Lam Research Corp (LRCX) stock expected to decline by -28.9%: What’s driving the pessimism?

A share price of Lam Research Corp [LRCX] is currently trading at $132.2, up 4.16%. An important factor to consider is whether the stock is rising or falling in short-term value. The LRCX shares have gain 10.90% over the last week, with a monthly amount glided 34.34%, and seem to be holding up well over a long-time horizon.

From an analyst’s perspective:

Lam Research Corp [NASDAQ: LRCX] stock has seen the most recent analyst activity on September 22, 2025, when Morgan Stanley upgraded its rating to a Equal-Weight but kept the price target unchanged to $125 for it. Previously, Morgan Stanley downgraded its rating to Underweight on September 02, 2025, and kept the price target unchanged to $92. TD Cowen reiterated its Buy rating and increased its price target to $125 on July 31, 2025. Summit Insights downgraded its rating to a Hold. Goldman started tracking with a Buy rating for this stock on July 10, 2025, and assigned it a price target of $115. In a note dated April 24, 2025, TD Cowen reiterated a Buy rating on this stock and revised its target price from $110 to $100.

Lam Research Corp experienced fluctuations in its stock price throughout the past year between $56.32 and $128.70. Currently, Wall Street analysts expect the stock to reach $94 within the next 12 months. Lam Research Corp [NASDAQ: LRCX] shares were valued at $132.2 at the most recent close of the market. An investor can expect a potential drop of -28.9% based on the average LRCX price forecast.

Analyzing the LRCX fundamentals

Trailing Twelve Months sales for Lam Research Corp [NASDAQ:LRCX] were 18.44B which represents 33.58% growth. Gross Profit Margin for this corporation currently stands at 0.49% with Operating Profit Margin at 0.32%, Pretax Profit Margin comes in at 0.32%, and Net Profit Margin reading is 0.29%. To continue investigating profitability, this company’s Return on Assets is posted at 0.25, Equity is 0.58 and Total Capital is 0.4. An extended analysis of the company’s primary financial structure reveals a debt-to-equity ratio of0.45.

Before buying any particular stock, readers tend to pay close attention to the indicators that support and create resistance. The company’s stock is currently sitting at 130.03 points at the first support level, and at 127.86 for the second support level. However, for the 1st resistance point, the stock is sitting at 133.50, and for the 2nd resistance point, it is at 134.80.

Ratios To Look Out For

To put it in perspective, the Current Ratio for Lam Research Corp [NASDAQ:LRCX] is 2.21. On the other hand, the Quick Ratio is 1.55, and the Cash Ratio is 0.97. Considering the valuation of this stock, the price to sales ratio is 9.04, the price to book ratio is 17.01 and price to earnings (TTM) ratio is 31.79.

Transactions by insiders

Recent insider trading involved Varadarajan Seshasayee, Senior Vice President, that happened on Feb 20 ’25 when 0.11 million shares were sold. Officer, Varadarajan Seshasayee completed a deal on Feb 20 ’25 to buy 0.11 million shares. Meanwhile, Director Mayer Bethany sold 1660.0 shares on Nov 01 ’24.

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