McGuire Investment Group Dumps $3 Million of Lam Research (NASDAQ: LRCX) Stock: Here's Why Investors Shouldn't Worry

On October 21, 2025, McGuire Investment Group, LLC disclosed in a Securities and Exchange Commission filing that it sold 26,317 shares of Lam Research (NASDAQ:LRCX), an estimated $2.79 million trade based on the average price for Q3 2025.

What happened

According to a Securities and Exchange Commission filing dated October 21, 2025, McGuire Investment Group reduced its stake in Lam Research by 26,317 shares during Q3 2025.

The estimated transaction value, based on the average closing price for Q3 2025, was about $2.79 million.

Following this activity, the fund holds 269,611 shares in the company.

What else to know

This reduction brings Lam Research to 4.09% of McGuire Investment Group’s 13F AUM as of Q3 2025, keeping it as the fund’s 3rd-largest holding.

Top holdings after the filing:

1. Nvidia: $71.33 million (8.08% of AUM) as of 2025-09-30
2. Palantir Technologies: $39.10 million (4.40% of AUM) as of 2025-09-30
3. Lam Research: $36.10 million (4.10% of AUM) as of 2025-09-30
4. Advanced Micro Devices: $35.77 million (4.05% of AUM) as of 2025-09-30
5. SPDR Bloomberg 1-3 Month T-Bill ETF: $30.99 million (3.50% of AUM) as of 2025-09-30

As of October 20, 2025, Lam Research shares were priced at $144.05, up 98% over the past year, outperforming the S&P 500 by 84 percentage points.

Company Overview

Company Snapshot

Lam Research provides semiconductor processing equipment and solutions, including deposition, etch, clean, and metrology systems for integrated circuit fabrication.

It generates revenue primarily through the sale of advanced capital equipment and recurring service agreements to semiconductor manufacturers worldwide.

The company serves semiconductor manufacturers in the United States, Asia, and Europe.

Lam Research designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits.

The company’s scale, innovative technology, and comprehensive service offerings position it as a critical enabler of semiconductor manufacturing efficiency and yield.

Lam’s strong profitability and broad international customer base underpin its competitive strength in the technology sector.

Foolish take

McGuire Investment Group's sale of Lam Research shouldn't spook investors.

First, the sale only amounted to a less than 10% decrease in the number of Lam shares the firm owned.

Second, despite these sales, Lam still equals 4.1% of McGuire's portfolio. This figure is actually up from 3.7% in the prior quarter.

Since Lam's share price has more than doubled in the last six months alone, this sale merely capitalized on the stock's booming price and helped McGuire rebalance its portfolio.

Lastly, Foolish investors shouldn't panic about this sale because Lam Research remains the leader in its wafer fabrication niche.

As one of the many stocks poised to benefit from the AI revolution, it is far too early for long-term holders to give up on Lam, simply because its stock rose dramatically this year.

That said, the stock is more expensively valued than normal, trading at 35 times earnings and 33 times forward earnings, so investors shouldn't go "all in" at today's prices.

Rather, since Lam is a cyclical stock in the semiconductor industry, it may work better to make multiple smaller purchases over time to build a position in the company.

Growing its sales and dividends by 15% and 12% annually over the last five years, Lam Research looks like a great dividend growth stock for investors to add to over time.

Glossary

13F reportable AUM: Assets under management reported to the SEC on Form 13F, covering U.S.-listed equity holdings by institutional investment managers.
Stake: The ownership interest or number of shares held in a company by an investor or fund.
Transaction value: The total dollar amount received or paid in a specific buy or sell of securities.
Holding: A security or asset owned by an investor or fund, often listed as part of a portfolio.
Dividend yield: Annual dividends per share divided by the share price, shown as a percentage.
Outperforming: Achieving a higher return than a benchmark index or comparable investment over a set period.
Integrated circuit fabrication: The manufacturing process for creating semiconductor chips used in electronic devices.
Deposition: A semiconductor manufacturing step where thin material layers are added onto a wafer.
Etch: A semiconductor process that removes layers from the wafer to create circuit patterns.
Metrology systems: Equipment used to measure and monitor features and quality during semiconductor manufacturing.
Yield (semiconductor context): The percentage of functional chips produced from a manufacturing batch.
TTM: The 12-month period ending with the most recent quarterly report.

Josh Kohn-Lindquist has positions in Advanced Micro Devices, Nvidia, and Palantir Technologies. The Motley Fool has positions in and recommends Advanced Micro Devices, Lam Research, Nvidia, and Palantir Technologies. The Motley Fool has a disclosure policy.