LAM RESEARCH CORP (1LRCX.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1LRCX - US5128073062 - Common Stock
188.2 EUR
+15.9 (+9.23%)
We assign a fundamental rating of 6 out of 10 to 1LRCX. 1LRCX was compared to 71 industry peers in the Semiconductors & Semiconductor Equipment industry. 1LRCX scores excellent on profitability, but there are some minor concerns on its financial health. 1LRCX is valued quite expensive, but it does show an excellent growth. This makes 1LRCX very considerable for growth investing!
1. Profitability
1.1 Basic Checks
- In the past year 1LRCX was profitable.
- In the past year 1LRCX had a positive cash flow from operations.
- Each year in the past 5 years 1LRCX has been profitable.
- Each year in the past 5 years 1LRCX had a positive operating cash flow.
1.2 Ratios
- 1LRCX's Return On Assets of 26.53% is amongst the best of the industry. 1LRCX outperforms 97.18% of its industry peers.
- 1LRCX's Return On Equity of 57.01% is amongst the best of the industry. 1LRCX outperforms 95.77% of its industry peers.
- With an excellent Return On Invested Capital value of 37.82%, 1LRCX belongs to the best of the industry, outperforming 94.37% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for 1LRCX is significantly above the industry average of 13.85%.
- The 3 year average ROIC (31.47%) for 1LRCX is below the current ROIC(37.82%), indicating increased profibility in the last year.
| 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 has a Profit Margin of 29.66%. This is amongst the best in the industry. 1LRCX outperforms 87.32% of its industry peers.
- In the last couple of years the Profit Margin of 1LRCX has grown nicely.
- 1LRCX has a Operating Margin of 33.00%. This is amongst the best in the industry. 1LRCX outperforms 85.92% of its industry peers.
- In the last couple of years the Operating Margin of 1LRCX has grown nicely.
- The Gross Margin of 1LRCX (49.31%) 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
- 1LRCX has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- Compared to 1 year ago, 1LRCX has less shares outstanding
- Compared to 5 years ago, 1LRCX has less shares outstanding
- Compared to 1 year ago, 1LRCX has an improved debt to assets ratio.
2.2 Solvency
- 1LRCX has a debt to FCF ratio of 0.81. This is a very positive value and a sign of high solvency as it would only need 0.81 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.81, 1LRCX is in the better half of the industry, outperforming 77.46% of the companies in the same industry.
- 1LRCX has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
- 1LRCX has a worse Debt to Equity ratio (0.37) than 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
WACC10.73%
2.3 Liquidity
- A Current Ratio of 2.21 indicates that 1LRCX has no problem at all paying 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.
- The Quick ratio of 1LRCX (1.60) is worse than 60.56% of its industry peers.
| 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.
- The Earnings Per Share has been growing by 21.02% on average over the past years. This is a very strong growth
- The Revenue has grown by 25.66% in the past year. This is a very strong growth!
- The Revenue has been growing by 12.91% on average over the past years. This is quite good.
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
- The Earnings Per Share is expected to grow by 13.46% on average over the next years. This is quite good.
- 1LRCX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.82% yearly.
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
- 1LRCX is valuated quite expensively with a Price/Earnings ratio of 48.26.
- Based on the Price/Earnings ratio, 1LRCX is valued a bit more expensive than the industry average as 61.97% of the companies are valued more cheaply.
- 1LRCX's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.33.
- The Price/Forward Earnings ratio is 37.88, which means the current valuation is very expensive for 1LRCX.
- 69.01% of the companies in the same industry are cheaper than 1LRCX, based on the Price/Forward Earnings ratio.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.12, 1LRCX is valued quite 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.
- A more expensive valuation may be justified as 1LRCX's earnings are expected to grow with 15.91% in the coming years.
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.
- The stock price of 1LRCX dropped by -81.00% in the last 3 months. With lower prices the dividend yield is higher, but it may be a sign investors do not trust the long term dividend.
- 1LRCX's Dividend Yield is comparable with the industry average which is at 0.79.
- With a Dividend Yield of 0.52, 1LRCX pays less dividend than the S&P500 average, which is at 1.91.
| 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
- 20.32% of the earnings are spent on dividend by 1LRCX. This is a low number and 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
WACC10.73%
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%.