Lam Research (NASDAQ:LRCX) Releases Q2 2027 Earnings Guidance

Key Points

• Lam Research guided for fiscal Q2 2027 EPS of $2.18–$2.48 and revenue of $8.2–$9.0 billion, with the midpoint broadly in line with analysts’ estimates.
• The company’s latest quarter beat expectations, reporting $2.20 EPS and $8.22 billion in revenue, with revenue up 54.4% year over year.
• Lam Research raised its quarterly dividend to $0.33 per share, while analysts maintain a “Moderate Buy” consensus and an average price target of $354.55.

Lam Research (NASDAQ:LRCX - Get Free Report) updated its second quarter 2027 earnings guidance on Friday morning. The company provided earnings per share (EPS) guidance of 2.180-2.480 for the period, compared to the consensus estimate of 2.300. The company issued revenue guidance of $8.2 billion-$9.0 billion, compared to the consensus revenue estimate of $8.5 billion.

Lam Research Price Performance

Shares of LRCX traded up $0.57 on Friday, reaching $230.72. The stock had a trading volume of 4,031,792 shares, compared to its average volume of 10,711,622. The firm has a market capitalization of $288.73 billion, a PE ratio of 39.99, a PEG ratio of 0.95 and a beta of 1.85. The company has a quick ratio of 1.91, a current ratio of 2.63 and a debt-to-equity ratio of 0.30. The firm has a 50-day moving average of $303.94 and a 200 day moving average of $309.88. Lam Research has a twelve month low of $135.50 and a twelve month high of $438.50.

Lam Research (NASDAQ:LRCX - Get Free Report) last announced its quarterly earnings results on Wednesday, October 21st. The semiconductor company reported $2.20 earnings per share for the quarter, beating analysts' consensus estimates of $2.18 by $0.02. The business 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 76.78% and a net margin of 32.34%. The business's revenue for the quarter was up 54.4% on a year-over-year basis. During the same quarter last year, the business posted $1.26 earnings per share. Sell-side analysts expect that Lam Research will post 9.35 EPS for the current year.

Lam Research Increases Dividend

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

Analyst Upgrades and Downgrades

LRCX has been the subject of a number of analyst reports. Cantor Fitzgerald set a $500.00 price target on Lam Research and gave the stock an "overweight" rating in a report on Monday, June 29th. Wells Fargo & Company reiterated an "overweight" rating and issued a $350.00 target price (down from $450.00) on shares of Lam Research in a report on Thursday, July 30th. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and set a $375.00 price target on shares of Lam Research in a research report on Monday. Mizuho lowered their price target on Lam Research from $365.00 to $360.00 and set an "outperform" rating for the company in a report on Thursday. Finally, TD Cowen reissued a "buy" rating and issued a $400.00 price objective (up from $340.00) on shares of Lam Research in a research report on Thursday, July 9th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and five have issued a Hold rating to the company. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $354.55.

Insiders Place Their Bets

In related news, Director Bethany Mayer sold 9,557 shares of Lam Research 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 sale, the director owned 20,995 shares of the company's stock, valued at $6,607,966.30. The trade was a 31.28% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, insider Ava Harter sold 5,000 shares of the business's stock in a transaction on Monday, August 31st. The stock was 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 $12,843,056.52. This represents 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. 0.31% of the stock is currently owned by company insiders.

Trending Headlines about Lam Research

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

• Positive Sentiment: Lam Research reported record fiscal Q1 revenue of $8.22 billion, up 54.4% year over year, and adjusted EPS of $2.20, narrowly beating consensus estimates. Operating margin exceeded 40% for the first time, supported by strong systems sales, NAND demand and record foundry revenue. Lam Research Q1 Earnings Beat on Systems Sales and Margin Gains
• Positive Sentiment: Management sees wafer-fabrication-equipment spending exceeding $200 billion in 2027, fueled by AI infrastructure, memory upgrades and advanced-node manufacturing. Longer-term opportunities include growing Aether dry-resist revenue and more than 30% annual growth in the Customer Support Business Group. LRCX Q1 Earnings Call Highlights $200B-Plus WFE Outlook for 2027
• Positive Sentiment: Some analysts remain bullish: Bank of America issued a Buy rating, while Erste Group raised its FY2027 EPS estimate to $9.46 and FY2028 estimate to $12.08. ETFs also reported buying Lam Research shares, potentially providing support. Lam Research Receives a Buy from Bank of America Securities
• Neutral Sentiment: Fiscal Q2 guidance calls for revenue of $8.2 billion to $9.0 billion and EPS of $2.18 to $2.48. The midpoint is broadly in line with estimates, but the wide range reflects elevated execution uncertainty.
• Negative Sentiment: Component bottlenecks and cleanroom capacity limitations are restricting shipments through 2027, limiting how quickly Lam can convert strong customer demand into revenue. Lam Research Says Supply Bottlenecks Are Holding Back Revenue
• Negative Sentiment: China revenue is expected to decline substantially from its 35% share in September, while several analysts cut price targets after the earnings release. These concerns have weighed on LRCX and pressured the broader semiconductor-equipment sector despite the company’s strong results. Lam Research Retreats Amid Cautious Guidance and China Revenue Drop

About Lam Research

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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