Lam Research Corporation (NASDAQ:LRCX) Given Average Rating of "Moderate Buy" by Brokerages

Key Points

• Lam Research Corporation (NASDAQ:LRCX) has garnered a consensus rating of "Moderate Buy" from analysts, with seven recommending a hold and twenty advising to buy the stock.
• The company reported a 33.6% year-over-year revenue increase for the most recent quarter, achieving $5.17 billion against analyst estimates of $4.99 billion.
• Lam Research announced an increase in its quarterly dividend from $0.23 to $0.26 per share, reflecting an annual yield of 1.0% and a payout ratio of 22.12%.

Lam Research Corporation (NASDAQ:LRCX - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the twenty-seven research firms that are covering the company, MarketBeat.com reports. Seven equities research analysts have rated the stock with a hold rating and twenty have issued a buy rating on the company. The average 12-month price target among analysts that have issued ratings on the stock in the last year is $107.3043.

Several research firms have recently issued reports on LRCX. The Goldman Sachs Group began coverage on shares of Lam Research in a report on Thursday, July 10th. They issued a "buy" rating and a $115.00 target price for the company. Wall Street Zen raised shares of Lam Research from a "hold" rating to a "buy" rating in a research report on Saturday, August 2nd. Citigroup raised their price objective on Lam Research from $108.00 to $113.00 and gave the company a "buy" rating in a research report on Friday, August 1st. UBS Group boosted their price objective on shares of Lam Research from $95.00 to $120.00 and gave the stock a "buy" rating in a research note on Monday, July 21st. Finally, Barclays set a $83.00 price objective on shares of Lam Research and gave the stock an "equal weight" rating in a research note on Monday, July 28th.

Lam Research Price Performance

LRCX stock traded down $3.94 during trading on Friday, hitting $100.15. 12,177,963 shares of the company's stock traded hands, compared to its average volume of 11,487,494. Lam Research has a 52 week low of $56.32 and a 52 week high of $108.02. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.55 and a current ratio of 2.21. The business has a fifty day simple moving average of $99.45 and a 200 day simple moving average of $85.29. The stock has a market capitalization of $126.75 billion, a price-to-earnings ratio of 24.07, a P/E/G ratio of 1.29 and a beta of 1.65.

Lam Research (NASDAQ:LRCX - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The semiconductor company reported $1.33 EPS for the quarter, beating the consensus estimate of $1.21 by $0.12. Lam Research had a net margin of 29.07% and a return on equity of 58.17%. The business had revenue of $5.17 billion during the quarter, compared to analyst estimates of $4.99 billion. During the same quarter last year, the business earned $1.03 earnings per share. Lam Research's quarterly revenue was up 33.6% compared to the same quarter last year. Lam Research has set its Q1 2026 guidance at 1.100-1.300 EPS. As a group, research analysts expect that Lam Research will post 3.71 EPS for the current fiscal year.

Lam Research Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, October 15th. Shareholders of record on Wednesday, September 24th will be given a dividend of $0.26 per share. The ex-dividend date of this dividend is Wednesday, September 24th. This represents a $1.04 annualized dividend and a yield of 1.0%. This is a boost from Lam Research's previous quarterly dividend of $0.23. Lam Research's payout ratio is presently 22.12%.

Institutional Trading of Lam Research

Several large investors have recently made changes to their positions in the business. Bahl & Gaynor Inc. boosted its holdings in shares of Lam Research by 1.9% in the 2nd quarter. Bahl & Gaynor Inc. now owns 5,602 shares of the semiconductor company's stock valued at $545,000 after acquiring an additional 102 shares during the last quarter. BankPlus Wealth Management LLC raised its position in Lam Research by 2.0% during the second quarter. BankPlus Wealth Management LLC now owns 5,248 shares of the semiconductor company's stock worth $511,000 after acquiring an additional 105 shares during the period. ORG Partners LLC raised its position in Lam Research by 7.3% during the second quarter. ORG Partners LLC now owns 1,676 shares of the semiconductor company's stock worth $162,000 after acquiring an additional 114 shares during the period. Quotient Wealth Partners LLC raised its position in shares of Lam Research by 2.1% in the second quarter. Quotient Wealth Partners LLC now owns 5,437 shares of the semiconductor company's stock valued at $529,000 after buying an additional 114 shares during the last quarter. Finally, Fairvoy Private Wealth LLC raised its position in shares of Lam Research by 3.0% in the second quarter. Fairvoy Private Wealth LLC now owns 4,185 shares of the semiconductor company's stock valued at $407,000 after buying an additional 120 shares during the last quarter. 84.61% of the stock is owned by hedge funds and other institutional investors.

About Lam Research

Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits. The company offers ALTUS systems to deposit conformal films for tungsten metallization applications; SABRE electrochemical deposition products for copper interconnect transition that offers copper damascene manufacturing; SOLA ultraviolet thermal processing products for film treatments; and VECTOR plasma-enhanced CVD ALD products.