Lam Research (NASDAQ:LRCX) Trading 1.5% Higher - Should You Buy?

Key Points

• Lam Research's share price increased by 1.5% to $100.36, despite a significant drop in trading volume, down 78% from average sessions.
• Recent analyst upgrades have seen price targets raised substantially, with UBS setting a target of $120.00 and TD Cowen at $125.00, both maintaining a "buy" rating.
• The company's recent earnings report revealed EPS of $1.33, exceeding expectations and reflecting a year-over-year revenue increase of 33.6%, resulting in strong financial performance.

Lam Research Corporation (NASDAQ:LRCX - Get Free Report)'s share price traded up 1.5% during trading on Tuesday . The company traded as high as $100.63 and last traded at $100.36. 2,576,354 shares were traded during trading, a decline of 78% from the average session volume of 11,979,927 shares. The stock had previously closed at $98.88.

Analyst Upgrades and Downgrades

LRCX has been the topic of several recent analyst reports. UBS Group lifted their price target on Lam Research from $95.00 to $120.00 and gave the company a "buy" rating in a research note on Monday, July 21st. TD Cowen boosted their target price on Lam Research from $100.00 to $125.00 and gave the stock a "buy" rating in a research note on Thursday, July 31st. Barclays set a $83.00 target price on Lam Research and gave the stock an "equal weight" rating in a research report on Monday, July 28th. Stifel Nicolaus increased their target price on Lam Research from $92.00 to $110.00 and gave the company a "buy" rating in a research note on Tuesday, July 29th. Finally, Deutsche Bank Aktiengesellschaft set a $70.00 target price on shares of Lam Research and gave the stock a "hold" rating in a report on Thursday, April 24th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $107.09.

Lam Research Stock Performance

The stock has a market cap of $126.82 billion, a PE ratio of 24.07, a P/E/G ratio of 1.29 and a beta of 1.65. 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 firm's 50-day moving average is $97.71 and its 200 day moving average is $84.11.

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

Institutional Trading of Lam Research

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Smallwood Wealth Investment Management LLC acquired a new position in shares of Lam Research during the first quarter valued at $26,000. IMG Wealth Management Inc. acquired a new position in shares of Lam Research during the second quarter valued at $26,000. West Paces Advisors Inc. acquired a new position in shares of Lam Research during the fourth quarter valued at $27,000. Mpwm Advisory Solutions LLC acquired a new position in shares of Lam Research during the fourth quarter valued at $27,000. Finally, Howard Hughes Medical Institute acquired a new position in shares of Lam Research during the second quarter valued at $27,000. Institutional investors 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.

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