Latest news with #LRCX
Yahoo
2 days ago
- Business
- Yahoo
Is Lam Research (LRCX) a Buy as Wall Street Analysts Look Optimistic?
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though? Let's take a look at what these Wall Street heavyweights have to say about Lam Research (LRCX) before we discuss the reliability of brokerage recommendations and how to use them to your advantage. Lam Research currently has an average brokerage recommendation (ABR) of 1.63, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 30 brokerage firms. An ABR of 1.63 approximates between Strong Buy and Buy. Of the 30 recommendations that derive the current ABR, 19 are Strong Buy and three are Buy. Strong Buy and Buy respectively account for 63.3% and 10% of all recommendations. Check price target & stock forecast for Lam Research here>>> The ABR suggests buying Lam Research, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation. Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation. This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements. Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision. In spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures. The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5. Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide. In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research. In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks. There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices. Looking at the earnings estimate revisions for Lam Research, the Zacks Consensus Estimate for the current year has increased 0% over the past month to $4.00. Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Lam Research. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Therefore, the Buy-equivalent ABR for Lam Research may serve as a useful guide for investors. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lam Research Corporation (LRCX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
TD Cowen Lowers Lam Research (LRCX) Price Target, Keeps Buy Rating
Lam Research Corporation (NASDAQ:LRCX) is one of the 10 Best American Semiconductor Stocks to Buy Now. On April 24, TD Cowen reduced the price target for Lam Research Corporation (NASDAQ:LRCX) from $110 to $100 but kept a 'Buy' rating. TD Cowen analysts noted that key catalysts for Lam Research Corporation's (NASDAQ:LRCX) future growth include higher deposition/etch intensity and a recovery in NAND Wafer Fabrication Equipment (WFE). The analysts also pointed out that the company's guidance for the June quarter was strong and it beat consensus revenue estimates by 9%. This was mainly supported by strong demand in the NAND and Foundry markets, including Chip on Wafer on Substrate (CoWoS) and Gate-All-Around (GAA) technologies. A technician operating an automated semiconductor processing machine with laser accuracy. The firm's analysts see these results as good news for Lam Research Corporation (NASDAQ:LRCX), which is focusing on growing its market share in the Foundry segment. Lam Research Corporation (NASDAQ:LRCX) is a global supplier of wafer fabrication equipment and services to the semiconductor industry. While we acknowledge the potential of LRCX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Stocks That Will Bounce Back According To Analysts and 11 Best Stocks Under $15 to Buy According to Hedge Funds. Disclosure: None.
Yahoo
6 days ago
- Business
- Yahoo
BofA Boosts Lam Research (LRCX) Target to $100 Amid DRAM Tailwinds
Lam Research Corp. (NASDAQ:LRCX) is one of the 10 best tech stocks to buy according to billionaires right now. In a recent update dated June 9, BofA Securities analyst Vivek Arya reiterated his Buy rating on Lam Research and raised the stock's price target to $100 (up from $90), driven by a more constructive outlook on NAND, as well as continued strength in advanced DRAM markets, including DDR5 and HBM. Following discussions with Lam Research's management during the 2025 Bank of America Global Technology Conference, Arya highlighted positive signals not only from Lam but also from KLA Corp and Applied Materials. All three companies pointed to sustained momentum in leading-edge foundry/logic and advanced DRAM wafer fab equipment (WFE) demand this year. According to Arya, this strength is playing a key role in balancing out ongoing softness in China and in spending on trailing-edge nodes. This, in turn, is helping the sector stay on track for mid-single-digit year-over-year growth in calendar 2025. An engineer in a lab coat examining a state-of-the-art semiconductor chip. At the conference, the company projected the wafer fab equipment market to grow by mid-single-digit to around $100 billion, from around $90 billion last year. Lam Research is positioning itself to secure a substantial share of this growth, particularly in etch and deposition, where investment is projected to rise from the low to high 30% range. Lam Research Corp.'s (NASDAQ:LRCX) management also commented on early-stage NAND upgrade activity taking place across multiple customers, framing it as part of a broader, long-term $40 billion market opportunity. Importantly, despite recent concerns surrounding regulatory developments, Arya noted that all major vendors view China as effectively 'de-risked' for 2025, with sales contribution expected to stabilize in the 25%–30% range. Lam Research Corp. (NASDAQ:LRCX) is a leading semiconductor equipment manufacturer that provides wafer fabrication equipment and services to the semiconductor industry. The company's innovative systems for wafer etching and deposition are essential for the advanced nodes of semiconductor technology, enabling the creation of smaller and more efficient integrated circuits. While we acknowledge the potential of LRCX as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: The Best and Worst Dow Stocks for the Next 12 Months and 10 Unstoppable Stocks That Could Double Your Money. Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
6 days ago
- Business
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Why Lam Research (LRCX) is a Top Stock for the Long-Term
If you're a beginner investor, the idea of creating a portfolio from the ground up can feel like an impossible goal to achieve. That's why you should start by looking at stocks that are set to beat the market over the next 12 months, a strategy that's been proven to generate strong returns. Let's now take a look at one standout stock that could be a perfect fit for your portfolio. Headquartered in Fremont, CA, Lam Research Corporation supplies wafer fabrication equipment and services to the semiconductor industry. In addition, it serves the related markets that rely on semiconductor processes and require production-proven manufacturing capabilities, such as complementary metal-oxide-semiconductor image sensors and micro-electromechanical systems (MEMS). Since being added to the Zacks Focus List on December 5, 2016 at $10.05 per share, shares of LRCX have increased 790.75% to $89.52. For fiscal 2025, 12 analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.27 to $4.00. LRCX boasts an average earnings surprise of 6.1%. Earnings for Lam Research's are forecasted to see growth of 33.8% for the current fiscal year as well. It can be very profitable to buy stocks with rising earnings estimates, as stock prices respond to revisions. By adding a Focus List stock like LRCX, there's a great chance you'll be getting into a company whose future earnings estimates will be raised, which can lead to price momentum. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lam Research Corporation (LRCX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Errore nel recupero dei dati Effettua l'accesso per consultare il tuo portafoglio Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati Errore nel recupero dei dati
Yahoo
14-06-2025
- Business
- Yahoo
Lam Research (LRCX) Registers a Bigger Fall Than the Market: Important Facts to Note
In the latest close session, Lam Research (LRCX) was down 2.33% at $89.52. This change lagged the S&P 500's 1.13% loss on the day. On the other hand, the Dow registered a loss of 1.79%, and the technology-centric Nasdaq decreased by 1.3%. Prior to today's trading, shares of the semiconductor equipment maker had gained 8.1% outpaced the Computer and Technology sector's gain of 7.36% and the S&P 500's gain of 3.55%. The upcoming earnings release of Lam Research will be of great interest to investors. The company is predicted to post an EPS of $1.2, indicating a 48.15% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $4.98 billion, indicating a 28.52% upward movement from the same quarter last year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $4 per share and revenue of $18.21 billion. These totals would mark changes of +33.78% and +22.15%, respectively, from last year. It is also important to note the recent changes to analyst estimates for Lam Research. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system. The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.52% higher. Lam Research is currently sporting a Zacks Rank of #2 (Buy). Digging into valuation, Lam Research currently has a Forward P/E ratio of 22.89. This signifies a discount in comparison to the average Forward P/E of 25.05 for its industry. We can additionally observe that LRCX currently boasts a PEG ratio of 1.29. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Electronics - Semiconductors stocks are, on average, holding a PEG ratio of 1.5 based on yesterday's closing prices. The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 73, putting it in the top 30% of all 250+ industries. The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Lam Research Corporation (LRCX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
