LAM RESEARCH CORP (NASDAQ:LRCX) was identified by our screener as a strong growth stock with a favorable technical setup. The company combines solid fundamental growth metrics with a bullish price pattern, making it worth a closer look for investors seeking growth opportunities.
Fundamental Strengths
Growth: LRCX has demonstrated strong revenue and earnings growth, with a 20.33% increase in revenue over the past year and an EPS growth rate of 28.78%. Future estimates suggest continued expansion, with expected annual EPS growth of 15.06%.
Profitability: The company earns a high profitability rating of 9/10, with standout metrics like a 27.19% profit margin and a 32.17% return on invested capital (ROIC), outperforming most peers in the semiconductor industry.
Financial Health: LRCX maintains a solid financial position with a 7/10 health rating. Its debt levels are manageable, and it generates strong cash flows, supporting further growth initiatives.
Technical Setup
Trend Strength: Both short-term and long-term trends are positive, with the stock recently hitting a 52-week high.
Support & Resistance: Key support lies near $98.70-$100.67, while resistance is seen around $101.75. A breakout above this level could signal further upside.
Consolidation: The stock has been trading in a wide range over the past month but is now testing the upper bounds, suggesting potential for a continuation of the uptrend.
This is not investing advice! The article highlights observations at the time of writing, but you should always conduct your own analysis before making investment decisions.