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Lam Research (LRCX) Rises As Market Takes a Dip: Key Facts
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Lam Research (LRCX - Free Report) ended the recent trading session at $120.47, demonstrating a +1.06% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily loss of 0.13%. On the other hand, the Dow registered a loss of 0.27%, and the technology-centric Nasdaq decreased by 0.07%.
Heading into today, shares of the semiconductor equipment maker had gained 20.56% over the past month, outpacing the Computer and Technology sector's gain of 6.17% and the S&P 500's gain of 2.71%.
Market participants will be closely following the financial results of Lam Research in its upcoming release. On that day, Lam Research is projected to report earnings of $1.21 per share, which would represent year-over-year growth of 40.7%. Simultaneously, our latest consensus estimate expects the revenue to be $5.22 billion, showing a 25.22% escalation compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $4.42 per share and revenue of $19.66 billion. These totals would mark changes of +6.76% and +6.66%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Lam Research. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 0.82% higher within the past month. Lam Research is currently a Zacks Rank #3 (Hold).
In terms of valuation, Lam Research is presently being traded at a Forward P/E ratio of 26.99. Its industry sports an average Forward P/E of 35.1, so one might conclude that Lam Research is trading at a discount comparatively.
One should further note that LRCX currently holds a PEG ratio of 1.53. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. LRCX's industry had an average PEG ratio of 1.91 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 195, placing it within the bottom 22% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Lam Research (LRCX) Rises As Market Takes a Dip: Key Facts
Lam Research (LRCX - Free Report) ended the recent trading session at $120.47, demonstrating a +1.06% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily loss of 0.13%. On the other hand, the Dow registered a loss of 0.27%, and the technology-centric Nasdaq decreased by 0.07%.
Heading into today, shares of the semiconductor equipment maker had gained 20.56% over the past month, outpacing the Computer and Technology sector's gain of 6.17% and the S&P 500's gain of 2.71%.
Market participants will be closely following the financial results of Lam Research in its upcoming release. On that day, Lam Research is projected to report earnings of $1.21 per share, which would represent year-over-year growth of 40.7%. Simultaneously, our latest consensus estimate expects the revenue to be $5.22 billion, showing a 25.22% escalation compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $4.42 per share and revenue of $19.66 billion. These totals would mark changes of +6.76% and +6.66%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Lam Research. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 0.82% higher within the past month. Lam Research is currently a Zacks Rank #3 (Hold).
In terms of valuation, Lam Research is presently being traded at a Forward P/E ratio of 26.99. Its industry sports an average Forward P/E of 35.1, so one might conclude that Lam Research is trading at a discount comparatively.
One should further note that LRCX currently holds a PEG ratio of 1.53. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. LRCX's industry had an average PEG ratio of 1.91 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 195, placing it within the bottom 22% of over 250 industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.