LAM RESEARCH CORP (LRCX) Factsheet
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LAM RESEARCH CORP (LRCX) Stock Analysis
Analysis from 10-K filed 2026-08-07. Data as of Q2 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 49.0%. FCF margin 21.1%. D/E 0.3x. Source: 10-K filed 2026-08-07.
| Metric | Value | Context |
|---|---|---|
| ROIC | 49.0% | Above industry average |
| FCF Margin | 21.1% | Strong cash generation |
| Debt/Equity | 0.3x | Conservative leverage |
ROIC 49.0% — Top 5% of sector peers. FCF margin 21.1% — Top 5%.
Explore LAM RESEARCH CORP: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for LRCX: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: LAM RESEARCH CORP earns 49.0% ROIC, Top 5% in Industrials
ROIC TTM 49.0%, sector median 7.2%, Top 5%. DuPont: NOPAT margin 31.0% × asset turnover 1.1x. Gross margin 50.5%. Operating margin 35.3%. Source: 10-K filed 2026-08-07.
| Metric | LRCX | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 49.0% | Excellent | Above sector median of 7.2% |
| Return on Equity (ROE) | 69.0% | Excellent | Efficient use of shareholder equity |
| Gross Margin | 50.5% | Excellent | Strong pricing power |
| Operating Margin | 35.3% | Excellent | Efficient operations |
Cash Flow: LAM RESEARCH CORP generates $4.9B FCF at 21.1% margin, positive NaN/8 quarters
FCF TTM $4.9B. FCF margin 21.1%, Top 5%. OCF/Net income 0.8x. Positive FCF in NaN/8 trailing quarters. Source: 10-K filed 2026-08-07.
| Metric | LRCX | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 21.1% | Excellent | Excellent cash conversion |
| Free Cash Flow (TTM) | $4.9B | Good | Positive cash generation |
| OCF/Net Income | 0.8x | Good | Potential accrual concerns |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: LAM RESEARCH CORP at 0.3x leverage, 52.3x interest coverage
Debt/Equity 0.3x. Net cash $1.9B. Interest coverage 52.3x. Source: 10-K filed 2026-08-07.
| Metric | LRCX | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.3x | Excellent | Conservative capital structure |
| Net Cash Position | $1.9B | Excellent | Net cash positive |
| Interest Coverage | 52.3x | Excellent | Comfortable debt service |
Valuation: LAM RESEARCH CORP trades at 56.7x earnings
P/E 56.7x. EV/Sales 17.6x. FCF yield 1.2%. Dividend yield 0.3%. Source: 10-K filed 2026-08-07.
| Metric | LRCX | Rating | Context |
|---|---|---|---|
| P/E Ratio | 56.7x | Warning | Premium valuation |
| EV/Sales | 17.6x | Warning | Growth premium priced in |
| FCF Yield | 1.2% | Warning | Lower cash yield |
| Dividend Yield | 0.3% | Adequate | Growth focus over income |
Capital Allocation: LAM RESEARCH CORP returns 1.2% shareholder yield, reducing shares 1.4% YoY
Total shareholder yield 1.2% (div 0.3% + buyback 0.9%). Share count -1.4% YoY. Capital returned $5.1B TTM. Source: 10-K filed 2026-08-07.
| Metric | LRCX | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 1.2% | Adequate | Dividend + buyback yield combined |
| Buyback Yield | 0.9% | Adequate | Minimal buyback activity |
| Share Count Change (YoY) | -1.4% | Good | Net share reduction (accretive) |
| Total Capital Returned (TTM) | $5.1B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 49.0% | Top 5% | 6.8x above |
| Free Cash Flow Margin | 21.1% | Top 5% | 3.5x above |
| Gross Margin | 50.5% | Top 25% | 1.6x above |
| Operating Margin | 35.3% | Top 5% | 5.0x above |
| Return on Equity (ROE) | 69.0% | Top 5% | 6.9x above |
| P/E Ratio | 56.7x | N/A | - |
Financial Scorecard
| Metric | LRCX | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 49.0% | Excellent | Top 5% of sector (median: 7.2%) |
| Free Cash Flow Margin | 21.1% | Excellent | Top 5% of sector (median: 6.1%) |
| Gross Margin | 50.5% | Excellent | Top 25% of sector (median: 31.9%) |
| Debt to Equity Ratio | 29.8% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 56.7x | Warning | High expectations priced in |
| Free Cash Flow Yield | 1.2% | Warning | Growth-focused valuation |
Frequently Asked Questions
Q: What is LAM RESEARCH CORP's Return on Invested Capital (ROIC)?
LAM RESEARCH CORP (LRCX) has a trailing twelve-month Return on Invested Capital (ROIC) of 49.0%. The 8-quarter median ROIC is 42.7% with a improving trend. Sector median 7.2%. Source: 10-K filed 2026-08-07.
Q: What is LAM RESEARCH CORP's Free Cash Flow Margin?
LAM RESEARCH CORP (LRCX) has a free cash flow margin of 21.1%, generating $4.9 billion in free cash flow over the trailing twelve months. Source: 10-K filed 2026-08-07.
Q: What is LAM RESEARCH CORP's P/E ratio and how does it compare to peers?
LAM RESEARCH CORP (LRCX) trades at a P/E ratio of 56.7x, which is above the sector median of N/A. EV/Sales 17.6x. FCF yield 1.2%. Source: 10-K filed 2026-08-07.
Q: Does LAM RESEARCH CORP pay a dividend?
LAM RESEARCH CORP (LRCX) currently pays a dividend yield of 0.3%. Total shareholder yield (dividend + buybacks) 1.2%. Source: 10-K filed 2026-08-07.
Q: What is LAM RESEARCH CORP's revenue and earnings growth?
LAM RESEARCH CORP (LRCX) grew revenue by 26.0% year-over-year. EPS +38.7% YoY. Source: 10-K filed 2026-08-07.
Q: Is LAM RESEARCH CORP buying back stock?
LAM RESEARCH CORP (LRCX) repurchased $3.9 billion of stock over the trailing twelve months. This represents a buyback yield of 0.9%. Share count -1.4% YoY. Source: 10-K filed 2026-08-07.
Q: How does LAM RESEARCH CORP compare to competitors in Industrials?
Compared to other companies in Industrials, LAM RESEARCH CORP (LRCX) shows: ROIC 49.0%, sector median 7.2% (Top 5%). FCF margin 21.1%, sector median 6.1% (Top 5%). Gross margin 50.5%, 18.6pp above sector median. These rankings are based on MetricDuck's analysis of all Industrials companies with available SEC filings.
Q: What warning signs should I watch for with LAM RESEARCH CORP?
No quantitative warning flags fired for LAM RESEARCH CORP (LRCX) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-K filed 2026-08-07.
Data Source: Data sourced from 10-K filed 2026-08-07. TTM metrics as of Q2 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.