Lam Research falls after KeyBanc downgrades stock to sector weight

** Shares of chip-making equipment firm Lam Research LRCX.O down 1.7% at $130 premarket

** KeyBanc downgrades stock to "sector weight" from "overweight"

** Brokerage acknowledges co's growing exposure to cutting edge chip technology and upgraded memory cycle, but says strong pricing will take time to generate new demand before chipmakers start buying equipment

** Investors are optimistic on LCRX's position within memory markets, but this has not been supported by an increase in consensus expectations or actual earnings power of co, so stock price sustainability is "at risk" - KeyBanc

** Brokerage raises PT on LRCX peer Applied Materials AMAT.O to $220 from $200

** 24 of 32 brokerages rate LRCX stock "buy" or higher, eight "hold"; median PT is $115- data compiled by LSEG

** Up to last close, LRCX stock up 83% YTD outpacing the Philadelphia SE Semiconductor index .SOX up 27.1%