Lam Research (LRCX - Free Report) closed the most recent trading day at $150.57, moving +1.29% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.28%. At the same time, the Dow added 0.21%, and the tech-heavy Nasdaq gained 0.65%.
Heading into today, shares of the semiconductor equipment maker had lost 13.79% over the past month, lagging the Computer and Technology sector's gain of 0.29% and the S&P 500's gain of 0.86% in that time.
Investors will be hoping for strength from LRCX as it approaches its next earnings release, which is expected to be October 16, 2018. The company is expected to report EPS of $3.20, down 7.51% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.30 billion, down 7.03% from the year-ago period.
LRCX's full-year Zacks Consensus Estimates are calling for earnings of $15.51 per share and revenue of $10.53 billion. These results would represent year-over-year changes of -13.21% and -4.97%, respectively.
It is also important to note the recent changes to analyst estimates for LRCX. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, LRCX is holding a Forward P/E ratio of 9.59. This represents a discount compared to its industry's average Forward P/E of 10.7.
Meanwhile, LRCX's PEG ratio is currently 0.57. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. LRCX's industry had an average PEG ratio of 1.07 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 19, putting it in the top 7% 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.