Lam Research Corporation $LRCX Stock Position Lifted by Strategic Planning Group LLC

Key Points

• Strategic Planning Group increased its Lam Research position by 23.5% in the third quarter, bringing its holdings to 76,375 shares valued at approximately $25.1 million. Institutional investors collectively own 84.61% of LRCX.
• Lam Research exceeded quarterly expectations with $8.22 billion in revenue and $2.20 adjusted EPS, while revenue rose 54.4% year over year. However, supply constraints and an expected decline in China revenue are limiting near-term growth.
• Analysts remain broadly positive, with a “Moderate Buy” consensus and an average price target of $354.55, despite the stock opening at $230.15 and trading well below its 52-week high. The company also raised its quarterly dividend to $0.33 per share.

Strategic Planning Group LLC grew its position in Lam Research Corporation (NASDAQ:LRCX - Free Report) by 23.5% in the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 76,375 shares of the semiconductor company's stock after buying an additional 14,519 shares during the quarter. Lam Research makes up approximately 2.6% of Strategic Planning Group LLC's portfolio, making the stock its 13th largest position. Strategic Planning Group LLC's holdings in Lam Research were worth $25,090,000 at the end of the most recent reporting period.

Several other institutional investors have also made changes to their positions in LRCX. Van ECK Associates Corp raised its stake in Lam Research by 411.8% during the 2nd quarter. Van ECK Associates Corp now owns 11,089,395 shares of the semiconductor company's stock valued at $4,805,368,000 after purchasing an additional 8,922,854 shares during the period. Bank of New York Mellon Corp acquired a new stake in shares of Lam Research in the second quarter worth $3,777,585,000. Jennison Associates LLC boosted its position in shares of Lam Research by 296.9% in the first quarter. Jennison Associates LLC now owns 3,373,306 shares of the semiconductor company's stock worth $720,740,000 after buying an additional 2,523,351 shares during the period. California Public Employees Retirement System grew its holdings 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 valued at $1,254,376,000 after buying an additional 1,972,277 shares in the last quarter. Finally, Amundi grew its holdings 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 valued at $2,168,107,000 after buying an additional 1,942,862 shares in the last quarter. 84.61% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, Director Bethany Mayer sold 9,557 shares of the business's stock in a transaction on Wednesday, September 9th. The shares were sold at an average price of $314.74, for a total value of $3,007,970.18. Following the sale, the director owned 20,995 shares in the company, valued at approximately $6,607,966.30. The trade was a 31.28% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Ava Harter sold 5,000 shares of the business's stock in a transaction dated 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 completion of the transaction, the insider owned 42,462 shares in the company, valued at approximately $12,843,056.52. This trade represents a 10.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.31% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on the company. Zacks Research raised Lam Research from a "hold" rating to a "strong-buy" rating in a research report on Friday, July 17th. HSBC reaffirmed a "hold" rating and set a $333.00 target price on shares of Lam Research in a research note on Monday, July 27th. Mizuho dropped their target price on Lam Research from $365.00 to $360.00 and set an "outperform" rating on the stock in a report on Thursday. Bank of America reissued a "buy" rating and issued a $345.00 price target on shares of Lam Research in a research report on Thursday. Finally, Susquehanna restated a "positive" rating and set a $475.00 price target (up from $385.00) on shares of Lam Research in a report on Tuesday, June 30th. One 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 data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $354.55.

Lam Research Stock Down 11.8%

Shares of LRCX opened at $230.15 on Friday. The firm 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 52 week low of $135.50 and a 52 week high of $438.50. The company has a 50-day simple moving average of $303.94 and a 200-day simple moving average of $309.88. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.91 and a current ratio of 2.63.

Lam Research (NASDAQ:LRCX - Get Free Report) last announced its quarterly earnings data on Wednesday, October 21st. The semiconductor company reported $2.20 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.18 by $0.02. Lam Research had a net margin of 32.34% and a return on equity of 76.78%. The company had revenue of $8.22 billion during the quarter, compared to analysts' expectations of $8.14 billion. During the same quarter in the prior year, the company posted $1.26 EPS. The business's revenue was up 54.4% on a year-over-year basis. On average, equities research analysts expect that Lam Research Corporation will post 9.35 earnings per share for the current year.

Lam Research Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, October 14th. Stockholders of record on Wednesday, September 23rd were issued a $0.33 dividend. This represents a $1.32 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend was Wednesday, September 23rd. This is a boost from Lam Research's previous quarterly dividend of $0.26. Lam Research's payout ratio is currently 22.92%.

Lam Research News Summary

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 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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