BN · rank #10 · 2026-10-20
LRCX
NASDAQ · $340.64B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | 0.29 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +19.2% |
| Forward net margin Consensus forward net margin. | +32.6% |
| 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. | 1.45 |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 0.83× |
| Analyst upside Spread between the consensus 12m target and the current price. | +38.1% |
| Last EPS surprise Most recent reported EPS versus consensus. | +8% |
| Market cap (USD) | $340.64B |
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 wafer-fabrication equipment leader supplying etch, deposition, clean, and advanced-packaging tools that are structurally embedded in leading-edge logic, DRAM, HBM, and 3D NAND manufacturing flows.
Rationale
LRCX screens validly as a bottleneck-solver because its Cryo 3.0 etch, HBM/TSV, and advanced-packaging platforms address genuine process-intensity inflection points in AI-chip supply chains, with 30% YoY revenue growth, >50% advanced-packaging growth, and a $8.1B September-quarter guide confirming real order visibility rather than sentiment rotation.
Material risks
- 1U.S. export-control tightening on China (~26% of revenue) could trigger an abrupt revenue step-down that collapses near-term guidance and invalidates the forward growth assumptions underpinning the fwd-PEG and analyst-upside figures.
- 2Earnings are reported one day after the as-of date (October 21, 2026), creating binary event risk where a September-quarter miss or cautious December guidance could gap the stock sharply before the position can be managed.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.