Lam Research (NASDAQ:LRCX) Posts Earnings Results, Beats Expectations By $0.05 EPS

Lam Research (NASDAQ:LRCX) issued its quarterly earnings results on Wednesday. The semiconductor company reported $0.86 earnings per share for the quarter, topping the consensus estimate of $0.81 by $0.05, Briefing.com reports. Lam Research had a return on equity of 48.71% and a net margin of 25.68%. The business had revenue of $4.17 billion during the quarter, compared to the consensus estimate of $4.06 billion. During the same quarter last year, the company earned $6.85 earnings per share. The company’s quarterly revenue was up 19.7% on a year-over-year basis. Lam Research updated its Q2 guidance to $0.77-0.97 EPS and its Q2 2025 guidance to 0.770-0.970 EPS.

Lam Research Stock Performance

Shares of LRCX stock traded up $2.31 during mid-day trading on Thursday, hitting $75.17. 5,670,582 shares of the stock were exchanged, compared to its average volume of 11,190,563. The stock has a market capitalization of $9.83 billion, a price-to-earnings ratio of 2.68, a P/E/G ratio of 1.75 and a beta of 1.47. The company has a debt-to-equity ratio of 0.52, a quick ratio of 2.00 and a current ratio of 2.97. Lam Research has a 12-month low of $57.44 and a 12-month high of $113.00. The stock’s fifty day simple moving average is $79.60 and its two-hundred day simple moving average is $89.94.

Lam Research Cuts Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, October 1st. Investors of record on Tuesday, September 17th were paid a dividend of $0.23 per share. The ex-dividend date of this dividend was Tuesday, September 17th. This represents a $0.92 dividend on an annualized basis and a dividend yield of 1.22%. Lam Research’s payout ratio is 3.38%.

Insider Buying and Selling

In other news, CAO Christina Correia sold 647 shares of the stock in a transaction that occurred on Tuesday, October 1st. The stock was sold at an average price of $817.51, for a total value of $528,928.97. Following the completion of the sale, the chief accounting officer now directly owns 4,267 shares of the company’s stock, valued at approximately $3,488,315.17. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.32% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

A number of analysts recently commented on the stock. UBS Group lowered their target price on shares of Lam Research from $125.00 to $115.00 and set a “buy” rating for the company in a research note on Thursday, September 12th. Morgan Stanley lowered their price objective on shares of Lam Research from $81.00 to $77.00 in a research note on Wednesday. Cantor Fitzgerald reduced their target price on Lam Research from $120.00 to $100.00 and set a “neutral” rating for the company in a research note on Monday, September 30th. Wells Fargo & Company reduced their target price on shares of Lam Research from $1,000.00 to $880.00 and set an “equal weight” rating for the company in a report on Thursday, October 3rd. Finally, B. Riley cut their price objective on Lam Research from $132.50 to $105.00 and set a “buy” rating for the company in a research report on Wednesday. Six analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company’s stock. According to MarketBeat.com, Lam Research currently has an average rating of “Moderate Buy” and an average target price of $139.13.

About Lam Research

Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits. The company offers ALTUS systems to deposit conformal films for tungsten metallization applications; SABRE electrochemical deposition products for copper interconnect transition that offers copper damascene manufacturing; SOLA ultraviolet thermal processing products for film treatments; and VECTOR plasma-enhanced CVD ALD products.