Lam Research Corporation (NASDAQ:LRCX) finished Thursday with a subtraction of -$29.68 to close at $656.71, a downside of -4.32 percent. An average of 786,365 shares of common stock have been traded in the last five days. There was a fall of -$31.72 in the past week, and it reached a new high 17 times over the past 12 months. The last 20 days have seen an average of 1,282,216 shares traded, while the 50-day average volume stands at 1,240,048.
LRCX stock has increased by 2.88% in the last month. The company shares reached their 1-month lowest point of $612.61 on 07/20/23. With the stock rallying to its 52-week high on 07/31/23, shares of the company touched a low of $299.59 and a high of $726.53 in 52 weeks. It has reached a new high 23 times so far this year and achieved 56.25% or $238.44 in price. In spite of this, the price is down -9.61% from the 52-week high.
Insider Transactions
LRCX stock investors should be aware that Lam Research Corporation (LRCX) stock had its last reported insider trading activity 4 days ago on Aug 07. In this transaction, the insider spent $1,336,899. Senior Vice President, Vahedi Vahid, disposed of 13,756 shares at a price of $717.46 on Aug 01. The insider now owns more than $9,869,437 worth of shares. Prior to that, CVP, Chief Accounting Officer Corrreia Christina went on to Sale 1,627 shares at $708.85 each on Aug 01. An amount of $1,153,299 was transacted.
Valuation Metrics
Lam Research Corporation (LRCX) has a trailing price-to-earnings (P/E) ratio of 19.81. The stock’s beta is 1.50. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 5.04, the price-to-book (PB) ratio at 10.54, and the price-to-cash flow ratio at 41.93.
The company has a payout ratio of 16.70%. The company’s most recent quarterly dividend payment was $1.7250 a share, without any change from last year. Its latest increase dividend $0.2250 reported on Thursday August 25 2022.
Financial Health
The quick ratio of Lam Research Corporation for the three months ended June 29 was 2.00, and the current ratio was 3.10, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.59 and a total debt to equity ratio of 0.60 for the quarter ending June 29. Lam Research Corporation’s EBITDA margin for the year ending June 29 is 32.35%, while its operating margin for the same period stands at 34.70%. Its gross profit as reported stood at $7.87 billion compared to revenue of $17.23 billion.
Earnings Surprise
For the three-month period that ended June 29, Lam Research Corporation had $5.0 billion in total debt. In the quarter under review, the net income was down than the previous quarter. The company posted a net income of $814.01 million in the quarter, while revenues of $1.47 billion were shrunk -25.52%. The analyst consensus anticipated Lam Research Corporation’s latest quarter earnings to come in at $5.07 per share, but it turned out to be $5.98, a 17.90% surprise. For the quarter, EBITDA amounted to $1.03 billion. Shareholders own equity worth $134.34 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Lam Research Corporation (LRCX) price momentum. RSI 9-day as of the close on 10 August was 41.04%, suggesting the stock is Neutral, with historical volatility in this time frame at 31.11%.
As of today, LRCX’s price is $686.51 -4.59% or -$31.72 from its 5-day moving average. LRCX is currently trading +3.16% higher than its 20-day SMA and +28.34% higher than its 100-day SMA. However, the stock’s current price level is +6.82% above the SMA50 and +76.15% above the SMA200.
The stochastic %K and %D were 49.91% and 62.43%, respectively, and the average true range (ATR) was 20.74. With the 14-day stochastic at 28.18% and the average true range at 20.26, the RSI (14) stands at 47.53%. The stock has reached -13.84 on the 9-day MACD Oscillator while the 14-day reading was at -12.40.
Analyst Ratings
Stifel upgraded Lam Research Corporation (NASDAQ: LRCX) to a a Buy rating in its most recent analyst report. Previously, the stock was rated as a Hold. The consensus rating for Lam Research Corporation (LRCX) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell LRCX, while 12 suggest investors hold. There are 1 analyst who rate the stock as underweight. The stock is rated overweight by 0 analysts, while 14 others rate it as a “buy”.
What is LRCX’s price target for the next 12 months?
Analysts predict a range of price targets between $545.00 and $800.00, with a median target of $720.00. Taking a look at these predictions, the average price target given by analysts for Lam Research Corporation (LRCX) stock is $694.95.
