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LRCX

💻 Technology

Lam Research Corporation

Conservative #70Aggressive #33Low RiskMixed 55ML↑ 22pt
$249.48+2.14%
Day High$256.68
Day Low$248.39
Volume9.4M
Mkt Cap$311.5B
52W Low $5652W High $257
Market Cap
$295.8B
P/E Ratio
48.3
Sector avg: 87.4
Rev Growth
23.7%
Sector avg: 14.8%
Earnings Growth
40.0%
Profit Margin
29.1%
Sector avg: -109.6%
Debt/Equity
0.45

Why This Score

LRCX scores 71.9 on the Conservative profile, blending a fundamental score (80% weight, emphasizing quality and stability (84% of fundamental weight)) with a machine-learning signal (20% weight) trained on 82 features across 30 years of data.

Strengths
  • Strong profitability: ROE of 54.3% exceeds the 15% quality threshold.
  • High net margin of 29.1%, indicating pricing power and operational efficiency.
  • Large-cap ($296B) with deep liquidity and institutional ownership.
  • ML model assigns a high-conviction signal (95/100), indicating strong pattern recognition across 82 features.
Risk Factors
  • Momentum reversion risk: Extreme momentum (210%) increases mean-reversion probability. 5-point penalty applied.
  • Procyclicality: Late-cycle macro signals reduce confidence in extreme-momentum names. 2-point additional penalty.
  • Signal divergence: Fundamental and ML signals disagree by a significant margin, reducing confidence.
  • Elevated valuation at 48.3x earnings — requires sustained growth to justify the premium.
  • Above-average volatility (13.5%) may not suit conservative risk tolerance.

Moderate penalties (-8.3 points) reflect identified risk factors. The overall score balances these against the stock's fundamental strengths.

Score Breakdown

Overall Score71.9
Fundamental Score71.5
ML Score95.0

Score by Horizon

3 Month
69.2
6 Month
77.3
Primary
1 Year
81.3

Quality Assessment

A
Earnings Grade
Strong fundamentals, high earnings quality

Position Sizing

Suggested Allocation
5%
Confidence
high

Score Composition Waterfall

How each component affects the final score
Backtested Scoring Levers (IC-calibrated from 30y ElasticNet)
Weinstein (12.1%)
100
Advancing
Sentiment (2.5%)
65
Positive
Analyst (6.4%)
69
Favorable
Tradability (post-hoc)
100
Grade A
Base
69.2
SHAP
+2.8
Factors
+1.2
Divergence
-1.3
Final
71.9
Positive adjustment
Negative adjustment
Base blend
Final score

Factor Breakdown

74AVG
Value55
Quality95
Growth90
Stability75
Investment55

Signal SegmentsComputed from ML features

Fundamental (Valuation, Quality, Growth)78.0
Technical (Momentum, Weinstein, Volatility)94.0
External (Sentiment, Analyst, Macro)71.0
Scores below 50 indicate weakness in that segment relative to the universe.

Data Quality

Score
Features
Confidence
Feature Coverage96%

Growth Estimates

Short-term
+1.0% to +5.5%
Medium-term
+2.4% to +9.3%
Long-term
+3.9% to +13.1%

ML Model Core Features100 trained inputs → ML Score: 95

These features are direct inputs to the machine learning model. The model was trained on these signals alongside 100 features (including 12 momentum/technical indicators) to produce the ML percentile score.

Analyst Intelligence
Consensus Score68.5/100
Target Upside+0.0%
Coverage50 analysts
Market Sentiment
Sentiment Score64.9/100
News Volume0 articles
Technical Stage
Weinstein Stage2 — Advancing
12M Momentum+2.1%
6M Momentum+1.4%
Volatility+0.1%
Momentum & Technical
Momentum Acceleration+73.7%
Momentum ConsistencyModerate (0.65)
Relative Strength vs Sector+206.1%
Trend Strength (ADX Proxy)Strong (5.0)
Momentum Quality+2.048
Momentum BreadthBroad ✓
Macro Regime
Bull RegimeYes
High Vol RegimeNo
S&P 500 Return+25.0%
Yield Curve-0.1bp

Sector-Relative AnalysisIn-model features

Value Trap Signal
2%
Low risk
Sector RevGr Rank
P79
Revenue growth vs Technology peers
Sector PE Rank
P24
Valuation vs Technology peers
Sector FCF Rank
P34
Free cash flow vs Technology peers
Growth Deviation
+0.3σ
Z-score vs sector median
Stagnation Flag
NO
Not flagged

Analysis Signals

Scoring Factors
Fundamental score of 59 relative to sector peers59/100
Machine learning model ranks this stock at the 81th percentileP81
ML model weight reduced to 9% due to macro conditions: market in extended rally phase; yield curve inverted (recession indicator); late-cycle economic indicators detected9% ML weight
SHAP feature alignment: +4.4pt (features align with model priorities)—
Blend: 91% fund (59.0) + 9% ML (81.4) + SHAP(+4.4) = 65.4—
Factor quality: +1.8pt (multi-factor composite)—
Risk assessment: low. Annualized volatility 13.5%Low
Momentum mean-reversion: -6.0pt (210% 12m momentum)—
Market cap adjustment: +5.0 points ($295.8B market cap)+5.0 pts
Divergence penalty: -1.8pt (ML 22pt higher)—
Risk Factors

No risk factors identified.

Sector Peer Comparison(Technology — Rank #17 of 290 stocks)

StockScoreP/ERev GrowthMarginMkt Cap
LRCX71.948.323.7%29.1%$295.8B
MPWR84.891.721.2%81.0%$57.1B
ZM84.218.03.1%21.7%$27.7B
NVDA80.645.2114.2%55.8%$4.5T
CRUS79.719.16.0%17.5%$7.4B
ASML77.848.115.6%29.4%$546.0B
IDCC77.431.8-4.0%48.8%$9.7B
CSCO77.127.65.3%18.0%$303.6B
RMBS75.548.320.7%32.3%$11.0B
DBX75.313.91.9%17.7%$6.4B
FSLR75.017.326.7%30.7%$24.2B
SIMO74.79.210.2%13.8%$4.5B
ADI74.374.116.9%20.6%$165.1B
AAPL72.533.16.4%27.0%$3.9T
OLED72.527.012.4%34.3%$5.9B
AMAT72.336.44.4%24.7%$281.7B
Sector Average47.487.414.8%-109.6%—

Market Sentimentvia FMP

Analyst Consensus
Buy50 analysts
Buy: 38Hold: 11Sell: 1
Price Target
$268consensus
Low $127Median $278High $325
+7.2% to consensus target

Company Overviewvia FMP

Lam Research Corporation designs, manufactures, markets, refurbishes, and services semiconductor processing equipment used in the fabrication of integrated circuits. The company offers ALTUS systems to deposit conformal films for tungsten metallization applications; SABRE electrochemical deposition products for copper interconnect transition that offers copper damascene manufacturing; SOLA ultraviolet thermal processing products for film treatments; and VECTOR plasma-enhanced CVD ALD products. It also provides SPEED gapfill high-density plasma chemical vapor deposition products; and Striker single-wafer atomic layer deposition products for dielectric film solutions. In addition, the company offers Flex for dielectric etch applications; Kiyo for conductor etch applications; Syndion for through-silicon via etch applications; and Versys metal products for metal etch processes. Further, it provides Coronus bevel clean products to enhance die yield; Da Vinci, DV-Prime, EOS, and SP series products to address various wafer cleaning applications; and Metryx mass metrology systems for high precision in-line mass measurement in semiconductor wafer manufacturing. The company sells its products and services to semiconductors industry in the United States, China, Europe, Japan, Korea, Southeast Asia, Taiwan, and internationally. Lam Research Corporation was incorporated in 1980 and is headquartered in Fremont, California.

CEO
Timothy Archer
Employees
18,600
Beta
1.78
Industry
Semiconductors
FMP-Identified Peers

Technical Picturecomputed from daily prices

RSI (14)
79.7
Overbought
Trend
Bullish
10-day vs 50-day MA
From 52W High
-2.8%
High: $256.68
From 52W Low
+343%
Low: $56.32
Moving Averages
10-Day
$239.60
Above
20-Day
$234.70
Above
50-Day
$210.90
Above
200-Day
$140.70
Above
60-Day Support
$153.15
60-Day Resistance
$256.68
Weinstein Stage Analysisbased on 200-day SMA framework
Stage 2 — AdvancingScore: 90/100

Stock is in an uptrend above the 200-day moving average. This is the stage where institutional accumulation typically occurs. The 50-day SMA provides support.

Favorable technical position; 50-day SMA acts as support
Price vs 200 SMA
+77.3%
200 SMA Slope (60d)
+37.7%
Rising
Volume Ratio
0.76x
10d avg vs 50d avg
Days in Stage
100
Confidence: 90%

Financial Statementslast 4 quarters via FMP

MetricQ2 2025Q1 2025Q4 2025Q3 2025
Revenue$5.3B$5.3B$5.2B$4.7B
Gross Profit$2.7B$2.7B$2.6B$2.3B
Operating Income$1.8B$1.8B$1.7B$1.6B
Net Income$1.6B$1.6B$1.7B$1.3B
EPS (Diluted)$1.26$1.24$1.35$1.03
Gross Margin49.6%50.4%50.1%49.0%
Operating Margin33.9%34.4%33.7%33.1%
Net Margin29.8%29.5%33.3%28.2%

Why This Stock

TechnologyRevenue growth 23.7%Profit margin 29.1%Earnings quality grade A

Tradability FilterGrade A — 100/100Score impact: -8.1pt

Volume
100
11.7M avg/day
Dollar Vol
100
$2.8B/day
Float
100
1.2B shares
Mkt Cap
100
$295.8B
Range
100
347% spread
Composite Liquidity Score100/100
FDCBA

Multi-Year Range Analysis

Sideways: 0/100
YearLowHighRangeStatus
2021$50.17$72.8436.9%Wide
2022$29.96$73.1883.8%Wide
2023$40.73$80.1365.2%Wide
2024$68.87$113.0048.5%Wide
2025$56.32$179.80104.6%Wide
3-Year Range
126.1%
Narrow Years
0 / 5
Sideways Penalty
None
Free Float
99.7%
Outstanding Shares
1.2B
Bid-Ask Spread
347.0%
Institutional Tradable
Yes

Scores are generated by a multi-stage ML pipeline combining fundamental analysis, ensemble predictions, and structural risk signals. All data is for research purposes only and does not constitute financial advice. Past performance does not guarantee future results.