# Lam Research Corporation (LRCX) fundamentals

Data as of 2026-11-04. NASDAQ, United States. Sector: Technology / Semiconductors & Chip Equipment. Price $230.72, market value $288.7 billion.

## Valuation
- **P/E (trailing): 34.4×** (5-yr avg 31.2×, 3-yr avg 41.7×). Lam Research Corporation trades at 34.4× trailing earnings, close to its own five-year average of 31.2×. The Technology median in the September 2026 study was 32.1×. Forward P/E is 18.9×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.49**. A PEG of 0.49 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 11.1×**. Each dollar of revenue is priced at 11.1×, a level that requires very high margins or very fast growth to justify.
- **Price / book: 20.7×**. The shares trade at 20.7× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 28.4×**. Enterprise value is 28.4× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 2.3%** (5-yr avg 3.7%). Free cash flow equals 2.3% of the market value, below its five-year average of 3.7%, so the shares are pricier on cash than usual.
- **Earnings yield: 2.9%**. The inverse of the P/E: 2.9% of the price is earned each year.

## Profitability
- **Gross margin: 51.1%**. Lam Research Corporation keeps 51.1% of revenue after the direct cost of what it sells.
- **Operating margin: 37.0%**. 37.0% of revenue is left after running the business, an exceptional level.
- **Net margin: 31.3%**. 31.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 58.3%**. A 58.3% return on equity is extremely high; check whether buybacks or debt have shrunk the equity base, which flatters the ratio.
- **Return on invested capital: 71.9%**. Return on all capital, debt included, is 71.9%: comfortably above what that capital costs.
- **Return on assets: 35.9%**. Each dollar of assets produces 35.9% of profit.

## Growth
- **Revenue growth (1 yr): 26.0%** (3-yr 10.1%/yr, 5-yr 9.7%/yr). Revenue grew 26.0% over the last year, against 9.7% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): 38.8%** (3-yr 20.2%/yr, 5-yr 16.4%/yr). Earnings per share rose 38.8%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): 1.5%/yr**. Free cash flow has compounded at 1.5% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Debt to equity: 0.30**. Debt is 0.30 times equity: a conservative balance sheet.
- **Net debt / EBITDA: net cash**. Lam Research Corporation holds more cash than debt.
- **Current ratio: 2.63** (quick 2.63). Current assets cover the next year's liabilities 2.63 times.
- **Altman Z-score: 19.04**. A Z-score of 19.04 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 8/9**. 8 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend yield: 0.57%** ($1.11 per share, trailing). Lam Research Corporation yields 0.57%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 17%** (20% of free cash flow). 17% of earnings goes out as dividends, leaving room to keep raising it.
- **Consecutive years of increases: 12**. 12 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 14.9%/yr** (1-yr 14.0%). The dividend has compounded at 14.9% a year over five years, doubling roughly every 5 years at that pace.

## Analyst view
- **Analyst consensus: strong_buy** (30 analysts). 30 analysts cover Lam Research Corporation; the consensus is strong_buy, with an average price target of $364.03 (+58% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): 45.0%** (YTD 33.2%, 3-mo -22.8%). The shares are up 45.0% over twelve months including dividends.
- **From 52-week high: -47.4%** (70.3% above the low). Trading 47% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 31**. An RSI of 31 is neutral.
- **Beta (1 yr): 3.23** (volatility 66%). Beta of 3.23 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=LRCX · Page: https://foliofundamentals.com/stocks/lrcx

Not investment advice.