Lam Research (NASDAQ:LRCX) Stock Price Up 3.5% on Analyst Upgrade

Key Points

• Lam Research shares rose 3.5% after Sanford C. Bernstein increased its price target to $340 from $325 and kept an outperform rating. The stock traded as high as $303.18 during the session.
• Other analysts remain largely constructive on LRCX, with several raising targets or maintaining bullish ratings. Overall, the stock carries a Moderate Buy consensus and an average target price of $293.46.
• The company continues to benefit from AI-driven semiconductor demand, with recent reports highlighting stronger wafer fabrication equipment outlooks, new chip-packaging research efforts, and solid quarterly results that beat expectations.

Shares of Lam Research Corporation (NASDAQ:LRCX - Get Free Report) were up 3.5% on Thursday after Sanford C. Bernstein raised their price target on the stock from $325.00 to $340.00. Sanford C. Bernstein currently has an outperform rating on the stock. Lam Research traded as high as $303.18 and last traded at $302.24. Approximately 9,137,197 shares traded hands during trading, a decline of 16% from the average daily volume of 10,933,826 shares. The stock had previously closed at $292.09.

Several other research analysts have also issued reports on LRCX. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $320.00 target price on shares of Lam Research in a research report on Thursday, April 23rd. B. Riley Financial upped their price target on Lam Research from $350.00 to $375.00 and gave the company a "buy" rating in a research report on Tuesday, May 12th. Wall Street Zen cut Lam Research from a "buy" rating to a "hold" rating in a research note on Sunday, May 10th. Berenberg Bank raised their price objective on Lam Research from $265.00 to $335.00 and gave the stock a "buy" rating in a research report on Thursday, April 23rd. Finally, Argus lifted their price objective on Lam Research from $175.00 to $280.00 in a research note on Tuesday, February 3rd. Twenty-seven research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $293.46.

Insiders Place Their Bets

In related news, CFO Douglas R. Bettinger sold 50,057 shares of the firm's stock in a transaction that occurred on Wednesday, March 4th. The stock was sold at an average price of $224.03, for a total transaction of $11,214,269.71. Following the completion of the sale, the chief financial officer owned 1,081,705 shares of the company's stock, valued at $242,334,371.15. This trade represents a 4.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider Ava Harter sold 6,010 shares of Lam Research stock in a transaction that occurred 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 sale, the insider owned 53,205 shares of the company's stock, valued at approximately $13,762,005.30. The trade was a 10.15% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 120,066 shares of company stock worth $27,953,242. Company insiders own 0.31% of the company's stock.

Key Stories Impacting Lam Research

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

• Positive Sentiment: Lam Research opened a new research lab in Salzburg, Austria, to advance chip-packaging technology aimed at increasing chip density and lowering costs, reinforcing its exposure to AI-driven demand for advanced packaging. Reuters article
• Positive Sentiment: Sanford C. Bernstein raised its price target on LRCX to $340 from $325 and reiterated an outperform rating, while Morgan Stanley also upgraded the stock to overweight after increasing wafer fabrication equipment spending forecasts. MarketScreener article
• Positive Sentiment: Lam Research raised its wafer fabrication equipment outlook amid strong AI chip demand, with reports pointing to record revenue and EPS momentum in its latest quarter and continued strength in etch, deposition, and memory investments. Zacks article
• Positive Sentiment: Technical traders are viewing LRCX positively after the shares crossed above the 20-day moving average, a sign of short-term bullish momentum. Zacks article
• Positive Sentiment: Several reports highlighted Lam Research as a key equipment supplier benefiting from the AI chip manufacturing boom and the broader rally in semiconductor equipment stocks. 247WallSt article
• Neutral Sentiment: Recent commentary compared LRCX with Applied Materials, noting that while Lam is tied to AI chip spending, some analysts still see cheaper valuations and software diversification as advantages for competitors. Zacks article
• Neutral Sentiment: SpaceX’s IPO filing discussed Terafab partnership details with Tesla and Intel, but it does not appear to be a direct catalyst for Lam Research. Yahoo Finance article

Institutional Trading of Lam Research

Several hedge funds have recently modified their holdings of the stock. BankChampaign National Association bought a new stake in Lam Research in the first quarter valued at $836,000. Groupe la Francaise boosted its position in shares of Lam Research by 215.4% during the 1st quarter. Groupe la Francaise now owns 194,794 shares of the semiconductor company's stock worth $41,631,000 after purchasing an additional 133,024 shares in the last quarter. Western Wealth Management LLC grew its stake in shares of Lam Research by 241.8% in the 1st quarter. Western Wealth Management LLC now owns 10,091 shares of the semiconductor company's stock valued at $2,156,000 after buying an additional 7,139 shares during the period. Silicon Valley Capital Partners grew its stake in shares of Lam Research by 426.0% in the 1st quarter. Silicon Valley Capital Partners now owns 1,294 shares of the semiconductor company's stock valued at $276,000 after buying an additional 1,048 shares during the period. Finally, Paragon Private Wealth Management LLC increased its position in Lam Research by 8.5% in the 1st quarter. Paragon Private Wealth Management LLC now owns 2,684 shares of the semiconductor company's stock valued at $573,000 after buying an additional 210 shares in the last quarter. Institutional investors own 84.61% of the company's stock.

Lam Research Trading Up 3.5%

The business has a 50 day moving average of $250.60 and a two-hundred day moving average of $213.69. The company has a debt-to-equity ratio of 0.35, a quick ratio of 1.77 and a current ratio of 2.54. The firm has a market capitalization of $377.97 billion, a price-to-earnings ratio of 57.03, a P/E/G ratio of 2.26 and a beta of 1.81.

Lam Research (NASDAQ:LRCX - Get Free Report) last announced its quarterly earnings data on Wednesday, April 22nd. The semiconductor company reported $1.47 EPS for the quarter, beating analysts' consensus estimates of $1.36 by $0.11. Lam Research had a return on equity of 66.21% and a net margin of 30.94%.The firm had revenue of $5.84 billion during the quarter, compared to analysts' expectations of $5.70 billion. During the same quarter last year, the firm posted $1.04 earnings per share. The company's revenue for the quarter was up 23.8% compared to the same quarter last year. Lam Research has set its Q4 2026 guidance at 1.500-1.800 EPS. Equities analysts predict that Lam Research Corporation will post 5.67 EPS for the current year.

Lam Research Company Profile

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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