Lam Research Corporation (NASDAQ:LRCX) was downgraded to Underweight by Morgan Stanley with a $92 price target. In FQ4 2025, the company reported revenue of $5.17 billion, a 9.6% increase from the previous quarter, and a non-GAAP gross margin of 50.3%. Deferred revenue grew to $2.681 billion, with strong future sales potential. Lam Research raised its forecast for the wafer fabrication equipment market to $105 billion for 2025, citing improved demand from China.

Lam Research Corporation designs, manufactures, and services semiconductor processing equipment globally. Despite its potential as an investment, some AI stocks may offer greater upside potential and less downside risk. For an undervalued AI stock poised to benefit from Trump-era tariffs and onshoring trends, check out the best short-term AI stock.

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Read more at Yahoo Finance: Morgan Stanley Downgrades Lam Research (LRCX) to Underweight with a $92 PT