Lam Research (NASDAQ:LRCX – Get Free Report) issued an update on its second quarter 2027 earnings guidance on Friday. The company provided earnings per share guidance of 2.180-2.480 for the period, compared to the consensus earnings per share estimate of 2.300. The company issued revenue guidance of $8.2 billion-$9.0 billion, compared to the consensus revenue estimate of $8.5 billion.
Lam Research Stock Up 0.2%
Shares of Lam Research stock traded up $0.57 during trading on Friday, reaching $230.72. The company had a trading volume of 4,031,792 shares, compared to its average volume of 10,711,622. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.91 and a current ratio of 2.63. Lam Research has a fifty-two week low of $135.50 and a fifty-two week high of $438.50. The firm’s fifty day moving average is $303.94 and its 200-day moving average is $309.88. The company has a market cap of $288.73 billion, a price-to-earnings ratio of 39.99, a price-to-earnings-growth ratio of 0.95 and a beta of 1.85.
Lam Research (NASDAQ:LRCX – Get Free Report) last posted its quarterly earnings results on Wednesday, October 21st. The semiconductor company reported $2.20 EPS for the quarter, topping analysts’ consensus estimates of $2.18 by $0.02. The business had revenue of $8.22 billion during the quarter, compared to the consensus estimate of $8.14 billion. Lam Research had a return on equity of 76.78% and a net margin of 32.34%. The company’s revenue for the quarter was up 54.4% compared to the same quarter last year. During the same period last year, the firm earned $1.26 earnings per share. On average, analysts anticipate that Lam Research will post 9.35 EPS for the current year.
Lam Research Increases Dividend
The company also recently announced a quarterly dividend, which was paid on Wednesday, October 14th. Stockholders of record on Wednesday, September 23rd were given a $0.33 dividend. This represents a $1.32 annualized dividend and a dividend yield of 0.6%. The ex-dividend date was Wednesday, September 23rd. This is a positive change from Lam Research’s previous quarterly dividend of $0.26. Lam Research’s payout ratio is 22.92%.
Analyst Upgrades and Downgrades
A number of equities analysts have commented on the stock. Citigroup reaffirmed a “buy” rating and issued a $435.00 price objective (down from $450.00) on shares of Lam Research in a report on Thursday. Evercore set a $315.00 price target on shares of Lam Research in a research report on Tuesday. Needham & Company LLC decreased their price target on shares of Lam Research from $390.00 to $290.00 and set a “buy” rating for the company in a report on Thursday. HSBC reaffirmed a “hold” rating and set a $333.00 price objective on shares of Lam Research in a research report on Monday, July 27th. Finally, Jefferies Financial Group set a $335.00 price objective on shares of Lam Research and gave the stock a “buy” rating in a research note on Thursday, July 30th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $354.55.
Check Out Our Latest Research Report on LRCX
Insider Buying and Selling
In other Lam Research news, insider Ava Harter sold 5,000 shares of the business’s stock in a transaction on Monday, August 31st. The stock was sold at an average price of $302.46, for a total transaction of $1,512,300.00. Following the completion of the transaction, the insider owned 42,462 shares in the company, valued at approximately $12,843,056.52. The trade was a 10.53% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bethany Mayer sold 9,557 shares of the stock in a transaction on Wednesday, September 9th. The stock was sold at an average price of $314.74, for a total value of $3,007,970.18. Following the completion of the transaction, the director directly owned 20,995 shares of the company’s stock, valued at approximately $6,607,966.30. The trade was a 31.28% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.31% of the company’s stock.
Key Lam Research News
Here are the key news stories impacting Lam Research this week:
- Positive Sentiment: Lam Research reported record fiscal Q1 revenue of $8.22 billion, up 54.4% year over year, and adjusted EPS of $2.20, narrowly beating consensus estimates. Operating margin exceeded 40% for the first time, supported by strong systems sales, NAND demand and record foundry revenue. Lam Research Q1 Earnings Beat on Systems Sales and Margin Gains
- Positive Sentiment: Management sees wafer-fabrication-equipment spending exceeding $200 billion in 2027, fueled by AI infrastructure, memory upgrades and advanced-node manufacturing. Longer-term opportunities include growing Aether dry-resist revenue and more than 30% annual growth in the Customer Support Business Group. LRCX Q1 Earnings Call Highlights $200B-Plus WFE Outlook for 2027
- Positive Sentiment: Some analysts remain bullish: Bank of America issued a Buy rating, while Erste Group raised its FY2027 EPS estimate to $9.46 and FY2028 estimate to $12.08. ETFs also reported buying Lam Research shares, potentially providing support. Lam Research Receives a Buy from Bank of America Securities
- Neutral Sentiment: Fiscal Q2 guidance calls for revenue of $8.2 billion to $9.0 billion and EPS of $2.18 to $2.48. The midpoint is broadly in line with estimates, but the wide range reflects elevated execution uncertainty.
- Negative Sentiment: Component bottlenecks and cleanroom capacity limitations are restricting shipments through 2027, limiting how quickly Lam can convert strong customer demand into revenue. Lam Research Says Supply Bottlenecks Are Holding Back Revenue
- Negative Sentiment: China revenue is expected to decline substantially from its 35% share in September, while several analysts cut price targets after the earnings release. These concerns have weighed on LRCX and pressured the broader semiconductor-equipment sector despite the company’s strong results. Lam Research Retreats Amid Cautious Guidance and China Revenue Drop
About Lam Research
Lam Research Corporation (NASDAQ:LRCX) is a semiconductor equipment company that develops and manufactures systems used to fabricate integrated circuits. Its technologies support key stages of wafer processing, helping semiconductor manufacturers create the increasingly complex structures found in memory, logic and other types of chips.
The company’s product portfolio includes etch systems, which selectively remove materials from wafers; deposition systems, which apply thin films; and cleaning solutions used to remove contaminants and residue during manufacturing.
Featured Stories
- Five stocks we like better than Lam Research
- Kinder Morgan’s $4.7 Billion Pipeline Bet Could Be Bigger Than Its Earnings Beat
- Capital One Earnings: After a Double Beat the Rally Is On
- Tractor Supply’s Q3 Beat Plants the Seeds for a Stock Rebound
- WD-40 Could Reward Patient Investors—Here’s Why
Receive News & Ratings for Lam Research Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Lam Research and related companies with MarketBeat.com's FREE daily email newsletter.
