Why Is Lam Research (LRCX) Stock Rocketing Higher Today

What Happened?

Shares of semiconductor equipment maker Lam Research (NASDAQ:LRCX) jumped 6.9% in the morning session after the company was named to Citi's Large Cap Recommended list for 2026. 

This positive sentiment from analysts appeared to fuel investor confidence. Adding to the upbeat mood, TD Cowen raised its price target for Lam Research, citing strong demand from China. Cantor Fitzgerald also maintained its Overweight rating on the stock. The surge in buying pushed the company's shares to a new all-time high during the session. The move came amid a broader wave of optimism for semiconductor stocks, with analysts noting renewed enthusiasm for the sector driven by trends in artificial intelligence as the year kicked off.

Is now the time to buy Lam Research? Access our full analysis report here.

What Is The Market Telling Us

Lam Research’s shares are very volatile and have had 23 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 14 days ago when the stock gained 5.2% on the news that it received a wave of analyst price target upgrades driven by optimism about its central role in the artificial intelligence (AI) sector. 

Multiple financial firms, including B. Riley, Mizuho, Jefferies, and TD Cowen, raised their price targets for the stock. Analysts pointed to the accelerating demand for Lam's wafer fabrication equipment (WFE), which are the tools needed to build advanced chips for AI applications. The positive sentiment propelled the stock to an all-time high, reflecting a broader conviction that the company was a key beneficiary of the sustained investment in data centers and AI infrastructure.

Investors who bought $1,000 worth of Lam Research’s shares 5 years ago would now be looking at an investment worth $3,764.

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