
Lam Research (LRCX) Stock Forecast & Price Target
Lam Research (LRCX) Analyst Ratings
Bulls say
Lam Research's positive outlook is supported by robust financial performance, highlighted by a 36% quarter-over-quarter growth in DRAM revenue to $772 million, driven by ongoing technological transitions and increased demand for high-bandwidth memory. The company's services revenue also experienced a healthy increase of 12% quarter-over-quarter, reaching $2.0 billion, bolstered by upgrades in NAND-related processes and Reliant systems. Furthermore, the outlook for worldwide wafer fabrication equipment (WFE) shows promising growth, with projected CY26 figures estimated at $135 billion, marking a significant 23% year-over-year increase driven by market share expansions and strong positions in critical semiconductor segments.
Bears say
Lam Research's financial outlook is negatively impacted by several key factors, including a notable decrease in its gross margin to 49.7%, attributed to a less favorable customer mix with declining revenue from China. The company is also facing heightened risks from foundry spending cuts, particularly from major clients like TSMC and Intel, which could significantly affect wafer fabrication equipment demand. Additionally, ongoing export controls and a reduction in leading-edge demand are expected to hinder revenue growth and limit order volumes, particularly in light of anticipated pushes or cancellations due to insufficient cleanroom capacity.
This aggregate rating is based on analysts' research of Lam Research and is not a guaranteed prediction by Public.com or investment advice.
Lam Research (LRCX) Analyst Forecast & Price Prediction
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