Lam Research (NASDAQ:LRCX) Shares Down 3.1% After Insider Selling

Key Points

• Lam Research shares fell 3.1% after insider Ava Harter sold 6,010 shares (about $1.55M), trimming her position ~10.15%; the stock traded as low as $243.04 and last at $251.37 on roughly 11.3M shares.
• The company beat quarterly expectations (EPS $1.47 vs. $1.36; revenue $5.84B, +23.8% YoY) and Wall Street remains largely positive with a consensus "Moderate Buy" and an average price target of $285.94.
• Short-term selling was also linked to semiconductor-sector geopolitical tensions, but Lam's fundamentals remain strong (net margin 30.94%, debt/equity 0.35, market cap ~$313.9B) and it pays a modest dividend (yield ~0.4%).

Lam Research Corporation (NASDAQ:LRCX - Get Free Report)'s stock price traded down 3.1% during trading on Tuesday after an insider sold shares in the company. The company traded as low as $243.04 and last traded at $251.37. 11,332,002 shares traded hands during mid-day trading, an increase of 0% from the average session volume of 11,283,284 shares. The stock had previously closed at $259.47.

Specifically, insider Ava Harter sold 6,010 shares of the stock in a transaction on Monday, April 27th. The stock was sold at an average price of $258.66, for a total value of $1,554,546.60. Following the completion of the transaction, the insider directly owned 53,205 shares of the company's stock, valued at approximately $13,762,005.30. This represents a 10.15% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on LRCX shares. UBS Group set a $300.00 target price on shares of Lam Research in a research note on Thursday, January 29th. Cantor Fitzgerald reiterated an "overweight" rating and issued a $320.00 target price on shares of Lam Research in a research report on Thursday, April 23rd. BNP Paribas Exane raised their price target on shares of Lam Research from $250.00 to $260.00 and gave the stock a "neutral" rating in a research note on Thursday, April 23rd. KeyCorp restated a "sector weight" rating on shares of Lam Research in a research report on Thursday, January 29th. Finally, The Goldman Sachs Group reaffirmed a "buy" rating and set a $290.00 price objective on shares of Lam Research in a research note on Thursday, April 23rd. Twenty-six investment analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. Based on data from MarketBeat, Lam Research presently has an average rating of "Moderate Buy" and a consensus price target of $285.94.

Trending Headlines about Lam Research

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

• Positive Sentiment: Earnings, revenue and guidance remain strong — analysts point to recent quarter beats and continued AI-driven demand that underpin upside. Earnings Growth & Price Strength Make Lam Research (LRCX) a Stock to Watch
• Positive Sentiment: Analyst price-target increases signal continued bullish estimates — one syndicated report shows targets being lifted materially, which supports medium-term upside. Lam Research (LRCX) price target increased by 11.16% to 310.72
• Positive Sentiment: DRAM and memory equipment demand is improving, which could lift Lam’s Systems revenues as HBM/DDR5 capacity ramps — a positive fundamental driver tied to AI and memory markets. Can DRAM Business Momentum Further Boost LRCX's Systems Revenues?
• Neutral Sentiment: New Street raised its price target (to $280) but kept a neutral rating — a larger target but a cautious stance that tempers the signal for buyers. New Street adjusts price target on Lam Research to $280
• Neutral Sentiment: Wall Street consensus and “average brokerage recommendation” remain favorable, but some notes caution that ABR can be overly optimistic; interpret analyst sentiment with context. Is Lam Research (LRCX) a Buy as Wall Street Analysts Look Optimistic?
• Negative Sentiment: Near-term sector pullback tied to rising US‑China geopolitical tension around AI tech triggered selling across semiconductors, directly pressuring LRCX today. Lam Research and Vishay Intertechnology Shares Plummet, What You Need To Know

Lam Research Stock Down 3.1%

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 has a market capitalization of $313.90 billion, a PE ratio of 47.43, a P/E/G ratio of 2.27 and a beta of 1.78. The business's 50 day simple moving average is $235.47 and its 200 day simple moving average is $199.47.

Lam Research (NASDAQ:LRCX - Get Free Report) last posted its quarterly earnings results on Wednesday, April 22nd. The semiconductor company reported $1.47 earnings per share for the quarter, beating the consensus estimate of $1.36 by $0.11. The business had revenue of $5.84 billion during the quarter, compared to analysts' expectations of $5.70 billion. Lam Research had a net margin of 30.94% and a return on equity of 66.21%. The business's revenue for the quarter was up 23.8% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.04 EPS. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. As a group, analysts anticipate that Lam Research Corporation will post 5.53 earnings per share for the current fiscal year.

Lam Research Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, April 8th. Investors of record on Wednesday, March 4th were given a $0.26 dividend. This represents a $1.04 annualized dividend and a yield of 0.4%. The ex-dividend date was Wednesday, March 4th. Lam Research's dividend payout ratio is presently 19.62%.

Institutional Investors Weigh In On Lam Research

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Brighton Jones LLC grew its holdings in shares of Lam Research by 1,032.4% during the 4th quarter. Brighton Jones LLC now owns 14,189 shares of the semiconductor company's stock worth $1,025,000 after purchasing an additional 12,936 shares during the period. Caxton Associates LLP purchased a new stake in Lam Research in the 1st quarter valued at about $239,000. Gabelli Funds LLC purchased a new stake in Lam Research in the 2nd quarter valued at about $253,000. NewEdge Advisors LLC lifted its position in Lam Research by 2.7% in the second quarter. NewEdge Advisors LLC now owns 100,528 shares of the semiconductor company's stock valued at $9,785,000 after buying an additional 2,661 shares during the last quarter. Finally, Osterweis Capital Management Inc. lifted its position in Lam Research by 5,206.7% in the second quarter. Osterweis Capital Management Inc. now owns 796 shares of the semiconductor company's stock valued at $77,000 after buying an additional 781 shares during the last quarter. Institutional investors and hedge funds own 84.61% of the company's stock.

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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