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Lam Research (NAS:LRCX) Profitability Rank

: 10 (As of Jun. 2023)
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Lam Research has the Profitability Rank of 10. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

Lam Research's Operating Margin % for the quarter that ended in Jun. 2023 was 26.70%. As of today, Lam Research's Piotroski F-Score is 6.


Competitive Comparison

For the Semiconductor Equipment & Materials subindustry, Lam Research's Profitability Rank, along with its competitors' market caps and Profitability Rank 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 Profitability Rank Distribution

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

* The bar in red indicates where Lam Research's Profitability Rank falls in comparison to its industry or sector. The grey bar indicates the Profitability Rank's extreme value range as defined by GuruFocus.



Lam Research Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Lam Research has the Profitability Rank of 10. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Lam Research's Operating Margin % for the quarter that ended in Jun. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2023 ) / Revenue (Q: Jun. 2023 )
=856.347 / 3207.257
=26.70 %

* 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.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Lam Research has an F-score of 6 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Good Sign:

Lam Research Corp operating margin is expanding. Margin expansion is usually a good sign.

4. Consistency of the profitability

5. Predictability Rank


Lam Research Profitability Rank Related Terms

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


Lam Research (NAS:LRCX) Business Description

Lam Research logo
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, Intel, SK Hynix, and Taiwan Semiconductor Manufacturing.
Executives
John M. Dineen director MERRIMACK PHARMACEUTICALS, INC., ONE KENDALL SQUARE, SUITE B7201, CAMBRIDGE MA 02139
Christina Corrreia officer: CVP , Chief Accounting Officer 4650 CUSHING PKWY, FREMONT CA 94538
Neil J Fernandes officer: Senior Vice President 4650 CUSHING PKWY, FREMONT CA 94538
Ho Kyu Kang director 4650 CUSHING PKWY, FREMONT CA 94538
Jyoti Mehra director 4650 CUSHING PARKWAY, FREMONT CA 94538
Ava Hahn officer: Chief Legal Officer & SVP 4650 CUSHING PARKWAY, C/O LAM RESEARCH, FREMONT CA 94538
Sohail U Ahmed director 4650 CUSHING PARKWAY, FREMONT CA 94538
Bethany Mayer director C/O IXIA, 26601 W. AGOURA ROAD, CALABASAS CA 91302
Leslie F Varon director 110 WASHINGTON STREET, SUITE 1300, CONSHOHOCKEN PA 19428
Kevin Jennings officer: Senior Vice President
Scott Gerald Meikle officer: Senior Vice President 1007 N. 17TH STREET, BOISE ID 83702
Vahid Vahedi officer: Group Vice President LAM RESEARCH CORPORATION, 4650 CUSHING PARKWAY, FREMONT CA 94538
Seshasayee Varadarajan officer: Group Vice President LAM RESEARCH CORPORATION, 4650 CUSHING PARKWAY, FREMONT CA 94538
Young Bum Koh director LAM RESEARCH CORPORATION, 4650 CUSHING PARKWAY, FREMONT CA 94538
Timothy Archer officer: Chief Operating Officer 4650 CUSHING PARKWAY, FREMONT CA 94538