Lam Research (NASDAQ:LRCX) Lowered to Hold Rating by Summit Insights

Key Points

• Lam Research was downgraded from a "buy" to a "hold" rating by Summit Insights, signaling a more cautious outlook on the stock's performance.
• Despite the downgrade, a majority of analysts maintain a positive outlook, with 17 buy ratings and one strong buy rating, and an average target price of $103.24.
• The company's recent earnings report showed a significant revenue increase of 33.6% year-over-year, with a reported EPS of $1.33, exceeding analyst expectations.

Lam Research (NASDAQ:LRCX - Get Free Report) was downgraded by analysts at Summit Insights from a "buy" rating to a "hold" rating in a report issued on Thursday, MarketBeat reports.

Several other brokerages have also weighed in on LRCX. Oppenheimer reissued an "outperform" rating and set a $110.00 target price (up previously from $80.00) on shares of Lam Research in a research report on Tuesday, June 17th. UBS Group raised their target price on Lam Research from $95.00 to $120.00 and gave the stock a "buy" rating in a research report on Monday, July 21st. Citigroup reissued a "buy" rating and set a $108.00 target price (up previously from $87.00) on shares of Lam Research in a research report on Monday, July 7th. Needham & Company LLC cut their target price on Lam Research from $96.00 to $80.00 and set a "buy" rating on the stock in a research report on Thursday, April 24th. Finally, Evercore ISI lifted their price target on Lam Research from $95.00 to $99.00 and gave the stock an "outperform" rating in a research report on Thursday, April 24th. Seven research analysts have rated the stock with a hold rating and twenty have given a buy rating to the company's stock. According to data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $107.09.

Lam Research Trading Up 1.6%

Lam Research stock traded up $1.53 during midday trading on Thursday, reaching $96.37. 16,599,413 shares of the stock traded hands, compared to its average volume of 10,785,127. The company has a 50-day simple moving average of $93.96 and a two-hundred day simple moving average of $82.44. Lam Research has a 12-month low of $56.32 and a 12-month high of $102.59. The firm has a market cap of $123.27 billion, a PE ratio of 23.17, a price-to-earnings-growth ratio of 1.29 and a beta of 1.65. The company has a current ratio of 2.21, a quick ratio of 1.55 and a debt-to-equity ratio of 0.38.

Lam Research (NASDAQ:LRCX - Get Free Report) last announced its earnings results on Wednesday, July 30th. The semiconductor company reported $1.33 EPS for the quarter, beating analysts' consensus estimates of $1.21 by $0.12. The company had revenue of $5.17 billion during the quarter, compared to analysts' expectations of $4.99 billion. Lam Research had a return on equity of 58.17% and a net margin of 29.07%. Lam Research's revenue for the quarter was up 33.6% on a year-over-year basis. During the same period last year, the business posted $1.03 EPS. Research analysts expect that Lam Research will post 3.71 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the business. IMG Wealth Management Inc. acquired a new position in shares of Lam Research during the 2nd quarter worth $26,000. REAP Financial Group LLC purchased a new stake in shares of Lam Research in the second quarter valued at $31,000. Smallwood Wealth Investment Management LLC acquired a new stake in shares of Lam Research during the first quarter valued at $26,000. West Paces Advisors Inc. acquired a new stake in shares of Lam Research during the fourth quarter valued at $27,000. Finally, Mpwm Advisory Solutions LLC acquired a new stake in shares of Lam Research during the fourth quarter valued at $27,000. Institutional investors and hedge funds own 84.61% of the company's stock.

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.