Lam Research (LRCX) Stock Moves 0.51%: What You Should Know
Lam Research (LRCX) closed at $621.79 in the latest trading session, marking a +0.51% move from the prior day. The stock traded in line with S&P 500.
Heading into today, shares of the semiconductor equipment maker had lost 2.52% over the past month, lagging the Computer and Technology sector's gain of 6.2% and the S&P 500's gain of 1.75% in that time.
Wall Street will be looking for positivity from LRCX as it approaches its next earnings report date. The company is expected to report EPS of $7.53, up 57.53% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $4 billion, up 43.45% from the prior-year quarter.
LRCX's full-year Zacks Consensus Estimates are calling for earnings of $26.71 per share and revenue of $14.49 billion. These results would represent year-over-year changes of +67.46% and +44.23%, respectively.
Investors should also note any recent changes to analyst estimates for LRCX. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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 remained stagnant within the past month. LRCX currently has a Zacks Rank of #2 (Buy).
Investors should also note LRCX's current valuation metrics, including its Forward P/E ratio of 23.16. For comparison, its industry has an average Forward P/E of 21.78, which means LRCX is trading at a premium to the group.
Also, we should mention that LRCX has a PEG ratio of 0.71. 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. LRCX's industry had an average PEG ratio of 1.13 as of yesterday's close.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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