Lam Research (NASDAQ:LRCX) Shares Down 1.3% – What’s Next?

Posted by Francis Steltz on Oct 9th, 2026

Lam Research Corporation (NASDAQ:LRCX – Get Free Report) shares dropped 1.3% on Wednesday. The company traded as low as $321.11 and last traded at $329.51. Approximately 6,238,499 shares were traded during trading, a decline of 42% from the average daily volume of 10,727,210 shares. The stock had previously closed at $333.89.

Lam Research News Summary

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

Positive Sentiment: New DRAM equipment wins strengthen Lam’s growth outlook. A major DRAM producer selected Lam’s Akara etch system and Aether dry-resist technology for advanced memory production. The wins could increase Lam’s exposure to DDR5, LPDDR5 and high-bandwidth memory capacity investments. Lam Research DRAM Wins Put Its Fair Value Narrative Back In Focus
Positive Sentiment: Fundamentals remain strong. Lam recently exceeded quarterly earnings and revenue expectations, with earnings per share of $1.82 versus the $1.69 consensus and revenue of $6.72 billion. Revenue increased 30% year over year, supporting the bullish case for semiconductor equipment demand.
Positive Sentiment: Long-term investor interest remains high. Coverage highlights Lam’s strong historical returns, high return on equity and leverage to artificial intelligence and advanced-chip manufacturing. Zacks also continues to feature LRCX among stocks it views favorably for long-term investors. Why Lam Research Is a Top Stock for the Long-Term
Neutral Sentiment: Investor attention is elevated. LRCX is among the most-watched stocks in recent market coverage, which may support trading activity but does not by itself represent a change in the company’s outlook. Lam Research Is a Trending Stock
Negative Sentiment: Recent selling pressure is weighing on the stock. Lam declined more sharply than the broader market in the latest session, suggesting profit-taking or a risk-off reaction after a substantial year-to-date advance. Lam Research Suffers a Larger Drop Than the General Market
Negative Sentiment: Valuation and volatility remain risks. With a high earnings multiple and a history of sharp drawdowns, investors may be demanding clearer evidence that AI- and memory-driven growth can justify the stock’s premium valuation.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on LRCX shares. Jefferies Financial Group set a $335.00 price target on Lam Research and gave the company a “buy” rating in a research note on Thursday, July 30th. Wells Fargo & Company reissued an “overweight” rating and set a $350.00 target price (down from $450.00) on shares of Lam Research in a research report on Thursday, July 30th. B. Riley Financial raised their price target on shares of Lam Research from $350.00 to $390.00 and gave the stock a “buy” rating in a report on Thursday, October 1st. Oppenheimer restated an “outperform” rating and issued a $400.00 price target (up from $330.00) on shares of Lam Research in a research report on Monday, June 15th. Finally, Mizuho reduced their price objective on shares of Lam Research from $370.00 to $365.00 and set an “outperform” rating on the stock in a research note on Tuesday, August 25th. One analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $364.59.

View Our Latest Research Report on Lam Research

Lam Research Trading Down 0.2%

The company has a quick ratio of 1.91, a current ratio of 2.63 and a debt-to-equity ratio of 0.30. The stock has a market capitalization of $400.22 billion, a P/E ratio of 55.56, a P/E/G ratio of 1.31 and a beta of 1.85. The firm’s 50 day simple moving average is $310.47 and its two-hundred day simple moving average is $305.77.

Lam Research (NASDAQ:LRCX – Get Free Report) last announced its quarterly earnings data on Wednesday, July 29th. The semiconductor company reported $1.82 earnings per share for the quarter, beating the consensus estimate of $1.69 by $0.13. The firm had revenue of $6.72 billion for the quarter, compared to analyst estimates of $6.66 billion. Lam Research had a net margin of 31.27% and a return on equity of 67.60%. The business’s quarterly revenue was up 30.0% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.33 earnings per share. Lam Research has set its Q1 2027 guidance at 2.000-2.300 EPS. As a group, analysts forecast that Lam Research Corporation will post 9.34 earnings per share for the current fiscal year.

Lam Research Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 14th. Shareholders of record on Wednesday, September 23rd will be paid a $0.33 dividend. This represents a $1.32 dividend on an annualized basis and a yield of 0.4%. This is a boost from Lam Research’s previous quarterly dividend of $0.26. The ex-dividend date of this dividend is Wednesday, September 23rd. Lam Research’s payout ratio is 22.92%.

Insider Activity

In other news, Director Bethany Mayer sold 9,557 shares of the business’s stock in a transaction that occurred on Wednesday, September 9th. The stock was sold at an average price of $314.74, for a total transaction of $3,007,970.18. Following the completion of the sale, the director owned 20,995 shares in the company, valued at $6,607,966.30. The trade was a 31.28% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Abhijit Talwalkar sold 18,282 shares of the company’s stock in a transaction that occurred on Monday, July 13th. The stock was sold at an average price of $335.00, for a total value of $6,124,470.00. Following the transaction, the director directly owned 87,142 shares in the company, valued at $29,192,570. The trade was a 17.34% decrease in their ownership of the stock. 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. Insiders sold a total of 32,839 shares of company stock worth $10,644,740 over the last quarter. 0.31% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of LRCX. Van ECK Associates Corp boosted its holdings in Lam Research by 411.8% during the 2nd quarter. Van ECK Associates Corp now owns 11,089,395 shares of the semiconductor company’s stock worth $4,805,368,000 after acquiring an additional 8,922,854 shares during the last quarter. Bank of New York Mellon Corp bought a new stake in shares of Lam Research in the 2nd quarter worth $3,777,585,000. Corient Private Wealth LLC raised its holdings in shares of Lam Research by 235.5% in the fourth quarter. Corient Private Wealth LLC now owns 5,199,441 shares of the semiconductor company’s stock valued at $890,040,000 after purchasing an additional 3,649,553 shares during the last quarter. J. Stern & Co. LLP raised its holdings in shares of Lam Research by 3,826.9% in the fourth quarter. J. Stern & Co. LLP now owns 3,459,377 shares of the semiconductor company’s stock valued at $592,176,000 after purchasing an additional 3,371,283 shares during the last quarter. Finally, Jennison Associates LLC lifted its position in shares of Lam Research by 296.9% during the first quarter. Jennison Associates LLC now owns 3,373,306 shares of the semiconductor company’s stock valued at $720,740,000 after purchasing an additional 2,523,351 shares in the last quarter. Institutional investors and hedge funds own 84.61% of the company’s stock.

Lam Research Company Profile

(Get Free Report)

Lam Research Corporation is a semiconductor equipment company that designs, manufactures, and services systems used in the fabrication of integrated circuits and other electronic devices. Its equipment supports key steps in the wafer manufacturing process, helping semiconductor producers create increasingly small and complex features on silicon wafers.

The company’s portfolio includes systems for etch, deposition, wafer cleaning, surface preparation, and related manufacturing processes.