believes its stock is undervalued.

Lam Research Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, January 6th. Investors of record on Wednesday, December 2nd will be given a $0.33 dividend. The ex-dividend date is Wednesday, December 2nd. This represents a $1.32 dividend on an annualized basis and a yield of 0.7%. Lam Research's payout ratio is presently 19.67%.

Insider Buying and Selling

In other Lam Research news, insider Ava Harter sold 5,000 shares of the stock in a transaction that occurred 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 in the company, valued at $12,843,056.52. This trade represents a 10.53% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bethany Mayer sold 9,557 shares of Lam Research stock in a transaction that occurred on Wednesday, September 9th. The stock was sold at an average price of $314.74, for a total transaction of $3,007,970.18. Following the transaction, the director directly owned 20,995 shares in the company, valued at $6,607,966.30. This trade represents a 31.28% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 0.31% of the company's stock.

Key Lam Research News

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

• Positive Sentiment: The authorization allows Lam Research to repurchase up to about 9% of its shares. Investors may view the plan as a sign of management confidence and a potential source of support for per-share earnings. Lam Research Shares Gain on $25 Billion Buyback Authorization
• Positive Sentiment: The company also declared a quarterly dividend of $0.33 per share, payable January 6 to shareholders of record December 2. Lam Research Corporation Announces $25 Billion Share Repurchase Authorization and Declares Quarterly Dividend
• Neutral Sentiment: The buyback has drawn attention to LRCX’s significant presence in semiconductor, technology and Nasdaq-100 funds; overlapping holdings could amplify the stock’s effect on investors’ portfolios in either direction. Own a Semiconductor ETF? Lam Research’s Buyback Move Affects You
• Negative Sentiment: Broader chip-sector volatility remains a risk: recent coverage cited concerns about AI-related spending, possible capital-expenditure slowdowns, regulation and investor profit-taking. Those worries could temper gains if they persist. Chip Stocks Just Had Their Second-Worst Day on Record

Analyst Ratings Changes

A number of equities analysts have recently commented on LRCX shares. Fundamental Research set a $390.00 price target on Lam Research in a report on Thursday, October 1st. Bank of America reiterated a "buy" rating and set a $345.00 price objective on shares of Lam Research in a research note on Thursday, October 22nd. UBS Group reiterated a "buy" rating and set a $400.00 price objective (down from $425.00) on shares of Lam Research in a research note on Thursday, October 22nd. Weiss Ratings cut Lam Research from a "buy (b)" rating to a "buy (b-)" rating in a report on Friday, September 4th. Finally, Berenberg Bank set a $420.00 target price on Lam Research in a research note on Wednesday, September 9th. Twenty-six research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $360.23.

Lam Research Company Profile

Lam Research is a global supplier of equipment and services used to manufacture semiconductors. Its products help chipmakers create and process the microscopic structures that form integrated circuits.

The company's wafer fabrication equipment is used for processes including etch, thin-film deposition and wafer cleaning. Lam also provides services such as equipment maintenance, upgrades, spare parts and other support for chip manufacturing operations.

Founded in 1980 and headquartered in Fremont, California, Lam Research serves semiconductor manufacturers around the world.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.