Should I Buy LRCX Stock in 2026?

Data-driven analysis and honest assessment for Lam Research Corp

Analysis Updated:
CAUTIONSeveral concerns warrant careful consideration

Current Price: $233.89P/E: 49.0

Decision Score

4.3/10

Weak

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)3/10

High P/E of 49.0 indicates premium

Growth (20%)5/10

Slow growth of 0%

Profitability (20%)4/10

Thin margins (0% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)4/10

Low FCF yield of 1.7%

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$233.89

P/E Ratio

48.99

Revenue Growth

0.2%

Profit Margin

0.3%

Market Cap

$300.3B

Dividend Yield

0.00%

How LRCX Compares to Competitors

Understanding how LRCX stacks up against peers helps inform your investment decision.

How LRCX Compares to Peers

Upcoming Events for LRCX

+5 Reasons TO Buy LRCX

1. Large-cap stability and market leadership

moderate

With market cap over $100B, this company has established leadership and resources to weather cycles.

-5 Reasons NOT to Buy LRCX

1. Thin profit margins of 0.3%

high risk

Low margins provide little cushion against cost increases or pricing pressure.

2. Expensive valuation at 49x earnings

medium risk

P/E of 49 is significantly above averages. High expectations leave little room for disappointment.

3. High PEG ratio of 2.2

medium risk

PEG above 2 suggests expensive relative to growth rate.

4. Minimal revenue growth

low risk

Growth of 0.2% barely keeps pace with inflation.

5. Low free cash flow yield of 1.7%

low risk

Limited cash generation means most value comes from future growth expectations.

Who Should Buy LRCX?

Investment Profile

Risk Level

Medium

Recommended Holding Period

3-5 years

Best For:

  • Momentum Traders

    High-growth profile attracts momentum

Not Suitable For:

  • Growth Investors

    Limited 0% growth may disappoint

  • Value Investors

    Premium P/E of 49 doesn't fit value criteria

  • Income-Focused Retirees

    Low 0.0% yield

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Pro tip: Compare LRCX directly with competitors using our comparison tool to see which stock better fits your criteria.

Get the Full Picture

Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for LRCX

Frequently Asked Questions

What is LRCX stock price today?

LRCX (Lam Research Corp) stock is trading at $233.89 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

Is LRCX stock going up or down today?

LRCX stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

Should I buy LRCX stock now?

The decision to buy LRCX depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

Is LRCX a buy, hold, or sell right now?

Our AI-powered analysis provides buy/hold/sell recommendations for LRCX based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

Is LRCX stock overvalued or undervalued?

LRCX currently trades at a P/E ratio of 48.99, which may indicate premium valuation. Our DCF calculator provides intrinsic value estimates to help determine if LRCX is fairly priced.

What is LRCX's P/E ratio?

LRCX has a price-to-earnings (P/E) ratio of 48.99, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

What is LRCX's market cap?

LRCX (Lam Research Corp) has a market capitalization of $300.28 billion, making it a large-cap stock.

What is LRCX's price to book ratio?

LRCX trades at a price-to-book (P/B) ratio of 29.43, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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Disclaimer

This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.