LRCX stock: buy or sell?
May 21st, 2019
Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits worldwide.
Should I buy LRCX stock?Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Following a trading strategy helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
Currently, Lam Research stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Lam Research stock a buy?
Financial institutions and banks post stock ratings everyday.At Stocks2.com, we gathered 11 ratings published for LRCX stock in the last month. The general sentiment of these ratings is bullish for LRCX stock, with 7 positive ratings.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-4-23||Royal Bank of Canada||n/a||Outperform|
|2019-2-22||Morgan Stanley||Overweight||Equal Weight|
|2019-1-29||Royal Bank of Canada||Sector Perform||Outperform|
|2019-1-24||Needham & Company LLC||n/a||Buy|
LRCX stock analysis
After sliding a dreadful -5.71% yesterday, Lam Research closed today at $186.91 and escalated a decent 1.76%.
After sliding a dreadful -5.71% yesterday, Lam Research closed today at $186.91 and escalated a decent 1.76%. Since SMA100d and SMA200d crossed up on April/11, LRCX price slid a -2.06%. LRCX marked a lower low and a lower high in the short term, defining a downward trend. Climbing above $200.00 would break this short term down trend and open possibilities for reversing this situation. Since price and SMA200d lines crossed up on January, LRCX climbed $26.69 (16.66%).
Shares of Lam Research slipped a terrible -3.73% this week. With this, it's been 3 sliding weeks in a row, loosing $-20.87 (-10.11%). Late April LRCX climbed an exceptional 5.63% in just one week.
In a weekly time frame, Lam Research stock is drawing an uptrend with rising tops and bottoms. Now trading in between its last bottom and last top, LRCX might consolidate in a flat-base, waiting to break out over or down under . Since SMA20d and SMA40w crossed up early April, LRCX price climbed $7.90 per share (4.41%). Since late January when LRCX stock price broke up the SMA40w line, it gained $40.26 (27.45%).
LRCX stock price history
LRCX IPO was on May 4th, 1984 at $2.06 per share1. Since then, LRCX stock surged a 8,973.30%, with a yearly average of 256.40%. If you had invested right after LRCX's IPO a $1,000 in LRCX stock in 1984, it would worth $89,733.00 today.
1: Adjusted price after possible price splits or reverse-splits.
LRCX stock historical price chart
LRCX stock reached 52-week highs on April 25th at $209.50, and all-time highs 2018-03-13 with a price of 229.01.
LRCX stock price target is $202.90Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' LRCX stock price predictions in the hope that they will be met as they may be wrong and not met. We have 10 price forecasts for Lam Research stock published in the last 30 days:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-4-25||UBS Group||Raises Target||$170.00||$205.00||20.6%|
|2019-4-25||Deutsche Bank||Raises Target||$180.00||$195.00||8.3%|
|2019-4-23||Royal Bank of Canada||Raises Target||$3.25||$220.00||6669.2%|
|2019-2-25||Deutsche Bank||Raises Target||n/a||$180.00||-|
|2019-1-29||Royal Bank of Canada||Upgrades||n/a||$190.00||-|
|2019-1-24||Needham & Company LLC||Reiterates||n/a||$180.00||-|
Financials and fundamental analysis
Earnings date and Earnings per ShareIn the last 36 days, when Lam Research posted its last earnings report, it slightly fell a lame -3.06%. Unfortunately, reported EPS is not yet available in our database.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsIn 2018, Lam Research annual turnover skyrocketed a super good 38.23% to $11,077.00 million dollars from $8,013.62 marked in 2017. When comparing 2018 vs 2017, instead, profit margin (that is, the net income divided by revenues) remained constant a 0.31% to 21.49%. To have an updated picture of the financial situation of Lam Research, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Lam Research TTM sales up to March 2019 were $10,418.34 and income was $2,670.76 million USD. If we compare this TTM figures with the last reported annuality, we can review Lam Research business evolution since June 2018: Annual sales up to March, compared to lastest yearly report, fell a tragic -5.95%. In contrast, profit margin (net income/revenues) appreciated at 21.49%.
|2013||$3,590 M||-||$114 M3.2%||-|
|2014||$4,600 M||28.13%||$632 M13.7%||455.22%|
|2015||$5,259 M||14.33%||$656 M12.5%||3.68%|
|2016||$5,886 M||11.91%||$914 M15.5%||39.43%|
|2017||$8,014 M||36.15%||$1,698 M21.2%||85.74%|
|2018||$11,077 M||38.23%||$2,381 M21.5%||40.22%|
|TTM||$10,418 M||-5.95%||$2,671 M25.6%||12.18%|
Quarterly financial resultsLam Research posted $2,439.05 million in revenues for 2019-Q1, a -3.31% less compared to previous quarter. Reported quarter earnings marked $547.39 million with a profit margin of 22.44%. Profit margin stayed constant a -0.11% compared to previous quarter when profit margin was 22.55%. When comparing sales to same quarter last year, Lam Research sales marked a bloodcurdling loss and plunged a -15.67%.
|2017-Q2||$2,350 M||-||$526 M22.4%||-|
|2017-Q3||$2,480 M||5.53%||$591 M23.8%||12.21%|
|2017-Q4||$2,581 M||4.06%||$-10 M-0.4%||-101.69%|
|2018-Q1||$2,892 M||12.06%||$779 M26.9%||-7,923.20%|
|2018-Q2||$3,126 M||8.08%||$1,021 M32.7%||31.12%|
|2018-Q3||$2,331 M||-25.44%||$533 M22.9%||-47.77%|
|2018-Q4||$2,523 M||8.24%||$569 M22.5%||6.65%|
|2019-Q1||$2,439 M||-3.31%||$547 M22.4%||-3.77%|
Lam Research ownershipWhen you are planning to invest in a company, it's always worth to have a look its ownership structure.
Lam Research shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.45% of all shares.
Bearish positions for LRCX stock account 0.00%, no big difference from last month.
For a better understanding, the next table shows ownership data compared to other related stocks:
|Market cap||$28.0 B||$525.7 M||$38.3 B||$85.9 M||$23.6 M|
|Total shares||149.9 M||32.9 M||949.4 M||14.2 M||6.6 M|
|Float shares||149.3 M||30.6 M||939.9 M||12.0 M||5.2 M|
|- Institutional holdings (%)||91.9%||85.8%||81.5%||58.2%||17.4%|
|- Insider holdings (%)||0.4%||1.7%||0.3%||1.8%||19.0%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Tuesday, May 21st, 2019|
|Day range||$185.49 - $188.61|
|Average true range||$6.83|
|50d mov avg||$190.73|
|100d mov avg||$175.79|
|200d mov avg||$163.35|
Lam Research performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. In the following table, we compare Lam Research performance to Axcelis Technologies, Applied Materials, Amtech Systems, CVD Equipment, KLA-Tencor and Veeco Instruments:
Lam Research competitorsOne check before investing in any stock is to review a list of its competitors, in this case for Lam Research. We chose 6 companies as Lam Research competitors as they are in the same industry or have similar market objectives.
- Axcelis Technologies (ACLS)
- Applied Materials (AMAT)
- Amtech Systems (ASYS)
- CVD Equipment (CVV)
- KLA-Tencor (KLAC)
- Veeco Instruments (VECO)
Latest LRCX stock news
- Seeking AlphaIs Now The Right Time To Buy Lam Research Stock?February 25, 2019
- InvestorPlace5 Top Stock Trades for Friday: Freeport, Xilinx, Lam ResearchJanuary 24, 2019
- Investors.comStock Market News: Xilinx, Lam Research Lead Powerful Chip RallyJanuary 24, 2019
- Seeking AlphaExclusive Interview: Lam Research CFO Delighted With 'Extraordinary' Runway - And Then SomeNovember 8, 2018
- Investors.comTop Stocks Today: Applied Materials, Lam Research Lead Semiconductor RallyNovember 1, 2018