Lam Research Corporation $LRCX Stock Sold by Kwmg LLC

Key Points

• Kwmg LLC reduced its Lam Research position by 5.1% in the third quarter, selling 3,527 shares and retaining 66,117 shares valued at approximately $21.7 million. Institutional investors collectively own 84.61% of the company.
• Lam Research reported quarterly EPS of $1.82, beating estimates of $1.69, while revenue rose 30% year over year to $6.72 billion. The company also increased its quarterly dividend from $0.26 to $0.33 per share.
• LRCX has a “Moderate Buy” consensus rating with an average analyst price target of $364.59, compared with a recent trading price of $328.54; however, its premium valuation means investors may expect continued strong growth.

Kwmg LLC lowered its position in Lam Research Corporation (NASDAQ:LRCX - Free Report) by 5.1% in the third quarter, according to the company in its most recent disclosure with the SEC. The firm owned 66,117 shares of the semiconductor company's stock after selling 3,527 shares during the period. Lam Research comprises approximately 1.6% of Kwmg LLC's investment portfolio, making the stock its 21st biggest position. Kwmg LLC's holdings in Lam Research were worth $21,720,000 at the end of the most recent quarter.

Several other hedge funds have also modified their holdings of the company. Paladin Partners LLC purchased a new position in Lam Research during the second quarter worth approximately $26,000. Bravera Wealth purchased a new stake in shares of Lam Research in the second quarter valued at approximately $46,000. Cedar Mountain Advisors LLC raised its stake in shares of Lam Research by 242.9% during the 1st quarter. Cedar Mountain Advisors LLC now owns 120 shares of the semiconductor company's stock worth $26,000 after buying an additional 85 shares during the period. Comprehensive Financial Planning Inc. PA acquired a new position in shares of Lam Research during the 2nd quarter worth approximately $52,000. Finally, Vermillion Wealth Management Inc. purchased a new position in shares of Lam Research during the 1st quarter valued at approximately $26,000. 84.61% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Lam Research

In related news, Director Abhijit Y. Talwalkar sold 18,282 shares of the stock in a transaction that occurred on Monday, July 13th. The stock was sold at an average price of $335.00, for a total value of $6,124,470.00. Following the completion of the sale, the director owned 87,142 shares of the company's stock, valued at approximately $29,192,570. This trade represents a 17.34% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Ava Harter sold 5,000 shares of Lam Research stock in a transaction that occurred on Monday, August 31st. The stock was sold at an average price of $302.46, for a total value of $1,512,300.00. Following the transaction, the insider owned 42,462 shares in the company, valued at approximately $12,843,056.52. The trade was a 10.53% decrease in their position. 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. Insiders have sold a total of 32,839 shares of company stock worth $10,644,740 in the last ninety days. Insiders own 0.31% of the company's stock.

Lam Research Price Performance

LRCX traded down $5.35 on Wednesday, hitting $328.54. 2,840,743 shares of the company's stock were exchanged, compared to its average volume of 10,717,157. Lam Research Corporation has a fifty-two week low of $131.02 and a fifty-two week 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. The firm has a 50-day moving average price of $308.48 and a 200-day moving average price of $304.45. The stock has a market cap of $411.14 billion, a price-to-earnings ratio of 57.02, a P/E/G ratio of 1.37 and a beta of 1.85.

Lam Research (NASDAQ:LRCX - Get Free Report) last issued its earnings results on Wednesday, July 29th. The semiconductor company reported $1.82 EPS for the quarter, beating analysts' consensus estimates of $1.69 by $0.13. The business had revenue of $6.72 billion during the quarter, compared to analysts' expectations of $6.66 billion. Lam Research had a net margin of 31.27% and a return on equity of 67.60%. The company's quarterly revenue was up 30.0% compared to the same quarter last year. During the same period in the prior year, the business earned $1.33 earnings per share. Lam Research has set its Q1 2027 guidance at 2.000-2.300 EPS. As a group, equities analysts anticipate that Lam Research Corporation will post 9.32 earnings per share for the current year.

Lam Research Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, October 14th. Shareholders of record on Wednesday, September 23rd will be paid a $0.33 dividend. This is a positive change from Lam Research's previous quarterly dividend of $0.26. The ex-dividend date of this dividend is Wednesday, September 23rd. This represents a $1.32 dividend on an annualized basis and a yield of 0.4%. Lam Research's dividend payout ratio is 22.92%.

Key Lam Research News

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

• Positive Sentiment: Lam Research was included among chip stocks with dependable earnings and durable growth potential, alongside NVIDIA, Applied Materials and TSMC. The companies are benefiting from sustained AI-driven demand for semiconductors and manufacturing equipment. 4 Top Chip Stocks With Dependable Earnings to Ride the AI Boom
• Positive Sentiment: Zacks said Lam Research’s premium valuation is supported by accelerating earnings, improving margins and demand tied to advanced packaging, high-bandwidth memory and advanced chip production. Should You Invest in Lam Research Stock Despite Its Premium Valuation?
• Positive Sentiment: Morgan Stanley reportedly raised its price target for LRCX, while expecting the company to provide a December-quarter revenue outlook above $9 billion. Such guidance would reinforce confidence in semiconductor-equipment demand and near-term execution. Morgan Stanley expects Lam Research to guide $9B-plus for December quarter
• Neutral Sentiment: Industry outlook reports continue to highlight Lam Research as a beneficiary of expanding AI-related semiconductor investment, although the articles offer limited new company-specific financial information. Zacks Industry Outlook Applied Materials, Lam Research and FormFactor
• Negative Sentiment: Compared with KLA, Lam is growing faster but trades at a similar forward earnings multiple and at a higher valuation relative to trailing free cash flow. Investors may therefore demand continued strong growth to justify LRCX’s premium. Lam Research vs. KLA: Is Faster Growth Worth Paying More for Cash Flow?
• Negative Sentiment: One item describes an abdominoplasty clinical study under Lam Research’s name, which appears unrelated to semiconductor equipment and may be a mislabeled or erroneous listing; it provides no credible investment catalyst. New Abdominoplasty Trial Signals Steady Demand in Procedure-Driven Healthcare

Analysts Set New Price Targets

LRCX has been the topic of a number of research analyst reports. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and issued a $320.00 price target on shares of Lam Research in a research note on Thursday, July 30th. Cantor Fitzgerald set a $500.00 price objective on shares of Lam Research and gave the company an "overweight" rating in a report on Monday, June 29th. Zacks Research upgraded shares of Lam Research from a "hold" rating to a "strong-buy" rating in a research report on Friday, July 17th. Wells Fargo & Company restated an "overweight" rating and set a $350.00 price target (down from $450.00) on shares of Lam Research in a research report on Thursday, July 30th. Finally, Mizuho reduced their price target on shares of Lam Research from $370.00 to $365.00 and set an "outperform" rating for the company in a research report on Tuesday, August 25th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $364.59.

Lam Research Profile

Lam Research Corporation is a semiconductor equipment company that designs, manufactures, and services systems used in the fabrication of integrated circuits and other electronic devices. Its equipment supports key steps in the wafer manufacturing process, helping semiconductor producers create increasingly small and complex features on silicon wafers.

The company's portfolio includes systems for etch, deposition, wafer cleaning, surface preparation, and related manufacturing processes.

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