Fintel reports that on July 24, 2023, Stifel upgraded their outlook for Lam Research (NASDAQ:LRCX) from Hold to Buy .
Analyst Price Forecast Suggests 10.25% Downside
As of July 6, 2023, the average one-year price target for Lam Research is 573.52. The forecasts range from a low of 312.09 to a high of $761.25. The average price target represents a decrease of 10.25% from its latest reported closing price of 639.03.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Lam Research is 15,660MM, a decrease of 16.95%. The projected annual non-GAAP EPS is 28.62.
Lam Research Declares $1.72 Dividend
On May 11, 2023 the company declared a regular quarterly dividend of $1.72 per share ($6.90 annualized). Shareholders of record as of June 14, 2023 received the payment on July 5, 2023. Previously, the company paid $1.72 per share.
At the current share price of $639.03 / share, the stock's dividend yield is 1.08%.
Looking back five years and taking a sample every week, the average dividend yield has been 1.60%, the lowest has been 0.79%, and the highest has been 3.57%. The standard deviation of yields is 0.65 (n=235).
The current dividend yield is 0.81 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.19. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.50%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 2583 funds or institutions reporting positions in Lam Research. This is an increase of 25 owner(s) or 0.98% in the last quarter. Average portfolio weight of all funds dedicated to LRCX is 0.51%, an increase of 17.34%. Total shares owned by institutions increased in the last three months by 1.73% to 137,016K shares. 
The put/call ratio of LRCX is 1.47, indicating a bearish outlook.
What are Other Shareholders Doing?
Ameriprise Financial holds 5,615K shares representing 4.18% ownership of the company. In it's prior filing, the firm reported owning 4,983K shares, representing an increase of 11.27%. The firm decreased its portfolio allocation in LRCX by 74.92% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 4,177K shares representing 3.11% ownership of the company. In it's prior filing, the firm reported owning 4,146K shares, representing an increase of 0.75%. The firm increased its portfolio allocation in LRCX by 17.34% over the last quarter.
Price T Rowe Associates holds 3,918K shares representing 2.92% ownership of the company. In it's prior filing, the firm reported owning 3,389K shares, representing an increase of 13.49%. The firm decreased its portfolio allocation in LRCX by 39.86% over the last quarter.
Jpmorgan Chase holds 3,519K shares representing 2.62% ownership of the company. In it's prior filing, the firm reported owning 3,760K shares, representing a decrease of 6.85%. The firm increased its portfolio allocation in LRCX by 9.09% over the last quarter.
Envestnet Asset Management holds 3,508K shares representing 2.61% ownership of the company. In it's prior filing, the firm reported owning 314K shares, representing an increase of 91.06%. The firm increased its portfolio allocation in LRCX by 19.05% over the last quarter.
Lam Research Background Information
(This description is provided by the company.)
Lam Research Corporation is a global supplier of innovative wafer fabrication equipment and services to the semiconductor industry. As a trusted, collaborative partner to the world's leading semiconductor companies, the company combines superior systems engineering capability, technology leadership, and unwavering commitment to customer success to accelerate innovation through enhanced device performance. In fact, today, nearly every advanced chip is built with Lam technology. Lam Research is a FORTUNE 500® company headquartered in Fremont, Calif., with operations around the globe..
Additional reading:
- Key Financial Data for the Quarters Ended March 26, 2023 and December 25, 2022 (in thousands, except per-share data, percentages, and basis points) U.S. GAAP March 2023 December 2022 Change Q/Q Revenue $ 3,869,569 $ 5,277,569 - 26.7% Gross margin as
- Lam Research Announces New Executive Appointments to Extend Innovation Leadership and Position the Company for Long-Term Growth
- 2004 Executive Incentive Plan, as Amended and Restated
- Lam Research Appoints Semiconductor Engineering Leader Dr. Ho Kyu Kang to Board of Directors
- Form of Restricted Stock Unit Agreement (U.S Participants) - 2015 Stock Incentive Plan
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
