Quantum Leap: $LRCX Gains in a Week with Trader Robot
Artificial intelligence (AI) trading robots have become an integral part of the market landscape. One such example is the "Swing Trader, Popular Stocks: Short Bias Strategy (TA&FA)" bot, which showcased impressive results with a +5.54% gain while trading LRCX over the past week. In this article, we delve into the technical analysis of LRCX, examining its recent earnings report and broader industry trends.
LRCX's MACD Histogram Signals Positive Momentum:
One key indicator that caught our attention is the Moving Average Convergence Divergence (MACD) for LRCX, which turned positive on January 19, 2024. Historical data suggests that in 39 out of 50 instances where LRCX's MACD turned positive, the stock continued to rise over the following month, resulting in a compelling 78% success rate. This signals a potential upward trend for LRCX in the coming weeks.
Earnings Report Highlights:
The most recent earnings report for LRCX, released on January 24, revealed earnings per share of $7.52, surpassing the estimated $7.07. With 1.67 million shares outstanding, the current market capitalization stands at an impressive 95.21 billion. This positive earnings surprise suggests strong performance and potential for further growth in the semiconductor giant.
Market Capitalization in Semiconductor Industry:
Comparing LRCX's market capitalization with industry peers provides valuable context. The average market capitalization across the Semiconductor Industry is 31.22 billion, with a range spanning from 13.43 thousand to 1.12 trillion. Notably, NVDA claims the highest valuation at 1.12 trillion, while CYBL is the lowest valued company at 13.43 thousand. LRCX's substantial market capitalization underscores its significance within the industry.
Price Movements in Semiconductor Stocks:
Examining price movements across the Semiconductor Industry reveals interesting dynamics. The average weekly, monthly, and quarterly price growth for all stocks in the industry is -1%, -2%, and 0%, respectively. POET stands out with the highest price growth at 21%, while ODII experienced the most significant fall at -53%. These fluctuations emphasize the importance of understanding individual stock movements within the broader industry context.
Volume Trends in Semiconductor Stocks:
Volume trends are crucial indicators of market activity. Across the Semiconductor Industry, the average weekly volume growth is -7%, contrasting with a 118% average monthly volume growth and a 40% average quarterly volume growth. These numbers reflect the dynamic nature of the semiconductor market, with short-term fluctuations and potentially lucrative opportunities for traders.
Summary:
In summary, the positive momentum signaled by LRCX's MACD histogram, coupled with its robust earnings report, positions the stock favorably. Understanding market capitalization, price movements, and volume trends within the Semiconductor Industry provides a comprehensive view for investors.
LRCX's RSI Oscillator recovers from oversold territory
The RSI Oscillator for LRCX moved out of oversold territory on April 09, 2025. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 20 similar instances when the indicator left oversold territory. In of the 20 cases the stock moved higher. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on April 25, 2025. You may want to consider a long position or call options on LRCX as a result. In of 85 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for LRCX just turned positive on April 23, 2025. Looking at past instances where LRCX's MACD turned positive, the stock continued to rise in of 55 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where LRCX advanced for three days, in of 303 cases, the price rose further within the following month. The odds of a continued upward trend are .
LRCX may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Stochastic Oscillator has been in the overbought zone for 2 days. Expect a price pull-back in the near future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where LRCX declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for LRCX entered a downward trend on April 16, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (15.649) is normal, around the industry mean (9.369). P/E Ratio (37.872) is within average values for comparable stocks, (68.946). Projected Growth (PEG Ratio) (2.793) is also within normal values, averaging (2.448). Dividend Yield (0.008) settles around the average of (0.023) among similar stocks. P/S Ratio (9.174) is also within normal values, averaging (56.101).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 77, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. LRCX’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a manufacturer of semiconductor processing equipment
Industry Semiconductors