LAM RESEARCH CORP (NASDAQ:LRCX) Meets Minervini Trend Template with Strong Technical and Fundamental Growth

LAM RESEARCH CORP (NASDAQ:LRCX) has become a notable option for investors using a combined technical and fundamental growth strategy, matching methods made popular by Mark Minervini. This process combines Minervini’s Trend Template, a strict group of technical rules made to find stocks in strong uptrends, with a concentration on high-growth momentum, highlighting speeding up earnings, increasing profit margins, and solid revenue results. This two-part check makes sure that chosen stocks show both positive price movement and relative performance and have the basic financial health that can help continued progress.

Meeting the Minervini Trend Template

LRCX meets the main technical parts of Minervini’s Trend Template, which focuses on stocks showing clear uptrends across various time periods. The present price of $100.08 is higher than all important moving averages, the 50-day ($98.22), 150-day ($84.46), and 200-day ($82.08), showing a positive alignment. Importantly, these averages are all moving up, with the 50-day above both the 150-day and 200-day, confirming the stock’s momentum is speeding up on a medium and long-term scale.

The stock is trading 78% higher than its 52-week low of $56.32 and within 7.4% of its 52-week high of $108.02, meeting Minervini’s rule that picks must show major improvement from lows while staying close to new highs, a signal of continued buyer interest and little overhead resistance. Also, LRCX has a relative strength ranking of 80.65, doing better than most of the market and showing it is a leader in its sector. These technical features are important because they help sort for stocks that are not just going up, but doing so with steadiness and force, often seen in market leaders.

Fundamental Strength and Growth Momentum

Beyond technicals, LRCX shows the type of fundamental quality that high-growth investors look for. The company has reported notable earnings growth, with EPS increasing 36.6% over the past twelve months and speeding up more in the last quarter, up 63.4% year-over-year. This pattern of speeding up, clear across recent quarters, points to positive momentum instead of one-time gains.

Revenue growth has been similarly strong, rising 23.7% over the last year and 33.6% in the most recent quarter. Such results often pull in institutional interest, as Minervini points out, with the saying “big earnings attract big attention” highlighting the value of exceptional performance. Analysts have noticed, increasing next-year EPS estimates by 11% over the past three months, a positive sign that expectations are growing along with performance.

Profit margins have increased significantly, getting to 33.3% in the last quarter, up from 26.8% three quarters before. This gain shows not only top-line growth but also operational effectiveness and pricing ability, key elements in maintaining profitability cycles. With four straight EPS beats and solid free cash flow growth, LRCX shows the financial soundness and execution that growth investors focus on.

Technical and Setup Assessment

According to ChartMill’s technical analysis report, LRCX has a good technical rating of 8 out of 10, showing its solid trend condition and market-relative performance. The long-term trend is positive, and while the short-term trend is neutral, the stock is trading in the higher part of its yearly range. Its setup rating of 5 indicates a consolidation period, which might provide a possible entry point after a clear breakout, especially above the closest resistance around $101.75,101.78.

The stock displays a number of support levels, particularly near $96.37 and $94.81,94.84, giving reasonable zones for stop-loss placement if a trade is started. With high average daily volume over 11 million shares, LRCX provides good liquidity, lowering slippage risk and showing wide market involvement.

Read the full technical report for LRCX here.

Conclusion

LAM RESEARCH CORP is a significant example of a stock that fits with both trend-following and growth-investing ideas. Its match with the Minervini Trend Template shows its technical health, while its fundamental picture, shown by speeding up earnings, growing revenues, increasing margins, and positive analyst changes, places it as a believable pick for high-growth portfolios. As always, investors should do their own research and think about market environment, position size, and risk control before making investment choices.

For readers wanting to find other high-growth, technically good chances, more results from this screen can be found via this link:
High Growth Momentum + Trend Template Screen.

Disclaimer: This article is for informational and educational purposes only and does not constitute investment advice. The author holds no position in LRCX at the time of writing. Investors should perform their own research and consult with a qualified financial advisor before making investment decisions.