Lam Research (NASDAQ:LRCX) Trading 1% Higher Following Dividend Announcement

by · The Cerbat Gem

Lam Research Corporation (NASDAQ:LRCX – Get Free Report) was up 1% on Friday following a dividend announcement from the company. The stock traded as high as $309.98 and last traded at $305.35. Approximately 7,839,184 shares changed hands during trading, a decline of 28% from the average daily volume of 10,901,773 shares. The stock had previously closed at $302.24.

The newly announced dividend which will be paid on Wednesday, July 8th. Shareholders of record on Wednesday, June 17th will be given a $0.26 dividend. This represents a $1.04 annualized dividend and a yield of 0.3%. The ex-dividend date of this dividend is Wednesday, June 17th. Lam Research’s dividend payout ratio is 19.62%.

Wall Street Analyst Weigh In

Several brokerages have commented on LRCX. Deutsche Bank Aktiengesellschaft upped their price objective on Lam Research from $300.00 to $325.00 and gave the company a “buy” rating in a research report on Thursday, April 23rd. Berenberg Bank upped their price objective on Lam Research from $265.00 to $335.00 and gave the company a “buy” rating in a research report on Thursday, April 23rd. Stifel Nicolaus upped their price objective on Lam Research from $300.00 to $325.00 and gave the company a “buy” rating in a research report on Thursday, April 23rd. Argus upped their price objective on Lam Research from $175.00 to $280.00 in a research report on Tuesday, February 3rd. Finally, Morgan Stanley raised Lam Research from an “underweight” rating to an “overweight” rating and upped their price objective for the company from $293.00 to $331.00 in a research report on Monday. Twenty-seven analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat, Lam Research has a consensus rating of “Moderate Buy” and a consensus price target of $293.46.

Check Out Our Latest Research Report on LRCX

Lam Research Stock Up 1.0%

The company has a current ratio of 2.54, a quick ratio of 1.77 and a debt-to-equity ratio of 0.35. The business has a 50-day moving average price of $252.34 and a 200-day moving average price of $214.71. The firm has a market cap of $381.86 billion, a P/E ratio of 57.61, a P/E/G ratio of 2.42 and a beta of 1.81.

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 (EPS) for the quarter, topping 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 business had revenue of $5.84 billion for the quarter, compared to the consensus estimate of $5.70 billion. During the same quarter in the prior year, the company earned $1.04 EPS. The business’s revenue 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. On average, equities analysts forecast that Lam Research Corporation will post 5.67 EPS for the current fiscal year.

Key Stories Impacting Lam Research

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

  • Positive Sentiment: Lam Research is expanding its AI packaging capabilities with a new research lab in Salzburg, Austria, focused on panel-level chip packaging, higher chip density, and lower packaging costs as AI semiconductor demand grows.
  • Positive Sentiment: Reuters reported that CEO Tim Archer said Lam is adding sensing and AI features to its chipmaking tools while planning expanded operations in Arizona and California, reinforcing its exposure to AI-driven semiconductor spending.
  • Positive Sentiment: Sanford C. Bernstein raised its price target on Lam Research to $340 from $325 and maintained an outperform rating, suggesting more upside from current levels.
  • Positive Sentiment: The company declared a quarterly dividend of $0.26 per share, which can support investor confidence, even though the yield remains modest.
  • Positive Sentiment: Several articles highlighted Lam Research’s strong post-earnings performance, with the stock up sharply since its last report as investors continue to reward better-than-expected results and strong guidance.
  • Neutral Sentiment: Technical coverage noted that the shares recently crossed above the 20-day moving average, a sign of short-term bullish momentum but not a standalone fundamental catalyst.

Insider Transactions at Lam Research

In other news, CFO Douglas R. Bettinger sold 50,057 shares of the stock in a transaction 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 transaction, the chief financial officer owned 1,081,705 shares of the company’s stock, valued at approximately $242,334,371.15. This represents a 4.42% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, SVP Neil J. Fernandes sold 18,170 shares of the stock in a transaction on Friday, May 1st. The stock was sold at an average price of $255.14, for a total value of $4,635,893.80. Following the transaction, the senior vice president directly owned 66,129 shares in the company, valued at $16,872,153.06. The trade was a 21.55% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 120,066 shares of company stock valued at $27,953,242. 0.31% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Lam Research

Hedge funds and other institutional investors have recently made changes to their positions in the company. Cedar Mountain Advisors LLC boosted its position in Lam Research by 242.9% during the first quarter. Cedar Mountain Advisors LLC now owns 120 shares of the semiconductor company’s stock valued at $26,000 after purchasing an additional 85 shares in the last quarter. Vermillion Wealth Management Inc. bought a new position in Lam Research in the first quarter worth about $26,000. PMV Capital Advisers LLC bought a new position in Lam Research in the fourth quarter worth about $25,000. Bayban bought a new position in Lam Research in the fourth quarter worth about $26,000. Finally, Mcguire Capital Advisors Inc. bought a new position in Lam Research in the fourth quarter worth about $27,000. Institutional investors own 84.61% of the company’s stock.

About Lam Research

(Get Free Report)

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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