Lam Research (LRCX)
Key Statistics
EV/EBIT = 20.6x
ROE = 49.12%
Debt/Equity = 59%
FCF Yield = 5.1%
Dividend Yield = 1.3%
Market Cap = $95.45 billion
The Company
Lam Research (LRCX) is a key player in the semiconductor industry, supplying advanced wafer fabrication equipment and services that are vital to creating semiconductor devices. Specializing in front-end wafer processing, the company’s tools are used to build the active components and wiring of chips.
Their products enable the production of smaller, faster, and more energy-efficient semiconductors, which power technologies like smartphones, computers, and other electronic devices. Lam Research’s equipment supports chipmakers in achieving the precision and innovation required for modern electronics.
The company offers a variety of tools critical to semiconductor manufacturing. Their etch systems use plasma to remove material from wafers with extreme precision, while deposition systems apply thin layers of material to form semiconductor components. Clean systems ensure the wafers are free from contaminants, improving reliability and performance. Beyond equipment, Lam Research provides installation, maintenance, and technical support to help customers optimize their manufacturing processes. By driving advancements in chip production, Lam Research plays a central role in powering technological innovation and meeting the demands of the digital age.
Lam Research, founded in 1980 by engineer David K. Lam, began by developing plasma etching tools to address the challenges of semiconductor miniaturization. The company introduced its first product, the AutoEtch 480, in 1981, focusing on automated etching processes.
Lam went public in 1984, trading on Nasdaq under the symbol LRCX. By the mid-1980s, it expanded globally, establishing support centers across Europe, Asia, and the United States. In 1997, Lam acquired OnTrak Systems, which specialized in chemical-mechanical planarization (CMP) cleaning, further enhancing its portfolio of semiconductor manufacturing technologies.