QM · rank #16 · 2026-07-21
LRCX
NASDAQ · $383.63B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +332.00% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +66.8% |
| Profit margin Net profit margin, trailing 12 months. | +30.9% |
| Market cap (USD) Size filter: > $500M required. | $383.63B |
| Anchor (recent) Close on 2026-06-18 | $389.04 |
| Anchor (far) Close on 2025-06-20 | $90.06 |
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 wafer-fab-equipment supplier specializing in etch and deposition systems for advanced 3D NAND and logic manufacturing, monetizing a large installed base through high-margin customer support services.
Rationale
Record Q4 2025 results with 20%+ revenue growth, ~49.7% gross margin, and ROE of 67% confirm that the quality signals are grounded in real earnings power, while AI-driven WFE demand and Mizuho's $6.6B June-quarter estimate support continued positive price momentum.
Material risks
- 1Export control escalation targeting advanced etch/deposition tools to China could abruptly remove a material revenue contributor and compress near-term growth, directly breaking the momentum leg of the thesis.
- 2WFE spending is cyclical, and any deceleration in AI infrastructure buildout or memory capex could rapidly reverse the revenue and margin trajectory that justifies the current quality screen.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.