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Lam Research (LRCX) Gains As Market Dips: What You Should Know
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The most recent trading session ended with Lam Research (LRCX - Free Report) standing at $981.79, reflecting a +1.05% shift from the previouse trading day's closing. The stock's performance was ahead of the S&P 500's daily loss of 0.2%. Elsewhere, the Dow saw a downswing of 0.6%, while the tech-heavy Nasdaq appreciated by 0.11%.
The semiconductor equipment maker's stock has dropped by 1.01% in the past month, falling short of the Computer and Technology sector's gain of 2.99% and the S&P 500's gain of 3.32%.
The investment community will be closely monitoring the performance of Lam Research in its forthcoming earnings report. In that report, analysts expect Lam Research to post earnings of $7.23 per share. This would mark year-over-year growth of 3.43%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.71 billion, down 4.22% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $28.88 per share and revenue of $14.72 billion, which would represent changes of -15.48% and -15.54%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Lam Research. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Lam Research possesses a Zacks Rank of #2 (Buy).
In the context of valuation, Lam Research is at present trading with a Forward P/E ratio of 33.64. This signifies a premium in comparison to the average Forward P/E of 31.07 for its industry.
We can also see that LRCX currently has a PEG ratio of 3.46. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Semiconductor Equipment - Wafer Fabrication stocks are, on average, holding a PEG ratio of 3 based on yesterday's closing prices.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 96, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. 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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Lam Research (LRCX) Gains As Market Dips: What You Should Know
The most recent trading session ended with Lam Research (LRCX - Free Report) standing at $981.79, reflecting a +1.05% shift from the previouse trading day's closing. The stock's performance was ahead of the S&P 500's daily loss of 0.2%. Elsewhere, the Dow saw a downswing of 0.6%, while the tech-heavy Nasdaq appreciated by 0.11%.
The semiconductor equipment maker's stock has dropped by 1.01% in the past month, falling short of the Computer and Technology sector's gain of 2.99% and the S&P 500's gain of 3.32%.
The investment community will be closely monitoring the performance of Lam Research in its forthcoming earnings report. In that report, analysts expect Lam Research to post earnings of $7.23 per share. This would mark year-over-year growth of 3.43%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.71 billion, down 4.22% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of $28.88 per share and revenue of $14.72 billion, which would represent changes of -15.48% and -15.54%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Lam Research. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Right now, Lam Research possesses a Zacks Rank of #2 (Buy).
In the context of valuation, Lam Research is at present trading with a Forward P/E ratio of 33.64. This signifies a premium in comparison to the average Forward P/E of 31.07 for its industry.
We can also see that LRCX currently has a PEG ratio of 3.46. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Semiconductor Equipment - Wafer Fabrication stocks are, on average, holding a PEG ratio of 3 based on yesterday's closing prices.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 96, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. 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.