LRCX (Lam Research) Quality Rank

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

LRCX Lam Research Corp LRCX
85 GF Score
Price $346.10
GF Value $132.62
Valuation Significantly Overvalued
! 1 Warning Sign
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What is Lam Research Quality Rank?

The Quality Rank measures the business quality of a company relative to other companies. It is ranked based on the strength of the balance sheet, as well as the profitability and growth of the business. The ranked companies are split in equal numbers and then ranked from 1 to 10, with 10 being the highest.

The rank of balance sheet (30%)

The rank of balance sheet is done through the ranking of:
  • Interest coverage
  • Zscore
  • Debt to revenue
  • Equity to asset
  • Cash to debt

The rank of Profitability (70%)

The ranking of Profitability is done by ranking:
  • Operating margin mean rank (10-year mean average profit margine)
  • Operating margin growth rank
  • Fscore
  • Predictability rank
  • Revenue growth rank (5 year), when the growth is higher than 25%, set it as 25%
  • Num of year profit (number of years that is profitable within the last 10 years)
  • ROIC median (10-year median of ROIC)

Lam Research Quality Rank Related Terms

LRCX
85GF Score
Lam Research Corp LRCX
Quality Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Is Lam Research (LRCX) Overvalued in 2026?

Based on GuruFocus' analysis, Lam Research stock appears to be overvalued. The current stock price of $346.10 is trading 161% above its estimated GF Value™ of $132.62. GuruFocus considers Lam Research to be Significantly Overvalued.

Key valuation signals for LRCX:

  • Quality Rank:
  • GF Value™: $132.62 vs. price of $346.10 (161% above fair value)
  • GF Score™: 85/100 with 1 warning sign

No single metric tells the full story. See the LRCX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Lam Research Business Description

Address 4650 Cushing Parkway, Fremont, CA, USA, 94538
Lam Research is one of the largest semiconductor wafer fabrication equipment manufacturers in the world. It specializes in deposition and etch, which entail the buildup of layers on a semiconductor and the subsequent selective removal of patterns from each layer. Lam holds the top market share in etch and holds the clear second share in deposition. It is more exposed to memory chipmakers for DRAM and NAND chips. It counts as top customers the largest chipmakers in the world, including TSMC, Samsung, Intel, and Micron.
85GF Score

Get the complete analysis for LRCX

Quality Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$346.10
Price
$132.62
GF Value