At a glance
Lam Research Corp is worth $284.26B, about 40 times its fiscal 2026 earnings. Revenue grew 26.0% to $23.23B in fiscal 2026, with 31.3% kept as profit; over 5 years it has grown 9.7% a year. It pays a 0.49% dividend yield, raised every year for at least 9 years, and returned $21.16B to shareholders in dividends and buybacks over FY2022–FY2026. The stock returned +45.2% over the past year with dividends reinvested and +33.0% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 43.7% in the 2020 crash (S&P 500: 33.7%) and 55.1% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 4 months and 10 months after the lows.
The business in plain English
Lam Research, based in Fremont, California, makes the equipment chipmakers use to build circuits on silicon wafers. Its specialties are deposition (laying down ultra-thin layers of insulating or conducting material), etch (carving away material to form circuit features) and wafer cleaning. Product lines include ALTUS and SABRE for metal films, VECTOR and Striker for insulating films, and Kiyo, Akara and Flex for etch. Customers are memory makers, foundries (contract chipmakers) and integrated device manufacturers (companies that design and make their own chips). Lam says demand from AI and cloud computing, plus the shift to 3D (stacked) chip designs, makes chipmaking more complex and raises demand for its tools.
In fiscal 2026, which ended June 28, 2026, revenue was $23.2 billion. Sales of new systems made up 64.1%. The other 35.9% came from customer support and other revenue: spare parts, service, upgrades for tools already in use, and older-generation equipment, new and refurbished, under the Reliant name. This side of the business draws on the large base of Lam machines already running in customers' factories.
Most sales come from Asia. China was the largest region at 33.8% of fiscal 2026 revenue, followed by Taiwan at 22.5%, Korea at 19.4% and Japan at 9.3%. The United States contributed 6.6%, Southeast Asia 5.4% and Europe 3%.
Price history
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LRCX +45.2% over the year to Nov 2, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Systems Revenue | $14.89B | 64.1% |
| Customer support-related revenue and other | $8.35B | 35.9% |
By geography
| China | $7.86B | 33.8% |
| Taiwan | $5.22B | 22.5% |
| Korea | $4.51B | 19.4% |
| Japan | $2.17B | 9.3% |
| United States | $1.53B | 6.6% |
| Southeast Asia | $1.25B | 5.4% |
| Europe | $698.7M | 3% |
Latest results
- In Q1 FY2027 (ended Sep 27, 2026), revenue was $8.22B, up 54.4% from a year earlier, and net income was $2.75B (+75.5%).
- For fiscal 2026, revenue was $23.23B (+26.0% year over year; +9.7% a year from FY2021 to FY2026) with a 31.3% net margin.
Financial health check
| Revenue growth a year (FY2021–FY2026) | +9.7% good |
|---|---|
| Operating margin | 35.3% good |
| Free cash flow margin | 21.1% good |
| Return on equity (FY2026) | 58.3% good |
| Return on assets (FY2026) | 30.9% good |
| Net cash (cash minus debt) | $3.70B good |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $14.63B | $3.91B | $3.24B |
| FY2022 | $17.23B | $4.61B | $2.55B |
| FY2023 | $17.43B | $4.51B | $4.68B |
| FY2024 | $14.91B | $3.83B | $4.26B |
| FY2025 | $18.44B | $5.36B | $5.41B |
| FY2026 | $23.23B | $7.27B | $4.89B |
Valuation snapshot
| Market value | $284.26B |
|---|---|
| P/E ratio | 39.5 |
| Dividend yield | 0.49% |
Rank among 1514 US companies
Market value at each year end
Lam Research’s market value went from $17.22B at the end of 2016 to $284.26B on Nov 2, 2026, about 16.5 times as much; since the end of 2025 it is up 32%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Nov 2, 2026 | $284.26B | +32.2% |
| 2025 | $215.01B | +131.3% |
| 2024 | $92.94B | -10.0% |
| 2023 | $103.23B | +80.1% |
| 2022 | $57.32B | -43.4% |
| 2021 | $101.26B | +48.9% |
| 2020 | $68.01B | +60.3% |
| 2019 | $42.42B | +100.8% |
| 2018 | $21.13B | -29.1% |
| 2017 | $29.81B | +73.1% |
| 2016 | $17.22B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| LRCX price data to Nov 2, 2026 | +33.3% | +45.2% | +55.2% | +33.0% | +39.1% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +33.3% |
| 2025 | +139.2% |
| 2024 | -6.9% |
| 2023 | +88.6% |
| 2022 | -40.7% |
| 2021 | +53.7% |
| 2020 | +64.0% |
| 2019 | +119.3% |
| 2018 | -24.4% |
| 2017 | +76.2% |
| 2016 | +35.2% |
| 2015 | +1.5% |
| 2014 | +46.8% |
| 2013 | +50.7% |
| 2012 | -2.4% |
| 2011 | -28.5% |
| 2010 | +32.1% |
| 2009 | +84.3% |
| 2008 | -50.8% |
| 2007 | -14.6% |
| 2006 | +41.9% |
| 2005 | +23.4% |
| 2004 | -10.5% |
| 2003 | +199.1% |
| 2002 | -53.5% |
| 2001 | +60.1% |
| 2000 | -61.0% |
| 1999 | +526.3% |
| 1998 | -39.1% |
| 1997 | +4.0% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 64.4% over that stretch · deepest drop along the way 73.3%, back to its old high 27 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 42.2% over that stretch · deepest drop along the way 43.7%, back to its old high 3.5 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 54.9% over that stretch · deepest drop along the way 55.1%, back to its old high 9.5 months after the low |
Insider activity
Form 4 filings from 2025-11-03 to 2026-11-03 (25 read): 0 open-market purchases and 60 sales ($134.9M), 54 of them under pre-arranged 10b5-1 trading plans.
| Date | Insider | Type | Value |
|---|---|---|---|
| Jul 2, 2026 | Timothy Archer President and CEO | sell (plan) | $11.7M |
| Mar 4, 2026 | Douglas R Bettinger Chief Financial Officer & EVP | sell | $11.2M |
| Sep 9, 2026 | Timothy Archer President and CEO | sell (plan) | $9.6M |
| Mar 2, 2026 | Douglas R Bettinger Chief Financial Officer & EVP | sell | $9.3M |
| Aug 6, 2026 | Timothy Archer President and CEO | sell (plan) | $9.0M |
Who owns it
Large shareholders (13G filings)
| Vanguard Capital Management | 7.49% | Mar 31, 2026 |
ETFs with the most weight in LRCX
| PSI Invesco Semiconductors ETF | 5.32% |
| TINY ProShares Nanotechnology ETF | 5.1% |
| CHPS Xtrackers Semiconductor Select Equity ETF | 4.81% |
| SOXX iShares Semiconductor ETF | 4.23% |
| SOXQ Invesco PHLX Semiconductor ETF | 4.21% |
| FTXL First Trust Nasdaq Semiconductor ETF | 4.17% |
| NXTE AXS Green Alpha ETF | 3.95% |
| SHOC Strive U.S. Semiconductor ETF | 3.88% |
What could go wrong
- China sales face US export controls. China supplied 33.8% of revenue in fiscal 2026. Lam says US export license rules and other trade actions have already hit those sales and are likely to cause serious further harm.
- Chip equipment spending rises and falls sharply. Chipmakers order tools in waves. When they cut factory spending, Lam's sales can drop fast. Revenue fell from $17.4 billion in fiscal 2023 to $14.9 billion in fiscal 2024 before rebounding.
- Reliance on a few large customers. Lam depends on a limited number of key customers. A spending cut or lost order from one of them, or mergers and alliances among customers, could noticeably reduce sales.
- Technology bets could miss the mark. Chipmaking keeps changing, with 3D designs and new materials. If Lam backs the wrong approach or launches late, it could lose market share and be left with outdated products and inventory.
- Revenue depends on a narrow product range. Lam's sales are concentrated in deposition, etch and clean equipment and related services. The company flags this lack of diversification as a risk: a setback in these markets would weigh heavily on results.
- Supply chain or factory disruptions. Lam relies on outside suppliers and outsourced providers, plus its primary manufacturing and research sites. Shortages or outages could delay shipments, raise costs and reduce revenue.
Recent events
- Quarterly results released
- Executive or board change
- Quarterly results released
- Quarterly results released
- Executive or board change
- Quarterly results released
- Change to shareholder rights; Executive or board change; Bylaws or fiscal year changed; Shareholder vote results
For income and retirement investors
Lam pays a small dividend: the yield was 0.46% as of October 27, 2026, so the shares offer little income. But the payout has risen for at least nine straight years through fiscal 2026, and dividends per share doubled from $0.52 in fiscal 2021 to $1.04 in fiscal 2026 (adjusted for the 2024 10-for-1 split). That used only 17.5% of earnings and 26% of free cash flow (cash left after investing in the business). Lam leans more on buybacks: $16.0 billion of share repurchases over fiscal 2022–2026, versus $5.2 billion in dividends. The share count fell 11.3% over five years.
Downturns have hit the stock hard. It fell 73.3% in the 2008 financial crisis and took 27 months to recover from its low. It dropped 43.7% in the 2020 COVID crash and 55.1% in the 2022 bear market, recovering in about 3.5 and 9.5 months. A single stock carries more risk than a diversified fund.
Questions investors ask
How does Lam Research make money?
Lam Research makes money by supplying chipmaking equipment and then supporting it. In fiscal 2026, which ended June 28, 2026, sales of new systems produced 64.1% of its $23.2 billion revenue. These tools deposit and etch the ultra-thin layers that form chip circuits, and clean wafers between steps. The other 35.9% came from customer support and other revenue: spare parts, service, upgrades and refurbished older equipment for factories already running Lam machines.
Does Lam Research raise its dividend every year?
Yes. Lam has raised its dividend at least nine years in a row through fiscal 2026. Dividends per share rose from $0.52 in fiscal 2021 to $1.04 in fiscal 2026, adjusted for the 2024 10-for-1 stock split, about 14.9% a year. The yield is low, though: 0.46% as of October 27, 2026. Lam returns more cash through buybacks (repurchases of its own shares): $16.0 billion over fiscal 2022–2026, versus $5.2 billion in dividends. Lam notes there is no guarantee dividends will continue.
How much of Lam Research's revenue comes from China?
China supplied 33.8% of Lam's revenue, about $7.9 billion, in fiscal 2026, which ended June 28, 2026. That made it the largest region, ahead of Taiwan at 22.5% and Korea at 19.4%. Only 6.6% came from the United States. Lam says US export license requirements and other trade actions have already affected its China sales and are likely to hurt them seriously.
How much has Lam Research stock fallen in past crashes?
Sharply. The shares fell 73.3% in the 2008 financial crisis and took 27 months to recover from their low. They dropped 43.7% in the 2020 COVID crash and 55.1% in the 2022 bear market. The deepest decline across 30 years of price history was 87.9%. Swings remain large: in the year to October 27, 2026, the stock returned 54.2% but also fell as much as 46.8% from a peak. Its beta, a measure of how strongly it moves with the market, was 3.14.
What is Lam Research's P/E ratio?
Lam's price-to-earnings (P/E) ratio was 41.8 as of October 27, 2026, based on fiscal 2026 diluted earnings of $5.76 per share. The P/E shows how many dollars investors pay for each dollar of annual profit. Profits have grown fast: fiscal 2026 net income rose 35.6% to $7.3 billion, and first-quarter fiscal 2027 net income jumped 75.5% from a year earlier. A high P/E can leave the stock exposed if the chip equipment cycle turns down.