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Lam Research (LRCX) Dips More Than Broader Market: What You Should Know
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Lam Research (LRCX - Free Report) closed the most recent trading day at $326.13, moving -6.87% from the previous trading session. This change lagged the S&P 500's 0.45% loss on the day. Elsewhere, the Dow lost 0.25%, while the tech-heavy Nasdaq lost 1.16%.
Prior to today's trading, shares of the semiconductor equipment maker had gained 7.94% outpaced the Computer and Technology sector's gain of 0.38% and the S&P 500's gain of 2.14%.
The investment community will be paying close attention to the earnings performance of Lam Research in its upcoming release. The company is expected to report EPS of $1.68, up 26.32% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.65 billion, up 28.67% from the year-ago period.
LRCX's full-year Zacks Consensus Estimates are calling for earnings of $5.68 per share and revenue of $23.11 billion. These results would represent year-over-year changes of +37.2% and +25.35%, respectively.
It is also important to note the recent changes to analyst estimates for Lam Research. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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 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 1.95% higher within the past month. Currently, Lam Research is carrying a Zacks Rank of #2 (Buy).
Digging into valuation, Lam Research currently has a Forward P/E ratio of 44.39. This valuation marks a discount compared to its industry average Forward P/E of 49.38.
We can also see that LRCX currently has a PEG ratio of 2.09. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Electronics - Semiconductors industry held an average PEG ratio of 1.87.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 41, finds itself in the top 17% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
View the Zacks #1 Rank List
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Lam Research (LRCX) Dips More Than Broader Market: What You Should Know
Lam Research (LRCX - Free Report) closed the most recent trading day at $326.13, moving -6.87% from the previous trading session. This change lagged the S&P 500's 0.45% loss on the day. Elsewhere, the Dow lost 0.25%, while the tech-heavy Nasdaq lost 1.16%.
Prior to today's trading, shares of the semiconductor equipment maker had gained 7.94% outpaced the Computer and Technology sector's gain of 0.38% and the S&P 500's gain of 2.14%.
The investment community will be paying close attention to the earnings performance of Lam Research in its upcoming release. The company is expected to report EPS of $1.68, up 26.32% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.65 billion, up 28.67% from the year-ago period.
LRCX's full-year Zacks Consensus Estimates are calling for earnings of $5.68 per share and revenue of $23.11 billion. These results would represent year-over-year changes of +37.2% and +25.35%, respectively.
It is also important to note the recent changes to analyst estimates for Lam Research. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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 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 1.95% higher within the past month. Currently, Lam Research is carrying a Zacks Rank of #2 (Buy).
Digging into valuation, Lam Research currently has a Forward P/E ratio of 44.39. This valuation marks a discount compared to its industry average Forward P/E of 49.38.
We can also see that LRCX currently has a PEG ratio of 2.09. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Electronics - Semiconductors industry held an average PEG ratio of 1.87.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 41, finds itself in the top 17% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.