Lam Research (LRCX) PT Raised to $95 at Nomura

Nomura Securities analyst Romit Shah reiterated a Buy rating and boosted his price target on Lam Research (NASDAQ: LRCX) to $95.00 (from $85.00) after meetings with CFO Doug Bettinger and CTO David Hemker.

Shah commented, "After lowering 2H expectations in April, Lam was surprisingly constructive in its outlook. Mr. Bettinger discussed a WFE spending environment that is second-half weighted, confident that shipments would grow in 2016 (implying no fall-off after strong Q2 guidance) and share gains in 3D NAND and Foundry. Mr. Bettinger characterized NAND as being 1H-weighted, but this forecast could be conservative. Our tech team in Korea (CW Chung) believes that Samsung is looking to add 40k wspm of 3D NAND capacity by Q4, resulting in incremental capex of $2b. We believe the acquisition of KLA-Tencor will boost earnings by 15-20% to $8 per share in 2017. Assuming a multiple of roughly 12x forward earning."

For an analyst ratings summary and ratings history on Lam Research click here. For more ratings news on Lam Research click here.

Shares of Lam Research closed at $85.65 yesterday.

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