Lam Research (NASDAQ:LRCX) Issues Q1 Earnings Guidance

Lam Research (NASDAQ:LRCX) updated its first quarter earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of $7.25-8.75 for the period, compared to the consensus estimate of $8.00. The company issued revenue guidance of $3.75-4.35 billion, compared to the consensus revenue estimate of $4.03 billion.

Lam Research Price Performance

LRCX traded up $66.38 during midday trading on Wednesday, hitting $921.24. The stock had a trading volume of 1,933,061 shares, compared to its average volume of 1,031,972. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.84 and a current ratio of 2.82. Lam Research has a 1 year low of $574.42 and a 1 year high of $1,130.00. The company has a market cap of $120.44 billion, a P/E ratio of 31.44, a price-to-earnings-growth ratio of 2.58 and a beta of 1.48. The business has a fifty day moving average of $1,007.44 and a 200 day moving average of $945.68.

Lam Research’s stock is set to split on Thursday, October 3rd. The 10-1 split was announced on Tuesday, May 21st. The newly minted shares will be distributed to shareholders after the market closes on Wednesday, October 2nd.

Lam Research Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, July 10th. Stockholders of record on Tuesday, June 18th were paid a dividend of $2.00 per share. The ex-dividend date was Tuesday, June 18th. This represents a $8.00 dividend on an annualized basis and a dividend yield of 0.87%. Lam Research’s dividend payout ratio is 29.42%.

Lam Research declared that its Board of Directors has initiated a share buyback program on Tuesday, May 21st that permits the company to repurchase $10.00 billion in shares. This repurchase authorization permits the semiconductor company to reacquire up to 8.1% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Analysts Set New Price Targets

LRCX has been the subject of several research analyst reports. Evercore ISI began coverage on shares of Lam Research in a research note on Tuesday, April 16th. They issued an outperform rating and a $1,200.00 price objective for the company. Raymond James upped their target price on shares of Lam Research from $950.00 to $1,060.00 and gave the stock an outperform rating in a research report on Friday, June 7th. Jefferies Financial Group began coverage on shares of Lam Research in a research report on Monday, May 13th. They issued a buy rating and a $1,100.00 target price on the stock. Mizuho increased their price target on shares of Lam Research from $935.00 to $960.00 and gave the stock a buy rating in a research note on Thursday, April 25th. Finally, Needham & Company LLC reiterated a buy rating and set a $1,030.00 target price on shares of Lam Research in a research note on Thursday, April 25th. Seven investment analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company’s stock. Based on data from MarketBeat.com, Lam Research currently has an average rating of Moderate Buy and a consensus target price of $1,007.85.

Insider Transactions at Lam Research

In other news, SVP Neil J. Fernandes sold 1,620 shares of the business’s stock in a transaction dated Friday, July 12th. The stock was sold at an average price of $1,056.99, for a total value of $1,712,323.80. Following the completion of the sale, the senior vice president now directly owns 5,237 shares of the company’s stock, valued at approximately $5,535,456.63. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. In other news, CEO Timothy Archer sold 9,650 shares of the stock in a transaction that occurred on Friday, June 28th. The stock was sold at an average price of $1,070.39, for a total transaction of $10,329,263.50. Following the completion of the transaction, the chief executive officer now directly owns 84,639 shares in the company, valued at approximately $90,596,739.21. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Also, SVP Neil J. Fernandes sold 1,620 shares of the stock in a transaction on Friday, July 12th. The stock was sold at an average price of $1,056.99, for a total value of $1,712,323.80. Following the completion of the sale, the senior vice president now directly owns 5,237 shares in the company, valued at $5,535,456.63. The disclosure for this sale can be found here. Insiders sold 16,726 shares of company stock valued at $17,746,999 over the last 90 days. 0.32% of the stock is currently owned by corporate insiders.

Lam Research Company Profile

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.