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Lam Research (LRCX) Boasts Earnings & Price Momentum: Should You Buy?
LRCXLam Research(LRCX) ZACKS·2025-02-20 15:30

Core Insights - Zacks Premium offers various tools and resources for investors to achieve long-term success in the stock market [1] - The Focus List is a curated portfolio of 50 stocks expected to outperform the market over the next 12 months [3][4] Performance Metrics - In 2020, the Focus List gained 13.85% on an annualized basis, outperforming the S&P 500's return of 9.38% [5] - Cumulatively, the Focus List has returned 2,519.23% from February 1, 1996, to March 31, 2021, compared to the S&P 500's return of 854.95% [5] Methodology - The selection for the Focus List relies on earnings estimate revisions, which are critical for predicting future growth and profitability [6][7] - The Zacks Rank, a proprietary stock-rating model, uses earnings estimate revisions to help investors build a successful portfolio [8] Factors Influencing Stock Selection - The Zacks Rank is based on four primary factors: Agreement, Magnitude, Upside, and Surprise, which classify stocks into five groups from "Strong Buy" to "Strong Sell" [9] - Stocks in the Focus List are primarily from 1 (Strong Buy) or 2 (Buy) ranked companies, indicating a bullish consensus among analysts [9] Case Study: Lam Research - Lam Research Corporation, added to the Focus List on December 5, 2016, has seen its shares increase by 772.24% from 10.05to10.05 to 87.66 [12][13] - The stock currently holds a 3 (Hold) rating, with nine analysts revising earnings estimates higher for fiscal 2025 [13]