The Lam Research Corporation (LRCX) Cut to “Hold” at Zacks Investment Research

The Lam Research Corporation (LRCX) Cut to “Hold” at Zacks Investment Research

Zacks Investment Research downgraded shares of Lam Research Corporation (NASDAQ:LRCX) from a buy rating to a hold rating in a research note published on Friday.

According to Zacks, “Lam Research Corp. is a leading global provider of innovative wafer fabrication equipment and services to the semiconductor industry. Over the last one year, the stock has underperformed the Zacks characterized Semi-Equipment Wafer Fab industry. In the last reported first quarter, the results were driven by strong success in the areas of device architecture, process flow and advanced packaging technology inflections. The company terminated its proposed acquisition of California-based KLA-Tencor, following antitrust objections from the Justice Department. The company has been improving on WFE market share significantly since 2013 and expects to continue making gains, going forward.   At the same time, the persistent decline in the PC market, which is still the most important consumer of DRAMs, the competitive climate and currency effects remain concerns. The Brexit impact cannot be ignored either.”

LRCX has been the topic of a number of other research reports. B. Riley restated a buy rating and set a $120.00 target price on shares of Lam Research Corporation in a research note on Saturday, November 26th. Citigroup Inc. set a $123.00 target price on shares of Lam Research Corporation and gave the stock a buy rating in a research note on Tuesday, November 29th. Cowen and Company restated an outperform rating and set a $105.00 target price (up previously from $100.00) on shares of Lam Research Corporation in a research note on Tuesday, November 22nd. Deutsche Bank AG restated a buy rating on shares of Lam Research Corporation in a research note on Monday, November 21st. Finally, Stifel Nicolaus raised their target price on shares of Lam Research Corporation from $110.00 to $116.00 and gave the stock a buy rating in a research note on Monday, November 21st. Two research analysts have rated the stock with a hold rating and seventeen have given a buy rating to the company. The company presently has a consensus rating of Buy and an average target price of $111.24.

Shares of Lam Research Corporation (NASDAQ:LRCX) opened at 111.24 on Friday. The stock has a 50 day moving average of $106.40 and a 200-day moving average of $97.32. The stock has a market cap of $18.11 billion, a PE ratio of 22.08 and a beta of 1.49. Lam Research Corporation has a 52 week low of $63.10 and a 52 week high of $111.29.

Lam Research Corporation (NASDAQ:LRCX) last issued its quarterly earnings data on Wednesday, October 19th. The company reported $1.81 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.78 by $0.03. Lam Research Corporation had a net margin of 15.02% and a return on equity of 18.43%. The firm had revenue of $1.63 billion for the quarter, compared to analysts’ expectations of $1.63 billion. During the same quarter in the prior year, the business earned $1.82 EPS. The business’s quarterly revenue was up 2.0% on a year-over-year basis. Equities research analysts predict that Lam Research Corporation will post $8.38 earnings per share for the current fiscal year.

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, January 4th. Shareholders of record on Wednesday, December 14th were paid a dividend of $0.45 per share. This represents a $1.80 annualized dividend and a yield of 1.62%. This is a positive change from Lam Research Corporation’s previous quarterly dividend of $0.30. The ex-dividend date was Monday, December 12th. Lam Research Corporation’s payout ratio is presently 35.79%.

In other Lam Research Corporation news, insider Martin B. Anstice sold 16,000 shares of Lam Research Corporation stock in a transaction on Friday, December 2nd. The shares were sold at an average price of $100.54, for a total transaction of $1,608,640.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Mansy Youssef A. El sold 2,333 shares of Lam Research Corporation stock in a transaction on Friday, December 9th. The stock was sold at an average price of $106.56, for a total transaction of $248,604.48. The disclosure for this sale can be found here. Company insiders own 0.46% of the company’s stock.

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. FMR LLC raised its position in Lam Research Corporation by 149.5% in the second quarter. FMR LLC now owns 10,317,149 shares of the company’s stock valued at $867,259,000 after buying an additional 6,182,540 shares during the last quarter. TIAA CREF Investment Management LLC raised its position in Lam Research Corporation by 104.9% in the third quarter. TIAA CREF Investment Management LLC now owns 2,493,735 shares of the company’s stock valued at $236,182,000 after buying an additional 1,276,856 shares during the last quarter. BlackRock Investment Management LLC raised its stake in shares of Lam Research Corporation by 209.6% in the second quarter. BlackRock Investment Management LLC now owns 1,093,309 shares of the company’s stock worth $91,904,000 after buying an additional 740,148 shares in the last quarter. Criterion Capital Management LLC raised its stake in shares of Lam Research Corporation by 187.6% in the second quarter. Criterion Capital Management LLC now owns 1,059,055 shares of the company’s stock worth $89,024,000 after buying an additional 690,855 shares in the last quarter. Finally, Janus Capital Management LLC raised its stake in shares of Lam Research Corporation by 40.8% in the second quarter. Janus Capital Management LLC now owns 2,103,641 shares of the company’s stock worth $176,832,000 after buying an additional 609,780 shares in the last quarter.

About Lam Research Corporation

Lam Research Corporation is a supplier of wafer fabrication equipment and services to the semiconductor industry. The Company designs, manufactures, markets, refurbishes and services semiconductor processing systems that are used in the fabrication of integrated circuits (ICs). It operates through manufacturing and servicing of wafer processing semiconductor manufacturing equipment segment.

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