BN · rank #18 · 2026-09-09
LRCX
NASDAQ · $400.95B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.20 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +17.0% |
| Forward net margin Consensus forward net margin. | +32.7% |
| Net margin TTM Trailing twelve month net margin. | +31.3% |
| Margin expansion Forward minus trailing net margin (percentage points). | +1.4% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | 1.43 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 0.84× |
| Analyst upside Spread between the consensus 12m target and the current price. | +15.7% |
| Last EPS surprise Most recent reported EPS versus consensus. | +8% |
| Market cap (USD) | $400.95B |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Lam Research is a leading global supplier of etch and deposition wafer fabrication equipment, currently operating at record scale as AI-driven demand for advanced logic and memory capacity accelerates customer capex.
Rationale
LRCX screens as a genuine bottleneck-solver because its high-aspect-ratio etch and deposition tools are qualified into critical process flows for 3D NAND and HBM—nodes that are structurally capacity-constrained by AI workload growth—giving it near-sole-source pricing power and sticky installed-base service revenue that the record FY2026 results directly confirm.
Material risks
- 1Export control tightening on advanced semiconductor equipment into China could materially curtail a significant revenue segment with limited near-term substitution, directly compressing the AI-driven growth trajectory the thesis depends on.
- 2Revenue visibility rests on AI capex sentiment and customer spending cycles rather than contractual backlog, meaning a deceleration in memory or logic equipment spending would expose the thesis to rapid earnings estimate cuts with limited contractual cushion.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.