Nomura Securities Downgrades Lam Research (LRCX) to Neutral
- Wall Street dips as investors ready for Trump's inauguration
- Western Union (WU) Admits Anti-Money Laundering and Consumer Fraud Violations, Forfeits $586M in Settlement
- Netflix, Inc. (NFLX) Tops Q4 EPS by 1c; Subs Beat Views
- Apple (AAPL) PT Raised to $140 at BofA/Merrill Lynch; iPhone 8 Will be 'Super-Long' Cycle
- Morgan Stanley Upgrades Tesla Motors (TSLA) to Overweight
Get access to the best calls on Wall Street with StreetInsider.com's Ratings Insider Elite. Get your Free Trial here.
Nomura Securities downgraded Lam Research (NASDAQ: LRCX) from Buy to Neutral with a price target of $85.00 (from $95.00) after the company extended the timeline for its merger with KLA-Tencor after a request for more info from the DOJ.
Analyst Romit Shah commented, "We have been positive on the shares of Lam Research in large part because of the acquisition of KLA-Tencor, which would broaden end market exposure and increase margins, potentially resulting in multiple expansion. However, Lam issued a press release extending the timeline for its merger with KLA-Tencor after receiving a request for more information from the Department of Justice (DOJ). Management also disclosed that they still need approval from Korea, Japan and China. We find this concerning considering management 's track record of managing quarterly earnings expectations. Risk/reward is not compelling, as such, we believe investors should move to the sidelines until there is certainty on the KLAC acquisition. FY16E EPS at $6.45; FY17E EPS at $6.80."
Shares of Lam Research closed at $89.11 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Fastenal (FAST) PT Raised to $49 at Credit Suisse Following 4Q
- Citi Downgrades Commercial Metals Company (CMC) to Neutral
- Deckers Outdoor (DECK) Bear Poser at Susquehanna Modestly Lifts Numbers
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst PT Change, Downgrades
Related EntitiesNomura, Earnings, Definitive Agreement
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!