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Lam Research (LRCX) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Lam Research
NasdaqGS•Technology•Semiconductor Equipment & Materials
$227.56-11.55(-0.05%)Pre-market
Market Cap
$287.25B
P/E
34.0x
P/S
11.0x
P/B
20.7x

Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits in the United States, China, Korea, Taiwan, Japan, Southeast Asia, and Europe. The company offers ALTUS systems to deposit conformal or selective films for tungsten or molybdenum metallization applications; SABRE electrochemical deposition products for copper interconnect transition, which support copper damascene manufacturing; Striker single-wafer atomic layer deposition products for dielectric film solutions; and VECTOR plasma-enhanced chemical vapor deposition (CVD) products. It also provides Akara, a conductor etch system designed to enhance etch precision, selectivity, and defect control; Argos, Prevos, and Selis, which are selective etch systems used in the fabrication of advanced logic and memory devices that require precise control at nanoscale dimensions; Flex for dielectric etch applications; Vantex, a dielectric etch system that provides RF technology and repeatable wafer-to-wafer performance enabled by Equipment Intelligence solutions; Kiyo for conductor etch applications; Syndion for deep silicon etch; and Versys metal products for metal etch processes. In addition, the company offers Coronus bevel clean products to enhance die yield and Da Vinci, DV-Prime, EOS, and SP series products to address various wafer cleaning applications. Further, it provides Reliant deposition, etch, and clean products; Sense.i platform products; and customer service, spares, and upgrades. Lam Research Corporation was incorporated in 1980 and is headquartered in Fremont, California.

A

How this company scores

ExcellentMetricSide Score: 94/100

Strongest: Profitability (25/25); weakest: Balance Sheet & Red Flags (21/25).

Profitability25/25
Growth25/25
Balance Sheet & Red Flags21/25
Cash & Earnings Quality23/25
Strengths
Growing revenueRising free cash flowStrong marginsHigh ROE

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 34.0x5y range 10.7x – 65.3x
P/E 34.0x · above its 20-quarter median

Currently above its 20-quarter median.

P/S · 11.0x5y range 2.9x – 20.4x
P/S 11.0x · above its 20-quarter median

Currently above its 20-quarter median.

P/B · 20.7x5y range 6.7x – 38.0x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

Some Concerns

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.

Price & Volume
Market Cap $287.25B

Metrics at a Glance

as of September 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue
$26.13B
7Q
Q. Revenue
$8.22B
7Q
TTM EBITDA
$10.12B
7Q
TTM Op. Income
$9.65B
7Q
Q. Op. Income
$3.28B
3Q
TTM Net Income
$8.45B
7Q
Q. Net Income
$2.75B
4Q
EPS
$2.2
4Q
Shares Out.
$1.25B
1%
$26.13B in TTM revenue grew 33.4% YoY, reaching $8.22B last quarter. TTM EBITDA of $10.12B and TTM operating income of $9.65B show growth is flowing through to the bottom line. TTM net income of $8.45B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin
52.3%
3Q
EBITDA Margin
41.4%
3Q
Op. Margin
40.0%
3Q
Net Margin
33.5%
14%
Op. margin of 40.0% is up 5.6% YoY — cost efficiency is improving. Net margin at 33.5% and gross margin of 52.3% show how much of each revenue dollar survives to profit. Across the last 8 quarters, operating margin has risen for 3 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio
34.0x
22%
P/S Ratio
11.0x
33%
P/B Ratio
20.7x
30%
At 34.0x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 11.0x and P/B of 20.7x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is up 22% — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets
$26.35B
2Q
Cash
$7.44B
2Q
Long-Term Debt
$3.73B
0%
Book Value
$13.91B
3Q
D/E Ratio
0.3
3Q
Debt/EBITDA
1.1
3Q
With $26.35B in assets and $3.73B in long-term debt, D/E is 0.3and book value is $13.91B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 3 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow
$3.50B
2Q
TTM Free Cash Flow
$6.54B
18%
FCF Margin
25.0%
12%
FCF / Net Income
0.8
19%
TTM FCF of $6.54B on $3.50B in operating cash flow. The FCF / Net Income ratio of 0.8x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 18% — an improving trend.

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· above its 20-quarter median

Currently above its 20-quarter median.