LRCXNASDAQ— Lam Research Corp Price & Analysis

Lam Research Corp

TECHNOLOGY — SEMICONDUCTOR EQUIPMENT & MATERIALS

$307.65

+$14.99+5.12%

Market Cap: $366.21B; Mega Cap
P/E Ratio: 50.03; Fwd: 31.35
EPS (TTM): $5.85
Div. Yield: 0.36%

Technical Summary

RSI (14)48.91Neutral

SMA (50)$321.88Bearish

SMA (200)$260.68Bullish

MACD-5.7159Bearish

Bollinger$283.60 – $341.92Mid

Stochastic28.74Neutral

Theo Outlook

Lam Research (LRCX) presents a bullish thesis with a $385B market cap, trailing P/E of 53.5, EPS of $5.75, and 30% YoY quarterly revenue growth to $23.2B TTM, driven by strong semiconductor equipment demand. The stock trades at a premium valuation reflecting its leadership in wafer fabrication tools amid AI and advanced chip cycles. Forward P/E of 31.65 and analyst target of $370.87 suggest continued upside as earnings momentum builds. Key catalysts include robust earnings momentum from front-end wafer processing equipment, expansion in AI-driven semiconductor markets, and upcoming dividend payment on October 14, 2026, with 0.36% yield. Product innovation in etch and deposition tools supports market share gains, while 0.3 quarterly revenue growth signals sustained demand from foundry and memory customers. Risks center on semiconductor industry cyclicality, intense competition from peers like ASML, and macro headwinds from potential trade restrictions or slowdowns in capex. Mitigations include Lam's diversified customer base, high barriers to entry via proprietary technology, and strong balance sheet with $8.6B EBITDA providing resilience during downturns. Analysis generated by HeyTheo AI based on SEC filings, earnings transcripts, and market data.

Analysis generated by HeyTheo AI on Sep 7, 2026.

Company Overview

Lam Research Corporation is an American corporation that engages in the design, manufacture, marketing, and service of semiconductor processing equipment used in the fabrication of integrated circuits. Its products are used primarily in front-end wafer processing, which involves the steps that create the active components of semiconductor devices (transistors, capacitors) and their wiring (interconnects). The company also builds equipment for back-end wafer-level packaging (WLP), and for related manufacturing markets such as for microelectromechanical systems (MEMS). The company is headquartered in Fremont, California, in the Silicon Valley.

Fundamental Snapshot

Revenue: $23.23B
EBITDA: $8.64B
Gross Profit: $11.73B
Operating Margin: 37.4%
Profit Margin: 31.3%
ROE: 65.1%
Book Value: $9.97
Beta: 1.87
52-Wk High: $438.50
52-Wk Low: $103.89
Avg Volume: 8.30M
PEG Ratio: 1.35

Frequently Asked Questions

What is Lam Research's business model?

Lam Research designs, manufactures, and services semiconductor processing equipment for wafer fabrication, focusing on front-end processes like etch and deposition. It generates revenue primarily from equipment sales and services to chipmakers, with TTM revenue of $23.2B and EPS of $5.75.

What are Lam Research's main revenue sources?

Revenue comes mainly from semiconductor equipment sales (etch, deposition, clean) and related services, with TTM revenue at $23.2B and 30% YoY quarterly growth. The company also serves back-end packaging and MEMS markets, supported by a 53.5 trailing P/E reflecting high-margin recurring service streams.

What are Lam Research's competitive advantages?

Lam holds strong advantages through proprietary technology in critical wafer processing steps, high customer switching costs, and leadership in AI-driven semiconductor tools. Its $385B market cap, 0.374 operating margin, and 65.1% ROE underscore scale and innovation edges over competitors.

What are the key risks for Lam Research stock?

Key risks include semiconductor cyclicality, competition, and macro factors like trade tensions, with the stock at a 53.5 P/E premium. Mitigations feature a diversified base, $8.6B EBITDA, and upcoming October 14, 2026 dividend at 0.36% yield providing some downside buffer.

What is Lam Research's growth outlook?

Growth outlook remains positive with 30% YoY revenue growth, analyst target of $370.87, and forward P/E of 31.65 signaling expansion in AI and advanced nodes. Earnings momentum and 0.3 quarterly revenue growth support continued gains through 2026 and beyond.