LAM RESEARCH CORP (1LRCX.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1LRCX - US5128073062 - Common Stock
188.2 EUR
+15.9 (+9.23%)
Taking everything into account, 1LRCX scores 6 out of 10 in our fundamental rating. 1LRCX was compared to 71 industry peers in the Semiconductors & Semiconductor Equipment industry. 1LRCX has an excellent profitability rating, but there are some minor concerns on its financial health. 1LRCX shows excellent growth, but is valued quite expensive already. These ratings would make 1LRCX suitable for growth investing!
1. Profitability
1.1 Basic Checks
- 1LRCX had positive earnings in the past year.
- 1LRCX had a positive operating cash flow in the past year.
- Each year in the past 5 years 1LRCX has been profitable.
- In the past 5 years 1LRCX always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of 1LRCX (26.53%) is better than 97.18% of its industry peers.
- The Return On Equity of 1LRCX (57.01%) is better than 95.77% of its industry peers.
- The Return On Invested Capital of 1LRCX (37.82%) is better than 94.37% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1LRCX is significantly above the industry average of 13.85%.
- The last Return On Invested Capital (37.82%) for 1LRCX is above the 3 year average (31.47%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.53% | ||
| ROE | 57.01% | ||
| ROIC | 37.82% |
ROA(3y)23.18%
ROA(5y)24.18%
ROE(3y)51.37%
ROE(5y)58.46%
ROIC(3y)31.47%
ROIC(5y)32.89%
1.3 Margins
- 1LRCX's Profit Margin of 29.66% is amongst the best of the industry. 1LRCX outperforms 87.32% of its industry peers.
- 1LRCX's Profit Margin has improved in the last couple of years.
- 1LRCX has a Operating Margin of 33.00%. This is amongst the best in the industry. 1LRCX outperforms 85.92% of its industry peers.
- 1LRCX's Operating Margin has improved in the last couple of years.
- 1LRCX has a Gross Margin (49.31%) which is comparable to the rest of the industry.
- 1LRCX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33% | ||
| PM (TTM) | 29.66% | ||
| GM | 49.31% |
OM growth 3Y0.81%
OM growth 5Y3.76%
PM growth 3Y2.83%
PM growth 5Y5.33%
GM growth 3Y2.15%
GM growth 5Y1.2%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1LRCX is creating value.
- 1LRCX has less shares outstanding than it did 1 year ago.
- 1LRCX has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, 1LRCX has an improved debt to assets ratio.
2.2 Solvency
- The Debt to FCF ratio of 1LRCX is 0.81, which is an excellent value as it means it would take 1LRCX, only 0.81 years of fcf income to pay off all of its debts.
- 1LRCX has a better Debt to FCF ratio (0.81) than 77.46% of its industry peers.
- A Debt/Equity ratio of 0.37 indicates that 1LRCX is not too dependend on debt financing.
- 1LRCX's Debt to Equity ratio of 0.37 is on the low side compared to the rest of the industry. 1LRCX is outperformed by 66.20% of its industry peers.
- Although 1LRCX does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 0.81 | ||
| Altman-Z | N/A |
ROIC/WACC3.52
WACC10.74%
2.3 Liquidity
- 1LRCX has a Current Ratio of 2.21. This indicates that 1LRCX is financially healthy and has no problem in meeting its short term obligations.
- The Current ratio of 1LRCX (2.21) is comparable to the rest of the industry.
- A Quick Ratio of 1.60 indicates that 1LRCX should not have too much problems paying its short term obligations.
- Looking at the Quick ratio, with a value of 1.60, 1LRCX is doing worse than 60.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 41.65% over the past year.
- 1LRCX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.02% yearly.
- Looking at the last year, 1LRCX shows a very strong growth in Revenue. The Revenue has grown by 25.66%.
- Measured over the past years, 1LRCX shows a quite strong growth in Revenue. The Revenue has been growing by 12.91% on average per year.
EPS 1Y (TTM)41.65%
EPS 3Y7.72%
EPS 5Y21.02%
EPS Q2Q%46.51%
Revenue 1Y (TTM)25.66%
Revenue growth 3Y2.29%
Revenue growth 5Y12.91%
Sales Q2Q%27.74%
3.2 Future
- Based on estimates for the next years, 1LRCX will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.46% on average per year.
- Based on estimates for the next years, 1LRCX will show a quite strong growth in Revenue. The Revenue will grow by 9.82% on average per year.
EPS Next Y19.4%
EPS Next 2Y18.27%
EPS Next 3Y15.91%
EPS Next 5Y13.46%
Revenue Next Year16.39%
Revenue Next 2Y14.56%
Revenue Next 3Y11.87%
Revenue Next 5Y9.82%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 48.26, which means the current valuation is very expensive for 1LRCX.
- 1LRCX's Price/Earnings ratio is a bit more expensive when compared to the industry. 1LRCX is more expensive than 61.97% of the companies in the same industry.
- When comparing the Price/Earnings ratio of 1LRCX to the average of the S&P500 Index (27.30), we can say 1LRCX is valued expensively.
- 1LRCX is valuated quite expensively with a Price/Forward Earnings ratio of 37.88.
- Based on the Price/Forward Earnings ratio, 1LRCX is valued a bit more expensive than the industry average as 69.01% of the companies are valued more cheaply.
- When comparing the Price/Forward Earnings ratio of 1LRCX to the average of the S&P500 Index (24.04), we can say 1LRCX is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.26 | ||
| Fwd PE | 37.88 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, 1LRCX is valued a bit more expensive than the industry average as 71.83% of the companies are valued more cheaply.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1LRCX is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 49.64 | ||
| EV/EBITDA | 39.84 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1LRCX does not grow enough to justify the current Price/Earnings ratio.
- The excellent profitability rating of 1LRCX may justify a higher PE ratio.
- 1LRCX's earnings are expected to grow with 15.91% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.49
PEG (5Y)2.3
EPS Next 2Y18.27%
EPS Next 3Y15.91%
5. Dividend
5.1 Amount
- 1LRCX has a yearly dividend return of 0.52%, which is pretty low.
- In the last 3 months the price of 1LRCX has falen by -81.00%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
- Compared to an average industry Dividend Yield of 0.79, 1LRCX has a dividend in line with its industry peers.
- With a Dividend Yield of 0.52, 1LRCX pays less dividend than the S&P500 average, which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
5.2 History
- On average, the dividend of 1LRCX grows each year by 14.54%, which is quite nice.
Dividend Growth(5Y)14.54%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
- 1LRCX pays out 20.32% of its income as dividend. This is a sustainable payout ratio.
- The dividend of 1LRCX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP20.32%
EPS Next 2Y18.27%
EPS Next 3Y15.91%
BIT:1LRCX (1/13/2026, 7:00:00 PM)
188.2
+15.9 (+9.23%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)10-22 2025-10-22/amc
Earnings (Next)01-28 2026-01-28/amc
Inst Owners88.63%
Inst Owner ChangeN/A
Ins Owners0.24%
Ins Owner ChangeN/A
Market Cap236.38B
Revenue(TTM)19.59B
Net Income(TTM)5.81B
Analysts80
Price Target134.45 (-28.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
Yearly Dividend0.77
Dividend Growth(5Y)14.54%
DP20.32%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.44%
Min EPS beat(2)1.09%
Max EPS beat(2)7.79%
EPS beat(4)4
Avg EPS beat(4)3%
Min EPS beat(4)1.09%
Max EPS beat(4)7.79%
EPS beat(8)8
Avg EPS beat(8)3.8%
EPS beat(12)12
Avg EPS beat(12)5.49%
EPS beat(16)14
Avg EPS beat(16)5.37%
Revenue beat(2)1
Avg Revenue beat(2)0.49%
Min Revenue beat(2)-0.24%
Max Revenue beat(2)1.22%
Revenue beat(4)1
Avg Revenue beat(4)0.03%
Min Revenue beat(4)-0.48%
Max Revenue beat(4)1.22%
Revenue beat(8)2
Avg Revenue beat(8)-0.07%
Revenue beat(12)5
Avg Revenue beat(12)0.08%
Revenue beat(16)7
Avg Revenue beat(16)-0.14%
PT rev (1m)33.88%
PT rev (3m)33.88%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)12.77%
EPS NY rev (1m)0.02%
EPS NY rev (3m)7.96%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)9%
Revenue NY rev (1m)0%
Revenue NY rev (3m)5.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 48.26 | ||
| Fwd PE | 37.88 | ||
| P/S | 14.06 | ||
| P/FCF | 49.64 | ||
| P/OCF | 43.15 | ||
| P/B | 27.03 | ||
| P/tB | 32.93 | ||
| EV/EBITDA | 39.84 |
EPS(TTM)3.9
EY2.07%
EPS(NY)4.97
Fwd EY2.64%
FCF(TTM)3.79
FCFY2.01%
OCF(TTM)4.36
OCFY2.32%
SpS13.38
BVpS6.96
TBVpS5.72
PEG (NY)2.49
PEG (5Y)2.3
Graham Number24.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 26.53% | ||
| ROE | 57.01% | ||
| ROCE | 42.56% | ||
| ROIC | 37.82% | ||
| ROICexc | 67.6% | ||
| ROICexgc | 86.11% | ||
| OM | 33% | ||
| PM (TTM) | 29.66% | ||
| GM | 49.31% | ||
| FCFM | 28.33% |
ROA(3y)23.18%
ROA(5y)24.18%
ROE(3y)51.37%
ROE(5y)58.46%
ROIC(3y)31.47%
ROIC(5y)32.89%
ROICexc(3y)52.82%
ROICexc(5y)54.36%
ROICexgc(3y)66.54%
ROICexgc(5y)68.82%
ROCE(3y)35.41%
ROCE(5y)37.02%
ROICexgc growth 3Y7.04%
ROICexgc growth 5Y0.35%
ROICexc growth 3Y5.47%
ROICexc growth 5Y4.28%
OM growth 3Y0.81%
OM growth 5Y3.76%
PM growth 3Y2.83%
PM growth 5Y5.33%
GM growth 3Y2.15%
GM growth 5Y1.2%
F-Score8
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 0.81 | ||
| Debt/EBITDA | 0.54 | ||
| Cap/Depr | 211.81% | ||
| Cap/Sales | 4.26% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 93.06% | ||
| Profit Quality | 95.52% | ||
| Current Ratio | 2.21 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | N/A |
F-Score8
WACC10.74%
ROIC/WACC3.52
Cap/Depr(3y)151.1%
Cap/Depr(5y)146.11%
Cap/Sales(3y)3.22%
Cap/Sales(5y)3.04%
Profit Quality(3y)105.3%
Profit Quality(5y)90.85%
High Growth Momentum
Growth
EPS 1Y (TTM)41.65%
EPS 3Y7.72%
EPS 5Y21.02%
EPS Q2Q%46.51%
EPS Next Y19.4%
EPS Next 2Y18.27%
EPS Next 3Y15.91%
EPS Next 5Y13.46%
Revenue 1Y (TTM)25.66%
Revenue growth 3Y2.29%
Revenue growth 5Y12.91%
Sales Q2Q%27.74%
Revenue Next Year16.39%
Revenue Next 2Y14.56%
Revenue Next 3Y11.87%
Revenue Next 5Y9.82%
EBIT growth 1Y41.9%
EBIT growth 3Y3.12%
EBIT growth 5Y17.15%
EBIT Next Year27.78%
EBIT Next 3Y17.33%
EBIT Next 5Y10.27%
FCF growth 1Y23.28%
FCF growth 3Y28.47%
FCF growth 5Y23%
OCF growth 1Y29.21%
OCF growth 3Y25.82%
OCF growth 5Y23.76%
LAM RESEARCH CORP / 1LRCX.MI FAQ
Can you provide the ChartMill fundamental rating for LAM RESEARCH CORP?
ChartMill assigns a fundamental rating of 6 / 10 to 1LRCX.MI.
What is the valuation status of LAM RESEARCH CORP (1LRCX.MI) stock?
ChartMill assigns a valuation rating of 2 / 10 to LAM RESEARCH CORP (1LRCX.MI). This can be considered as Overvalued.
Can you provide the profitability details for LAM RESEARCH CORP?
LAM RESEARCH CORP (1LRCX.MI) has a profitability rating of 9 / 10.
What is the financial health of LAM RESEARCH CORP (1LRCX.MI) stock?
The financial health rating of LAM RESEARCH CORP (1LRCX.MI) is 6 / 10.
How sustainable is the dividend of LAM RESEARCH CORP (1LRCX.MI) stock?
The dividend rating of LAM RESEARCH CORP (1LRCX.MI) is 3 / 10 and the dividend payout ratio is 20.32%.