Mizuho Urges Buying the Dip in Lam Research Stock Following Earnings Pullback
Yahoo Finance ·
Mizuho reaffirmed its Outperform rating on Lam Research, advising clients to treat the post-earnings share price pullback as a buying opportunity, while lowering its price target on LRCX from $365 to $360. Lam reported September-quarter revenue of $8.22 billion with earnings per share of $2.20, matching consensus estimates. The company guided December-quarter revenue to $8.6 billion and EPS to $2.33, beating consensus slightly. The stock dropped roughly 11.8% on Thursday. Analyst Vijay Rakesh noted that wafer fab equipment spending is projected to climb more than 29% in 2027 to surpass $200 billion, following an expected 42% jump to approximately $155 billion this year. Mizuho remains confident due to structural industry drivers, easing supply constraints, and Lam's dominant market position in NAND and advanced packaging technologies.
AI 시장 분석
Mizuho assessed Lam Research's (LRCX) after-hours drop—despite September quarter revenue of $8.22 billion and EPS of $2.20 meeting expectations—as a dip-buying opportunity, setting a target price of $360. It was forecasted that 2027 wafer fab equipment (WFE) spending will exceed $20 billion, growing by over 29%. Investors should focus on Lam Research's benefits from AI and NAND market growth.
상승 영향
- Semiconductors — Lam Research's wafer fab equipment (WFE) spending is expected to increase by over 29% to surpass $20 billion in 2027, with direct earnings growth forecasted from rising AI and NAND demand.
DYAX 전담 분석
Mizuho forecasts that Lam Research's 2027 revenue growth will reach 37%, surpassing the market consensus of 30%, and highlighted robust growth in the NAND and foundry sectors. Notably, its 90% market share in SLC NAND and entry into new fabs act as causal factors driving earnings upward.
The bullish scenario is that WFE spending exceeds $20 billion early due to sustained AI and HPC demand, leading to a stock rebound, while the bearish scenario is that guidance is revised downward due to supply chain constraints or front-end demand slowdowns. Key monitoring indicators are the operation rates of 10 new tier-1 fabs in 2027 and NAND/HBM demand trends.
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