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LRCX

S&P 500
Strong · 81/100

Lam Research

Information Technology
Semiconductor Materials & Equipment

$409.54

5.3%

Updated Today 6:01 PM ET

Price — Past Year

▲ Up 321.8% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$486.52B

P/E

73.6x

Forward P/E (est.)

52.57x

ROE

65.8%

Revenue Growth

26.5%

EPS Growth

47.6%

Profit Margin

30.9%

FCF Yield

8.7%

Debt / Equity

0.45x

ROIC

31.0%

Interest Coverage

31.65x

Current Ratio

2.54x

Dividend Yield

0.3%

Implied Growth (rev. DCF)

7.8%

Rating Score

81/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what LRCX's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. LRCX trades near $409.54, above its 50-day average ($298.16) and 200-day average ($210.07). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 67 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. LRCX's is $26.16 (~6.4% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month LRCX found buyers near $291.80 (support) and sellers near $401.00 (resistance); its 52-week range is $87.75–$401.00. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 2.0× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
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Lam Research (LRCX) is a mega-cap company in the Semiconductor Materials & Equipment industry, part of the Information Technology sector of the S&P 500, with a market value around $486.52B.

In its latest reported year it generated about $18.44B in revenue and $5.36B in net profit.

Our model rates LRCX Strong (81/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
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4Y CAGR

6.0%

Revenue moved from $14.63B in 2021 to $18.44B in 2025, a 6.0% compound annual growth rate. The most recent year grew a strong 26.5% year over year. Consistent top-line growth is one sign of healthy demand.

Profitability
Research

Gross Margin

48.7%

Operating Margin

32.0%

Net Margin

29.1%

ROE

65.8%

Lam Research keeps about 30.9% of each sales dollar as net profit, with a 48.7% gross margin and 32.0% operating margin. Return on equity is 65.8% and return on invested capital about 31.0%. Margins this wide usually signal pricing power or a cost advantage.

Debt Analysis
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Total Debt

$4.47B

Net Debt

-$281.57M

Net cash position

Net Debt / EBITDA

-0.05x

Debt / Equity

0.45x

Leverage: debt-to-equity is 0.5x, and operating profit covers interest about 31.6x, with a current ratio of 2.5x. That is a conservative balance sheet — a cushion in downturns. It carries roughly $4.47B of total debt against $4.75B of cash.

Cash Flow Analysis
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Operating CF

$6.17B

Free Cash Flow

$5.41B

FCF Margin

29.4%

In the latest year Lam Research produced about $6.17B of operating cash flow and $5.41B of free cash flow after capital spending. That is a free-cash-flow yield of about 8.7% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

73.6x

P/S

25.43x

P/B

13.19x

EV / EBITDA

73.42x

LRCX trades at 73.6x trailing earnings (about 52.6x on estimated forward earnings), 25.4x sales, and 13.2x book value. Reverse-engineering today's price implies the market expects roughly 7.8% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
73.6xExpensive
Forward P/E
52.6xExpensive
P/S ratio
25.4xExpensive
Revenue growth
26.5%Strong
EPS growth
47.6%Strong
Gross margin
48.7%Strong
Net margin
30.9%Strong
ROE
65.8%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How LRCX stacks up against its Information Technology peers — valuation, profitability, and growth versus the sector median.

In the Information Technology sector (72 S&P 500 companies), LRCX ranks #5 of 72 by our overall rating. It trades at a premium versus the sector on earnings (73.6x P/E vs. 35.6x median) with a higher return on equity (65.8% vs. 25.6%) and faster revenue growth (26.5% vs. 17.4%).

P/E vs sector

73.6x

median 35.6x

ROE vs sector

65.8%

median 25.6%

Growth vs sector

26.5%

median 17.4%

Sector rank

#5

of 72 by rating

CompanyP/ERev Gr.Rating
LRCXThis stock73.6x26.5%Strong· 81
AMAT58.5x3.3%Favorable· 64
KLAC72.6x13.4%Favorable· 69
TER80.3x30.3%Favorable· 70
Q81xWeak· 31
CSCO39.6x9.2%Favorable· 62
ORCL31.2x17.4%Favorable· 66
INTC1.4%Weak· 22
Information Technology median35.6x17.4%61/100

Valuation vs. quality map

sector medianAMATKLACTERQCSCOORCLLRCXP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Information Technology companies by sub-industry and size. Sector median is across all 72 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$621.47$1,045.19

vs. $409.54 today · expected CAGR 9%21%

Metric20262027202820292030
Revenue$23.41B$29.73B$37.76B$47.96B$60.91B
Net income$6.79B$8.62B$10.95B$13.91B$17.66B
EPS$5.43$6.90$8.76$11.12$14.12
Share price (low)$238.89$303.39$385.31$489.34$621.47
Share price (high)$401.77$510.25$648.02$822.99$1,045.19
CAGR (low–high)-42% / -2%-14% / 12%-2% / 17%5% / 19%9% / 21%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for LRCX:

  • Revenue is growing 26.5% a year, a sign of real demand.
  • High net margins (30.9%) point to pricing power or efficiency.
  • Strong return on equity (65.8%) shows capital is put to work well.
  • Healthy free-cash-flow yield (~8.7%) funds buybacks and dividends.
  • A conservative balance sheet (debt/equity 0.5x) lowers risk.
  • Our model's overall read is Strong (81/100).
Bear Case

The case against LRCX:

  • A rich 73.6x earnings multiple prices in a lot of growth.
  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
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Valuation risk — at 73.6x earnings, disappointing results could compress the multiple.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
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On balance, the fundamentals screen favourably: Lam Research is a mega-cap information technology business still growing nicely, with solid profitability, and a sound balance sheet. It trades at 73.6x earnings, which our model scores Strong (81/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.