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LRCX
Lam Research Corporation
Summary
Business
Earnings Call
Valuation
Profitability
Financial Health
Intel
Yearly Return 10Y annualized return is excellent at 26.6% per year
Earnings Expectations LRCX has met or exceeded earnings expectations in most recent quarters (9/10)
Positive Attractive PE Ratio
Positive Strong Price-to-Sales Ratio
Negative High Price-to-Book Ratio
Negative Customer Concentration Risks

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Lam Research demonstrates strong business quality through solid financial performance, strategic investments in R&D, and broad market exposure. However, customer concentration risks and uncertainties in the NAND market pose challenges. The company's future prospects are promising, driven by significant growth opportunities in NAND and AI technologies, although market conditions remain uncertain.

Analysis Date: January 29, 2025
Last Updated: May 29, 2025

+961%
+26.6% per year

Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.

Country US
Exchange NASDAQ
Industry Semiconductors
Sector Technology
Market Cap $100.34B
CEO Mr. Timothy M. Archer

Lam Research Corporation makes tools and equipment used to create tiny computer chips, which are essential for all kinds of electronic devices like smartphones and computers. They provide machines that help build these chips by adding and shaping materials on the chip's surface. Lam Research sells its products and services to companies around the world that produce semiconductors. Founded in 1980 and based in Fremont, California, the company plays a key role in the technology industry.

Streams of revenue

System: 57%
Customer Support and Other: 43%

Geographic Distribution

CHINA: 40%
KOREA, REPUBLIC OF: 19%
TAIWAN, PROVINCE OF CHINA: 16%
UNITED STATES: 12%
JAPAN: 8%
Europe: 5%

Core Products

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Etch Systems Precision etching tools
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Clean Systems Wafer cleaning tech
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Customer Support Technical assistance
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Metrology Systems Measurement solutions
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Deposition Systems Layer deposition tools

Business Type

B2B Business to Business

Competitive Advantages

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Key Business Risks

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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.

Graham Value Metrics

Benjamin Graham's value investing approach focuses on finding stocks with a significant margin of safety between their intrinsic value and market price.

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ROE: 52.7409933565571

ROA: None

Gross Profit Margin: 48.08223530925632

Net Profit Margin: 27.185406144655268

Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.

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About Profitability Metrics

Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.

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About Financial Health Metrics

Financial health metrics assess a company's ability to meet its financial obligations and its overall financial stability.

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Meeting Expectations

9 /10

Higher values indicate better execution and credibility

Recent Results

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EPS

1.00
Estimated
1.04
Actual
+4.00%
Difference

Revenue

$4642765190
Estimated
$4720175000
Actual
+1.67%
Difference
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Insider trading data shows purchase and sale activities by company executives and board members.

Insider Sentiment Analysis

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LRCX Stock Analysis: Lam Research Corporation Investment Guide

LRCX (Lam Research Corporation) is a Technology company listed on NASDAQ Global Select. The stock has generated 26.6% annual returns with an overall investment score of None/100.

Lam Research demonstrates strong business quality through solid financial performance, strategic investments in R&D, and broad market exposure. However, customer concentration risks and uncertainties in the NAND market pose challenges. The company's future prospects are promising, driven by significant growth opportunities in NAND and AI technologies, although market conditions remain uncertain.

LRCX Key Financial Metrics

LRCX financial analysis includes comprehensive valuation ratios, profitability metrics, and financial health indicators. The company has a valuation score of 6.408840983203881/100 and profitability score of 7.5/100 with financial health rated 8.8/100.

About Lam Research Corporation

Lam Research Corporation makes tools and equipment used to create tiny computer chips, which are essential for all kinds of electronic devices like smartphones and computers. They provide machines that help build these chips by adding and shaping materials on the chip's surface. Lam Research sells its products and services to companies around the world that produce semiconductors. Founded in 1980 and based in Fremont, California, the company plays a key role in the technology industry.

LRCX Investment Recommendation

Based on our comprehensive analysis of LRCX, investors should consider the company's strong performance track record, earnings consistency (9/10 quarters beat expectations), and current valuation metrics when making investment decisions.

Technology Sector Analysis

LRCX operates in the Semiconductors industry within the Technology sector. This analysis compares Lam Research Corporation performance against industry and sector benchmarks to provide context for investment decisions.

Frequently Asked Questions about LRCX Stock

Is LRCX a good investment?

LRCX (Lam Research Corporation) has generated 26.6% annual returns with an overall score of None/100. Lam Research demonstrates strong business quality through solid financial performance, strategic investments in R&D, and broad market exposure. However, customer concentration risks and uncertainties in the NAND market pose challenges. โ€ฆ Investors should consider their risk tolerance and investment goals when evaluating LRCX.

What is LRCX P/E ratio and valuation?

LRCX valuation metrics including P/E ratio, price-to-book ratio, and price-to-sales ratio are analyzed on this page with comparisons to Semiconductors industry and Technology sector benchmarks. The company currently has a valuation score of 6.408840983203881/100.

Should I buy LRCX stock now?

The decision to buy LRCX stock should be based on comprehensive analysis of financial metrics, market conditions, and individual investment goals. Our analysis provides profitability score of 7.5/100, financial health score of 8.8/100, and detailed performance metrics to help inform your investment decision.

What are LRCX financial health indicators?

LRCX financial health analysis includes liquidity ratios, debt levels, cash flow metrics, and profitability indicators. The company has a financial health score of 8.8/100 based on comprehensive analysis of balance sheet strength and operational efficiency.

How does LRCX compare to competitors?

LRCX performance is benchmarked against Semiconductors industry peers and Technology sector averages. Our analysis includes comparative valuation ratios, profitability metrics, and growth indicators to provide context for Lam Research Corporation's market position.

What are LRCX historical returns?

LRCX has generated 26.6% annual returns over the 10Y. Historical performance analysis includes price appreciation, dividend yields, and total shareholder returns compared to market benchmarks.

LRCX Key Investment Metrics Summary

  • Annual Return: 26.6%
  • Valuation Score: 6.408840983203881/100
  • Profitability Score: 7.5/100
  • Financial Health Score: 8.8/100
  • Growth Score: 2.0415886169997486/100
  • Earnings Beat Rate: 9/10 quarters
  • Sector: Technology
  • Industry: Semiconductors
  • Exchange: NASDAQ Global Select
  • Market Cap: 100335306400

LRCX Investment Thesis

Lam Research Corporation (LRCX) represents an excellent investment opportunity in the Technology sector. With an overall score of None/100, the company demonstrates areas for financial improvement.

Investment Strengths

  • Attractive PE Ratio
  • Strong Price-to-Sales Ratio
  • Strong Return on Equity
  • Healthy Profit Margins
  • Strong Liquidity Ratios
  • Low Debt Levels
  • Strong Financial Performance
  • Strategic Investments in R&D
  • Diverse Market Exposure
  • Opportunities in NAND and DRAM Upgrades
  • Expansion in AI and Advanced Technologies

Investment Risks

  • High Price-to-Book Ratio
  • Customer Concentration Risks
  • Uncertainty in Market Conditions
  • Reliant Product Line Challenges
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