Lam Research Corporation (LRCX) AI Stock Analysis

Lam Research Corporation specializes in the design, manufacture, and service of advanced semiconductor processing equipment used to fabricate integrated circuits. Its product portfolio features deposition tools like ALTUS for tungsten metallization, SABRE for copper interconnect transitions, VECTOR plasma-enhanced CVD and ALD products, and Striker single-wafer ALD solutions. Lam Research also provides etch equipment, including Flex for dielectric etch, Kiyo for conductor etch, Syndion for through-silicon via etch, and Versys for metal etch. Additionally, the company supplies wafer cleaning products such as Coronus, Da Vinci, and SP series, alongside Metryx mass metrology systems.

Lam Research grew revenue from $17.23B in FY2022 to $23.23B in FY2026, posting a 5-year revenue CAGR of 9.7% from FY2021 to FY2026. While revenue fell 14.5% in FY2024 to $14.91B, it rebounded with 23.7% growth in FY2025 and 26.0% growth in FY2026. Profitability expanded concurrently, as gross margin reached 50.5%, operating margin hit 35.3%, and net income rose to $7.27B in FY2026. Diluted earnings per share increased from $3.31 in FY2022 to $5.82 in FY2026. In the latest quarter ended June 30, 2026, quarterly revenue grew 30.0% year-over-year, while quarterly earnings grew 34.8%.

As of June 30, 2026, Lam Research held $5.58B in cash and short-term investments against total debt of $4.12B, resulting in net cash of $1.46B. Total assets stood at $23.53B and shareholders' equity was $12.47B, supported by a current ratio of 2.63 and a debt-to-equity ratio of 0.33. In FY2026, the company generated $5.86B in operating cash flow and $4.89B in free cash flow. Capital allocation in FY2026 included capital expenditures of $966.4M, share buybacks of $3.85B, and dividends paid of $1.27B.

At a last close of $263.94, Lam Research has a market cap of $330.30B and an enterprise value of $382.66B. The stock trades at a trailing P/E of 45.8x and a forward P/E of 33.7x, both above the median of its Nasdaq-100 Technology peers of 42.1x and 25.1x, respectively. Its enterprise value-to-EBITDA multiple of 43.2x also trades above the peer median of 30.6x. Over the past year, the stock returned 86.2% compared to 16.8% for the S&P 500 (SPY), and its 5-year return reached 391.9% versus 83.0% for the index.

Lam Research pays an annual forward dividend of $1.32 per share, yielding 0.50% with a payout ratio of 19.1%. Distributed on a quarterly schedule, the dividend has been paid for 13 consecutive years and has an annualized 5-year dividend growth rate of 14.9%. The most recent ex-dividend date was September 23, 2026.

Wall Street analysts maintain 25 Strong Buy, 4 Buy, and 6 Hold ratings, with 0 Sell or Strong Sell ratings. The mean price target of $375.81 represents a 42.4% upside against the last close of $263.94. For the fiscal year ending June 30, 2027, consensus estimates project revenue of $34.92B and EPS of $9.48, representing 62.8% EPS growth. The company beat EPS estimates in each of the last 4 quarters, with its next earnings date scheduled for October 21, 2026.

This page is an AI-written research summary of Lam Research Corporation (LRCX). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: LRCX income statement, LRCX balance sheet, LRCX key metrics, LRCX analyst forecast, LRCX chart. See the LRCX stock overview for the latest quote and news.