Goldman Sachs initiated coverage on Lam Research Corporation (NASDAQ:LRCX) with a “Buy” rating and a $115.00 price target, citing its high exposure to deposition and etch processes in semiconductor manufacturing. The firm also highlighted Lam Research’s leading share of NAND equipment upgrades, positioning it well in the market.

Additionally, Goldman Sachs expects Lam Research Corporation (NASDAQ:LRCX) to outperform peers in the recovering NAND market, benefiting from its market leadership in High Bandwidth Memory (HBM) and integration of AI in service offerings like predictive maintenance. The company’s AI focus aligns with the growing intersection between AI and semiconductor manufacturing, enhancing its competitive edge.

The rise of AI technologies is driving demand for advanced semiconductor devices, increasing the need for Lam Research Corporation (NASDAQ:LRCX)’s fabrication tools critical for TSV formation and advanced packaging processes essential for AI chip production. The company is well-positioned as an AI-business enabler producing tools vital for manufacturing sophisticated AI chips, aligning with the industry’s evolving needs.

Columbia Threadneedle Investments highlighted Lam Research Corporation (NASDAQ:LRCX)’s positive contribution to its portfolio performance, citing the company’s recent innovation with the ATLUS Halo tool utilizing molybdenum for semiconductor production. This shift from tungsten to molybdenum will drive chip makers to update their equipment, leading to increased sales for Lam Research. The fund also held a position in Renesas Electronics, benefiting from the rotation to international stocks outperforming domestic securities in the first quarter.

Read more at Yahoo Finance: Goldman Sachs Starts Coverage on Lam Research (LRCX) Stock, Gives Buy