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Lam Research PS Ratio

: 5.38 (As of Today)
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The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Lam Research's share price is $588.23. Lam Research's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2021 was $109.36. Hence, Lam Research's PS Ratio for today is 5.38.

The historical rank and industry rank for Lam Research's PS Ratio or its related term are showing as below:

NAS:LRCX' s PS Ratio Range Over the Past 10 Years
Min: 1.39   Med: 2.76   Max: 7.38
Current: 5.39

1.39
7.38

During the past 13 years, Lam Research's highest PS Ratio was 7.38. The lowest was 1.39. And the median was 2.76.

NAS:LRCX's PS Ratio is ranked lower than
71% of the 864 Companies
in the Semiconductors industry.

( Industry Median: 2.76 vs. NAS:LRCX: 5.39 )

Lam Research's Revenue per Sharefor the three months ended in Sep. 2021 was $30.18. Its Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2021 was $109.36.

Good Sign:

Lam Research Corp has shown predictable revenue and earnings growth.

During the past 12 months, the average Revenue per Share Growth Rate of Lam Research was 46.50% per year. During the past 3 years, the average Revenue per Share Growth Rate was 18.00% per year. During the past 5 years, the average Revenue per Share Growth Rate was 21.40% per year. During the past 10 years, the average Revenue per Share Growth Rate was 16.40% per year.

During the past 13 years, Lam Research's highest 3-Year average Revenue per Share Growth Rate was 145.60% per year. The lowest was -22.10% per year. And the median was 15.20% per year.

Back to Basics: PS Ratio


Lam Research PS Ratio Historical Data

The historical data trend for Lam Research's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Lam Research Annual Data
Trend Jun12 Jun13 Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.24 2.82 3.11 4.80 6.47

Lam Research Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
PS Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.45 5.82 6.55 6.47 5.20

Competitive Comparison

For the Semiconductor Equipment & Materials subindustry, Lam Research's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

Lam Research PS Ratio Distribution

For the Semiconductors industry and Technology sector, Lam Research's PS Ratio distribution charts can be found below:

* The bar in red indicates where Lam Research's PS Ratio falls into.



Lam Research PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Lam Research's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=588.23/109.361
=5.38

Lam Research's Share Price of today is $588.23.
Lam Research's Revenue per Share for the trailing twelve months (TTM) ended in Sep. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was $109.36.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Lam Research  (NAS:LRCX) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Lam Research PS Ratio Related Terms

Thank you for viewing the detailed overview of Lam Research's PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Lam Research Business Description

Lam Research logo
Industry
Technology » Semiconductors NAICS : 333249 SIC : 3559
Address
4650 Cushing Parkway, Fremont, CA, USA, 94538
Lam Research manufactures equipment used to fabricate semiconductors. The firm is focused on the etch, deposition, and clean markets, which are key steps in the semiconductor manufacturing process, especially for 3D NAND flash storage, advanced DRAM, and leading-edge logic/foundry chipmakers. Lam's flagship Kiyo, Vector, and Sabre products are sold in all major geographies to key customers such as Samsung Electronics, Micron, and Taiwan Semiconductor Manufacturing.
Executives
Archer Timothy officer: President and CEO 4650 CUSHING PARKWAY FREMONT CA 94538
Bettinger Douglas R officer: Chief Financial Officer & EVP C/O LAM RESEARCH CORPORATION 4650 CUSHING PARKWAY FREMONT CA 94538
Meikle Scott Gerald officer: Senior Vice President 1007 N. 17TH STREET BOISE ID 83702
Gottscho Richard A officer: Executive Vice President & CTO 4650 CUSHING PARKWAY FREMONT CA 94560
Lord Patrick J officer: Executive Vice President C/O LAM RESEARCH CORP 4650 CUSHING PARKWAY FREMONT CA 94538
Jennings Kevin officer: Senior Vice President PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: JENNINGS KEVIN a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Vahedi Vahid officer: Senior Vice President LAM RESEARCH CORPORATION 4650 CUSHING PARKWAY FREMONT CA 94538
El Mansy Youssef A director PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN"> Ownership Information: EL MANSY YOUSSEF A a.header:link {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:visited {color: #3b4fae; font-weight: bold; text-decoration: underline;} a.header:hover {color: #191970;}
Ahmed Sohail U director 4650 CUSHING PARKWAY FREMONT CA 94538
Hahn Ava officer: Chief Legal Officer & SVP 4650 CUSHING PARKWAY C/O LAM RESEARCH FREMONT CA 94538
Varadarajan Seshasayee officer: Senior Vice President LAM RESEARCH CORPORATION 4650 CUSHING PARKWAY FREMONT CA 94538
Talwalkar Abhijit Y director ONE AMD PLACE PO BOX 3453 SUNNYVALE CA 94088
Tsai Lih Shyng (rick) director 4650 CUSHING PARKWAY FREMONT CA 94538
Mayer Bethany director C/O IXIA 26601 W. AGOURA ROAD CALABASAS CA 91302
Varon Leslie F director C/O DENTSPLY SIRONA INC 13320 BALLANTYNE CORPORATE PLACE CHARLOTTE NC 28277

Lam Research Headlines

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