Throughout the last three months, 13 analysts have evaluated Lam Research (NASDAQ:LRCX), offering a diverse set of opinions from bullish to bearish.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 1 | 7 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 3 | 0 | 5 | 0 | 0 |
| 3M Ago | 2 | 1 | 1 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Lam Research, presenting an average target of $484.85, a high estimate of $1150.00, and a low estimate of $76.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 11.09%.
Decoding Analyst Ratings: A Detailed Look
The standing of Lam Research among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Stacy Rasgon | Bernstein | Lowers | Market Perform | $85.00 | $95.00 |
| C J Muse | Cantor Fitzgerald | Maintains | Neutral | $100.00 | $100.00 |
| Joseph Moore | Morgan Stanley | Lowers | Equal-Weight | $76.00 | $77.00 |
| Brian Chin | Stifel | Lowers | Buy | $100.00 | $105.00 |
| Joseph Quatrochi | Wells Fargo | Lowers | Equal-Weight | $85.00 | $88.00 |
| Craig Ellis | B. Riley Securities | Raises | Buy | $110.00 | $105.00 |
| Charles Shi | Needham | Maintains | Buy | $100.00 | $100.00 |
| Joseph Quatrochi | Wells Fargo | Lowers | Equal-Weight | $880.00 | $1000.00 |
| C J Muse | Cantor Fitzgerald | Lowers | Neutral | $1000.00 | $1200.00 |
| Vijay Rakesh | Mizuho | Lowers | Outperform | $950.00 | $1050.00 |
| Joseph Moore | Morgan Stanley | Lowers | Equal-Weight | $774.00 | $929.00 |
| Atif Malik | Citigroup | Lowers | Buy | $893.00 | $990.00 |
| Timothy Arcuri | UBS | Lowers | Buy | $1150.00 | $1250.00 |
Key Insights:
- Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Lam Research. This offers insight into analysts' perspectives on the current state of the company.
- Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Lam Research compared to the broader market.
- Price Targets: Gaining insights, analysts provide estimates for the future value of Lam Research's stock. This comparison reveals trends in analysts' expectations over time.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Lam Research's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on Lam Research analyst ratings.
Discovering Lam Research: A Closer Look
Lam Research is one of the largest semiconductor wafer fabrication equipment manufacturers in the world. It specializes in deposition and etch, which entail the buildup of layers on a semiconductor and the subsequent selective removal of patterns from each layer. Lam holds the top market share in etch and holds the clear second share in deposition. It is more exposed to memory chipmakers for DRAM and NAND chips. It counts as top customers the largest chipmakers in the world, including TSMC, Samsung, Intel, and Micron.
Financial Insights: Lam Research
Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.
Positive Revenue Trend: Examining Lam Research's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 19.7% as of 30 September, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 26.79%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): Lam Research's ROE stands out, surpassing industry averages. With an impressive ROE of 13.13%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Lam Research's ROA excels beyond industry benchmarks, reaching 5.83%. This signifies efficient management of assets and strong financial health.
Debt Management: With a high debt-to-equity ratio of 0.59, Lam Research faces challenges in effectively managing its debt levels, indicating potential financial strain.
Understanding the Relevance of Analyst Ratings
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
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