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Lam Research (LRCX) Recently Broke Out Above the 200-Day Moving Average
From a technical perspective, Lam Research (LRCX - Free Report) is looking like an interesting pick, as it just reached a key level of support. LRCX recently overtook the 200-day moving average, and this suggests a long-term bullish trend.
A useful tool for traders and analysts, the 200-day simple moving average helps determine long-term market trends for stocks, commodities, indexes, and other financial instruments. It moves higher or lower in conjunction with longer-term price performance, and serves as a support or resistance level.
LRCX could be on the verge of another rally after moving 21.2% higher over the last four weeks. Plus, the company is currently a Zacks Rank #2 (Buy) stock.
Once investors consider LRCX's positive earnings estimate revisions, the bullish case only solidifies. No estimate has gone lower in the past two months for the current fiscal year, compared to 10 higher, and the consensus estimate has increased as well.
Given this move in earnings estimate revisions and the positive technical factor, investors may want to keep their eye on LRCX for more gains in the near future.