Stock Analysis
Lam Research CorpLRCX
P/E 49.23×· 5Y range 8.91–80.83×· top 10% of history
Sector: Industrials · Industry: Special Industry Machinery, Nec
AnalystsStrong Buy41 analystsP/E 49.2× sits at the 90th percentile of its 5.089664613278576-year history.
Cash covers 135% of debt · FY 2026.
PMP Verdict
High quality, but expensive
Strengths
- Profitability100
- Financial Health100
Risks
- Valuation10
Excellent business. Weak entry price.
Market context
-4.9% today· Z 1.8σ
Bull Case
- ✓Piotroski F-Score 8/9 — high earnings quality
- ✓Altman Z 23.6 — safe-zone balance sheet
- ✓ROE 53.8% — efficient capital deployment
- ✓Interest coverage 94.7× — debt well covered
What's happening with LRCX
Profile
Strong profitability, financial health, moat, earnings quality and growth; valuation lags behind.
How is each axis scored?
- Valuation10/100 · Weak
- P/E vs own history (90th pct)0/25
- FCF yield (1.8%)5/25
- P/S (15.2x)5/25
- EV/EBIT (44.2x)0/25
- Growth77/100 · Strong
- Revenue CAGR (7.8%)12/25
- Net income CAGR (12.1%)20/25
- EPS CAGR 5Y (15.2%)20/25
- Fwd implied growth (56.5%)25/25
- Profitability100/100 · Strong
- ROIC (53.3%)25/25
- ROE (53.8%)25/25
- Net margin (30.9%)25/25
- Operating margin (34.3%)25/25
- Financial Health100/100 · Strong
- Altman Z (23.58)25/25
- Current ratio (2.63)25/25
- Interest coverage (94.7x)25/25
- Net cash / debt (Net cash)25/25
- Quality84/100 · Strong
- Piotroski F (8/9)25/25
- Beneish M (-2.05)12/25
- FCF conversion (90%)22/25
- Margin stability (σ 4.5%)25/25
- Moat95/100 · Strong
- ROIC >12% years (10/10 yrs)25/25
- Median gross margin (46.2%)20/25
- FCF-positive years (10/10 yrs)25/25
- Worst-year net margin (worst 21.2%)25/25
Risk Flags
- ⚠P/E 49.2× at top 10% of 5-year history
About Lam Research Corp
Lam Research is one of the largest semiconductor wafer fabrication equipment manufacturers in the world. Show more
It specializes in deposition and etch, which entail the buildup of layers on a semiconductor and the subsequent selective removal of patterns from each layer. Lam holds the top market share in etch and holds the clear second share in deposition. It is more exposed to memory chipmakers for DRAM and NAND chips. It counts as top customers the largest chipmakers in the world, including TSMC, Samsung, Intel, and Micron.
Headquarters: FREMONT, CA · Employees: 23,300 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
10EP/E (TTM)49.2xD
Grade D: ExpensivePrice / TTM EPS (own statements) — vs own 5Y history: 8.9x–80.8x · 90th pct
P/FCF69.5xD
Grade D: ExpensivePrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield1.8%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 1.1%–7.6% · 9th pct
P/S (TTM)15.22xD
Grade D: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 2.4x–25.0x · 90th pct
EV/EBIT44.2xD
Grade D: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 7.7x–72.8x · 90th pct
EV/Sales14.5xD
Grade D: Very expensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E31.4xC
Grade C: ExpensivePrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio26.47xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio1.78B
Grade B: FairFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield0.37%A
Grade A: PaysTTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio17.5%A
Grade A: SafeDividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
100A+ROIC53.3%A
Grade A: MoatNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE53.8%A
Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks
ROA33.2%A
Grade A: StrongReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin30.9%A
Grade A: HighNet Income / Revenue
Operating Margin34.3%A
Grade A: HighTTM EBIT / TTM Revenue
Gross Margin50.0%C
Grade C: AverageGross Profit / Revenue
FCF Margin27.7%A
Grade A: HighFCF / Revenue
True FCF Margin26.0%A
Grade A: HighTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
77B+Revenue CAGR7.8%C
Grade C: OkCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR12.1%C
Grade C: OkCompound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)15.2%A
Grade A: HighCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth56.5%A
Grade A: HighAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)-13.9%A
Grade A: BuybacksShare count change over 5Y
SBC / Net Income5.6%A
Grade A: LowStock-based comp/Net income. >30% = dilution risk
SBC / Revenue1.7%A
Grade A: LowTTM stock-based comp / TTM Revenue
Financial Health
100A+Altman Z-Score23.58A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio2.63xA
Grade A: HighCurrent Assets/Liabilities
Quick Ratio1.84xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage94.7xA
Grade A: StrongEBIT/Interest. >10 Strong
Debt RepaymentNet CashA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBITNet CashA
Grade A: LowLeverage. <2x Low, >4x High
Debt/Equity0.33xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt1.35xA
Grade A: CoveredCash covers how much of total debt. >1 = could repay all debt from cash
Quality
84APiotroski F-Score8/9A
Grade A: StrongFinancial strength 0–9. >7 Strong
Beneish M-Score-2.05C
Grade C: Gray zoneEarnings manipulation risk. < -2.22 Safe
FCF Conversion89.5%A
Grade A: StrongFCF / Net Income
Margin Stability4.5%A
Grade A: StableEBIT margin std deviation. Lower = stable
Capex / Revenue4.4%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover1.06xA
Grade A: HighRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Mayer Bethany Filed | Mayer Bethany | SellOpen market sale | -9557 | |
ARCHER TIMOTHY Filed | ARCHER TIMOTHY | Option exercise | -30000 | |
ARCHER TIMOTHY Filed | ARCHER TIMOTHY | SellOpen market sale | -30000 | |
ARCHER TIMOTHY Filed | ARCHER TIMOTHY | Option exercise | +30.0K | |
Varadarajan Seshasayee Filed | Varadarajan Seshasayee | Option exercise | -27480 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Varadarajan Seshasayee Filed | Varadarajan Seshasayee | Option exercise | -12270 | |
Varadarajan Seshasayee Filed | Varadarajan Seshasayee | SellOpen market sale | -27480 | |
Varadarajan Seshasayee Filed | Varadarajan Seshasayee | Option exercise | +27.5K |
Option exercise (M) rows report a derivative leg, not an open-market sale — a paired negative entry is the option position being consumed.
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
95A+ROIC >12% Years10/10 yrsA
Grade A: DurableShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)46.2%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years10/10 yrsA
Grade A: DurableShare of completed fiscal years with positive free cash flow
Net Margin Floor21.2%A
Grade A: DurableWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$5.36
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$4.46
Cash & short-term investments per share (Finnhub)
Book Value / Share$9.97
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$4.12B
Total debt obligations (short + long term)
Cash & Equiv.$5.58B
Cash and short-term investments
Net Debt$-1.46BA
Grade A: Net CashTotal Debt minus Cash. Negative = Net Cash position
Total Equity$12.47B
Shareholders' equity (book value)
Asset / Liability2.13xA
Grade A: SolidTotal Assets / Total Liabilities
Market
Market Cap$330.05B
Current Market Capitalization
Beta1.97D
Grade D: High volatilityPrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 16, 2026
Key Insights: Lam Research Corp (LRCX)
LRCX is down 4.87% at the last close. Lam Research Corp meets 8 of 9 Piotroski F-Score criteria, placing its fundamental strength in the top tier of US-listed stocks. Altman Z-Score of 23.58 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. Lam Research Corp converts about 28% of revenue into free cash flow — strong cash generation.
- Company is effectively debt-free after netting cash.
- At a valuation score of 10/100, LRCX trades at a premium to its historical multiples (P/E 49.2).
- Return on equity of 53.8% is well above the market average.
See how LRCX ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all LRCX moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 14 | After-hours | 282.00 | -6.35% | -2.58 |
Frequently Asked Questions about LRCX
What is the current Lam Research Corp (LRCX) stock price?
LRCX is trading at $263.94 at the last market close, down 4.87% on the session. PreMarketPrice tracks LRCX pre-market, intraday and after-hours prices.
Is LRCX stock a buy right now?
PreMarketPrice's quantitative model rates Lam Research Corp's financial health at 100/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is LRCX stock overvalued?
Lam Research Corp trades at a trailing P/E of 49.2 and our valuation score rates it 10/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does Lam Research Corp report earnings?
No confirmed earnings date is currently scheduled for LRCX. The Earnings section lists recent reports and updates as dates are announced.
What sector does Lam Research Corp operate in?
Lam Research Corp operates in the Industrials sector, within the Special Industry Machinery, Nec industry. The Related Stocks section lists sector peers for comparison.
What does Lam Research Corp do?
Lam Research is one of the largest semiconductor wafer fabrication equipment manufacturers in the world.
About Lam Research Corp (LRCX) Stock
Lam Research Corp (LRCX) is a US-listed stock operating in the Industrials sector, specifically the Special Industry Machinery, Nec industry. As of the latest update, Lam Research Corp is trading at $263.94, down 4.87% on the day with a market capitalization of $330.1 billion. The financial health score for LRCX is 100/100, which indicates excellent financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for LRCX stock.
LRCX Stock Analysis & Key Metrics
On PreMarketPrice, you can track Lam Research Corp (LRCX) across multiple dimensions:
- Pre-market price & movement: Real-time LRCX stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for LRCX with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for Lam Research Corp across multiple reporting periods.
- Financial health score: A composite score of 100/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for LRCX.
- Sector peers: Compare LRCX against 4 other industrials stocks on key financial metrics.
Is LRCX a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate Lam Research Corp (LRCX) as an investment. The financial health score of 100/100 suggests excellent financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Lam Research Corp (LRCX) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.