About Lam Research Corporation
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.
Lam Research Corporation (LRCX) is a Technology company in the Semiconductor Equipment & Materials industry with a market capitalisation of $373.2B. The stock trades at 51.77x trailing earnings and yields 0.44%.
- Sector
- Technology
- Industry
- Semiconductor Equipment & Materials
- Market cap
- $373.2B
- P/E ratio
- 51.77
- Forward P/E
- 25.59
- EPS (TTM)
- $5.76
- Revenue (TTM)
- $23.2B
- Free cash flow
- $3.1B
- Profit margin
- 31.3%
- Dividend yield
- 0.44%
- Beta
- 1.86
- Shares outstanding
- 1.3B
Financial health: Strong9.5/10
10 strengths, 0 concerns. No red flags against these benchmarks.
- Debt to equity: 0.30 (Strong, benchmark < 0.5) — Debt of 0.30x equity is conservative against the 0.5x benchmark. It has improved over the last 4 years.
- Net debt vs cash flow: 0.0y (Strong, benchmark < 4 years) — Holds more cash than debt ($1.9B net cash).
- Current ratio: 2.63 (Strong, benchmark > 1.5) — Short-term assets cover 2.63x short-term liabilities, against Graham's 1.5x floor. It has deteriorated over the last 4 years.
- Return on equity: 65.1% (Strong, benchmark > 15%) — Earns 65.1% on shareholder equity, comfortably past the > 15% mark.
- Gross margin: 50.5% (Strong, benchmark > 40%) — Keeps 50.5% of revenue after the direct cost of sales, comfortably past the > 40% mark.
- Net margin: 31.3% (Strong, benchmark > 10%) — Turns 31.3% of revenue into profit, comfortably past the > 10% mark.
- Free cash flow: $4.9B (Strong, benchmark positive) — Generated $4.9B of free cash flow after capital spending. It has been broadly flat over the last 4 years.
- Revenue growth: 30.0% (Strong, benchmark > 10%) — Revenue changed 30.0% year on year, comfortably past the > 10% mark.
- Earnings growth: 34.8% (Strong, benchmark > 10%) — Earnings changed 34.8% year on year, comfortably past the > 10% mark.
- PEG ratio: 1.39 (Watch, benchmark < 1) — At 1.39, the price looks fair relative to expected growth — Lynch treated 1.0 as fair value.
- Payout ratio: 18.1% (Strong, benchmark < 60%) — Pays out 18.1% of earnings as dividends, leaving room to keep paying.