NEW YORK (TheStreet) -- Deutsche Bank raised its price target on Lam Research Corp. (LRCX) stock today to $95 from $81 and maintained its "buy" rating of the Fremont, CA-based supplier of wafer fabrication equipment (WFE) and services to the worldwide semiconductor industry.
"LRCX is well positioned to gain share in the WFE market, driven by a strong focus on technology inflection spending over the next few years," analysts said.
"We expect LRCX to continue to outgrow the WFE market in 2015 and 2016. Combined with an increased emphasis on shareholder returns, we expect valuation multiples to improve. Trading at 14x ex-cash versus a sector average of 17x, LRCX is attractively valued and is the cheapest among front-end equipment peers," analysts added.
Shares of Lam Research are down 0.15% to $83.99.
Separately, TheStreet Ratings team rates LAM RESEARCH CORP as a Buy with a ratings score of B+. TheStreet Ratings Team has this to say about their recommendation:
"We rate LAM RESEARCH CORP (LRCX) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth, compelling growth in net income, revenue growth and largely solid financial position with reasonable debt levels by most measures. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results."