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Lam Research (LRCX) Gains As Market Dips: What You Should Know
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Lam Research (LRCX - Free Report) closed at $235.56 in the latest trading session, marking a +0.29% move from the prior day. This change outpaced the S&P 500's 0.07% loss on the day. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq lost 0.22%.
Prior to today's trading, shares of the semiconductor equipment maker had gained 18.07% over the past month. This has outpaced the Computer and Technology sector's gain of 5.05% and the S&P 500's gain of 4.58% in that time.
LRCX will be looking to display strength as it nears its next earnings release. In that report, analysts expect LRCX to post earnings of $3.01 per share. This would mark a year-over-year decline of 10.32%. Meanwhile, our latest consensus estimate is calling for revenue of $2.19 billion, down 6.13% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $13.60 per share and revenue of $9.28 billion, which would represent changes of -6.56% and -3.83%, respectively, from the prior year.
Any recent changes to analyst estimates for LRCX should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.21% higher within the past month. LRCX is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, LRCX currently has a Forward P/E ratio of 17.27. Its industry sports an average Forward P/E of 24.17, so we one might conclude that LRCX is trading at a discount comparatively.
We can also see that LRCX currently has a PEG ratio of 1.44. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor Equipment - Wafer Fabrication industry currently had an average PEG ratio of 2.53 as of yesterday's close.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 231, which puts it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Lam Research (LRCX) Gains As Market Dips: What You Should Know
Lam Research (LRCX - Free Report) closed at $235.56 in the latest trading session, marking a +0.29% move from the prior day. This change outpaced the S&P 500's 0.07% loss on the day. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq lost 0.22%.
Prior to today's trading, shares of the semiconductor equipment maker had gained 18.07% over the past month. This has outpaced the Computer and Technology sector's gain of 5.05% and the S&P 500's gain of 4.58% in that time.
LRCX will be looking to display strength as it nears its next earnings release. In that report, analysts expect LRCX to post earnings of $3.01 per share. This would mark a year-over-year decline of 10.32%. Meanwhile, our latest consensus estimate is calling for revenue of $2.19 billion, down 6.13% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $13.60 per share and revenue of $9.28 billion, which would represent changes of -6.56% and -3.83%, respectively, from the prior year.
Any recent changes to analyst estimates for LRCX should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.21% higher within the past month. LRCX is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, LRCX currently has a Forward P/E ratio of 17.27. Its industry sports an average Forward P/E of 24.17, so we one might conclude that LRCX is trading at a discount comparatively.
We can also see that LRCX currently has a PEG ratio of 1.44. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor Equipment - Wafer Fabrication industry currently had an average PEG ratio of 2.53 as of yesterday's close.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 231, which puts it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.