Lam Research Options Trading: A Deep Dive into Market Sentiment

Deep-pocketed investors have adopted a bullish approach towards Lam Research LRCX, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in LRCX usually suggests something big is about to happen.

We gleaned this information from our observations today when Benzinga's options scanner highlighted 22 extraordinary options activities for Lam Research. This level of activity is out of the ordinary.

The general mood among these heavyweight investors is divided, with 50% leaning bullish and 36% bearish. Among these notable options, 8 are puts, totaling $728,630, and 14 are calls, amounting to $1,401,202.

What's The Price Target?

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $56.0 to $105.0 for Lam Research during the past quarter.

Insights into Volume & Open Interest

Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Lam Research's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Lam Research's whale trades within a strike price range from $56.0 to $105.0 in the last 30 days.

Lam Research Option Activity Analysis: Last 30 Days

Biggest Options Spotted:

About Lam Research

Lam Research is one of the largest semiconductor wafer fabrication equipment manufacturers in the world. It specializes in deposition and etch, which entail the buildup of layers on a semiconductor and the subsequent selective removal of patterns from each layer. Lam holds the top market share in etch and holds the clear second share in deposition. It is more exposed to memory chipmakers for DRAM and NAND chips. It counts as top customers the largest chipmakers in the world, including TSMC, Samsung, Intel, and Micron.

Following our analysis of the options activities associated with Lam Research, we pivot to a closer look at the company's own performance.

Present Market Standing of Lam Research

• Trading volume stands at 3,543,399, with LRCX's price up by 0.38%, positioned at $70.31.
• RSI indicators show the stock to be is currently neutral between overbought and oversold.
• Earnings announcement expected in 65 days.

What The Experts Say On Lam Research

A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $94.2.

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20-year pro options trader reveals his one-line chart technique that shows when to buy and sell. Copy his trades, which have had averaged a 27% profit every 20 days. Click here for access. * An analyst from Needham downgraded its action to Buy with a price target of $100. * An analyst from B. Riley Securities downgraded its action to Buy with a price target of $110. * Consistent in their evaluation, an analyst from Wells Fargo keeps a Equal-Weight rating on Lam Research with a target price of $85. * Consistent in their evaluation, an analyst from Morgan Stanley keeps a Equal-Weight rating on Lam Research with a target price of $76. * In a cautious move, an analyst from Stifel downgraded its rating to Buy, setting a price target of $100.

Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.

If you want to stay updated on the latest options trades for Lam Research, Benzinga Pro gives you real-time options trades alerts.