New York, Jan 24, 2026, 15:03 EST — Market closed.
- Shares of Lam Research dropped 1.3% to $217.94 on Friday, marking their second consecutive day of losses.
- Citi raised its price target to $265, highlighting a “Phase 2 upcycle” in chip tools.
- Lam’s earnings and call on Jan. 28, plus the Fed’s rate decision, are the next key events for investors.
Lam Research shares dipped 1.3% to close at $217.94 on Friday. Investors are now looking ahead to the chip-equipment maker’s upcoming earnings report, shifting attention away from the weekend’s trading action.
That retreat is crucial as Lam prepares to report December-quarter results on Jan. 28. The stock has hovered near its recent peaks following a wave of analyst upgrades. The upcoming earnings and any clues on customer spending will be the real test for this recent burst of optimism. 1
The wider picture is cluttered as well. This week’s slate includes a packed U.S. earnings calendar and a Federal Reserve policy verdict, both key to shaping risk appetite—especially for tech and semiconductor stocks. 2
On Friday, Lam lagged behind despite the S&P 500 inching higher. Applied Materials rose 1.1%, and Advanced Micro Devices climbed 2.4%, according to MarketWatch data. Lam, however, ended roughly 7.7% shy of the 52-week high it reached just a day earlier. 3
Thursday kicked off the two-day slide, as Lam dropped roughly 3.4% despite a robust broader market that pushed major indexes higher, a report from Longbridge noted. Friday’s volume clocked in near 10 million shares, hovering around recent norms. 4
Citi’s recent note stands out as a key driver over the last two days. The bank hiked its price target on Lam from $190 to $265, maintaining a Buy rating ahead of the January 28 report. Citi described the group as entering a “Phase 2 upcycle,” citing a bullish scenario where wafer fabrication equipment spending could hit $126 billion by 2026. 5
Not all firms share the same optimism. New Street raised its price target to $195 from $140 but kept a neutral rating, highlighting that price targets haven’t all shifted upward and some analysts view upside as limited after the recent rally. 6
Lam has scheduled its quarterly earnings call and webcast for Wednesday, Jan. 28, beginning at 2:00 p.m. Pacific (5:00 p.m. Eastern). 1
Investors will be sizing up the results against Lam’s earlier guidance. Back in October, the company projected revenue around $5.20 billion, with a $300 million margin either way, for the quarter ending Dec. 28. Adjusted earnings were expected to land near $1.15 per share, give or take 10 cents. 7
The week’s key macro event arrives Wednesday. Reuters reported that investors broadly anticipate the Fed will keep rates unchanged after its two-day meeting. Strategists caution that with valuations stretched, “the earnings bar had better be met.” 2
Still, the situation is a double-edged sword for Lam. Even a slight sign that tool demand is slowing or that memory and foundry clients are pulling back on spending could drag down a stock that recently hit a new peak. On top of that, a tougher Fed stance would weigh heavily on high-multiple tech shares.
Lam shareholders face their next big moment on Jan. 28, when results drop after the close and the 5 p.m. Eastern call kicks off. Traders will zero in on any guidance or order updates, which could ripple out to peers like Applied Materials and KLA once U.S. markets open Monday. 1
