Semiconductor equipment stock Lam Research Corp (NASDAQ:LRCX) is on the rise today, up 3.1% at $132.30 at last glance, after Deutsche Bank upgraded the stock to "buy" from "hold," with a price-target hike to $150 from $100. The firm cited better conditions in the memory chip market and increasing exposure to advanced foundry spending (global foundry spending is expected to increase amid high demand).
Lingering just below its Sept. 23 record high of $133.56, LRCX could still mark a record close today. Shares have been shooting up the charts in recent weeks, up 31.8% this month alone, and now sport a roughly 82% year-to-date gain.
Deutsche Bank is joining the bullish majority, as data from before today's adjustments shows 11 of the 32 analysts in coverage carrying a "hold" rating, and 21 a "buy" or better. There is still room for price-target hikes after LRCX's outperformance, as the 12-month consensus price objective of $116.33 sits at an 11.9% discount to current levels.
When weighing in on Lam Research stock, options trading looks like a good way to go. The equity's Schaeffer's Volatility Index (SVI) of 38% ranks in the low 10th percentile of its annual range, meaning options traders are pricing in low volatility expectations.
