Lam Research (NASDAQ:LRCX) Given New $420.00 Price Target at Rothschild & Co Redburn

Key Points

• Rothschild & Co Redburn raised its price target on Lam Research to $420 from $305 and kept a buy rating, implying about 13.7% upside from the prior close.
• The stock has drawn broad analyst support, with 28 Buy ratings versus six Holds and an average target price of $329.26, though some firms have recently set even higher targets, including Wells Fargo at $575.
• Lam Research recently reported strong quarterly results, beating EPS and revenue estimates, while insiders have also been selling shares under pre-arranged plans, adding a note of caution after the stock’s sharp run-up.

Lam Research (NASDAQ:LRCX - Get Free Report) had its price objective lifted by analysts at Rothschild & Co Redburn from $305.00 to $420.00 in a research report issued to clients and investors on Wednesday,MarketScreener reports. The brokerage presently has a "buy" rating on the semiconductor company's stock. Rothschild & Co Redburn's price objective points to a potential upside of 13.72% from the stock's previous close.

A number of other analysts have also recently commented on LRCX. B. Riley Financial lifted their price objective on Lam Research from $350.00 to $375.00 and gave the stock a "buy" rating in a research report on Tuesday, May 12th. Needham & Company LLC restated a "buy" rating and issued a $300.00 target price on shares of Lam Research in a report on Thursday, April 23rd. Cantor Fitzgerald set a $425.00 price target on shares of Lam Research and gave the stock an "overweight" rating in a research note on Wednesday, June 10th. Wells Fargo & Company reiterated an "overweight" rating and set a $575.00 price target (up from $320.00) on shares of Lam Research in a report on Monday, June 1st. Finally, Erste Group Bank downgraded shares of Lam Research from a "buy" rating to a "hold" rating in a research note on Thursday, April 2nd. Twenty-eight equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, Lam Research currently has an average rating of "Moderate Buy" and an average target price of $329.26.

Lam Research Stock Down 5.0%

LRCX stock opened at $369.34 on Wednesday. The company has a debt-to-equity ratio of 0.35, a current ratio of 2.54 and a quick ratio of 1.77. The company's 50 day simple moving average is $292.53 and its 200-day simple moving average is $237.34. Lam Research has a 12 month low of $87.75 and a 12 month high of $393.07. The firm has a market capitalization of $461.89 billion, a PE ratio of 69.69, a P/E/G ratio of 3.20 and a beta of 1.85.

Lam Research (NASDAQ:LRCX - Get Free Report) last posted its earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.36 by $0.11. The firm had revenue of $5.84 billion for the quarter, compared to analyst estimates of $5.70 billion. Lam Research had a return on equity of 66.21% and a net margin of 30.94%.Lam Research's revenue was up 23.8% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.04 EPS. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. Equities analysts expect that Lam Research will post 5.7 earnings per share for the current fiscal year.

Insider Buying and Selling at Lam Research

In other Lam Research news, SVP Neil J. Fernandes sold 7,659 shares of the stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $309.60, for a total value of $2,371,226.40. Following the completion of the sale, the senior vice president owned 58,470 shares of the company's stock, valued at $18,102,312. This trade represents a 11.58% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Eric Brandt sold 54,500 shares of the business's stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $350.80, for a total transaction of $19,118,600.00. Following the transaction, the director directly owned 199,205 shares in the company, valued at approximately $69,881,114. The trade was a 21.48% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 86,339 shares of company stock valued at $27,680,267 over the last 90 days. 0.31% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the business. State Street Corp increased its stake in shares of Lam Research by 0.4% in the third quarter. State Street Corp now owns 59,817,352 shares of the semiconductor company's stock worth $8,024,684,000 after buying an additional 265,805 shares during the last quarter. Geode Capital Management LLC increased its position in shares of Lam Research by 0.4% in the 4th quarter. Geode Capital Management LLC now owns 33,747,368 shares of the semiconductor company's stock worth $5,764,117,000 after purchasing an additional 126,613 shares during the last quarter. Invesco Ltd. raised its stake in shares of Lam Research by 7.7% in the 4th quarter. Invesco Ltd. now owns 22,821,354 shares of the semiconductor company's stock valued at $3,906,559,000 after purchasing an additional 1,638,406 shares in the last quarter. Norges Bank acquired a new stake in shares of Lam Research in the 4th quarter valued at about $3,645,427,000. Finally, Price T Rowe Associates Inc. MD lifted its position in shares of Lam Research by 352.2% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 13,695,210 shares of the semiconductor company's stock worth $2,344,347,000 after purchasing an additional 10,666,540 shares during the last quarter. Hedge funds and other institutional investors own 84.61% of the company's stock.

More Lam Research News

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

• Positive Sentiment: Several recent articles highlight Lam Research’s strong growth profile, including improved earnings outlooks and arguments that the stock could continue to outperform over the long term.
• Positive Sentiment: Analysts and market commentary point to a favorable semiconductor backdrop, with chip ETFs and peer names hitting new highs as investors rotate back into the sector.
• Positive Sentiment: Zacks noted that Lam Research sees potential packaging growth of 50%, which could act as a meaningful catalyst as AI chip demand boosts needs for etch and deposition equipment.
• Neutral Sentiment: Lam Research was featured on CNBC’s “Final Trades,” which adds visibility but does not by itself change the company’s fundamentals.
• Neutral Sentiment: The company’s director, Eric Brandt, sold 54,500 shares in a pre-arranged Rule 10b5-1 transaction; while notable, the filing suggests routine insider selling rather than a clear negative signal.
• Neutral Sentiment: One valuation-focused piece argued that LRCX is priced for very strong future revenue growth, reinforcing that the stock’s premium multiple leaves less room for disappointment.
• Negative Sentiment: Despite the positive semiconductor backdrop, the stock is being scrutinized for its rich valuation, and investors may be taking profits after a sharp run-up and recent high-multiple pricing concerns.

About Lam Research

Lam Research Corporation NASDAQ: LRCX is a global supplier of wafer fabrication equipment and services to the semiconductor industry. Founded in 1980 by David K. Lam and headquartered in Fremont, California, the company develops and manufactures systems used in multiple stages of semiconductor device production, including thin film deposition, plasma etch, wafer cleaning and related process modules and automation.

Lam's product portfolio covers core process technologies employed by logic and memory manufacturers, with equipment designed to support advanced-node patterning, 3D NAND and other emerging device architectures.

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