Lam Research Corporation

XTRA:LAR0 Stock Report

Market Cap: €349.0b

Lam Research Valuation

Is LAR0 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of LAR0 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: LAR0 (€302.45) is trading above our estimate of future cash flow value (€126.67)

Significantly Below Future Cash Flow Value: LAR0 is trading above our estimate of future cash flow value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for LAR0?

Key metric: As LAR0 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for LAR0. This is calculated by dividing LAR0's market cap by their current earnings.
What is LAR0's PE Ratio?
PE Ratio60x
EarningsUS$6.71b
Market CapUS$402.43b

Price to Earnings Ratio vs Peers

How does LAR0's PE Ratio compare to its peers?

The above table shows the PE ratio for LAR0 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average74.4x
AIXA AIXTRON
107x33.96%€6.1b
IFX Infineon Technologies
93.7x30.97%€97.6b
SMHN SUSS MicroTec
50.6x36.15%€1.7b
AMAT Applied Materials
46.4x18.53%US$396.4b
LAR0 Lam Research
60x19.30%€402.4b

Price-To-Earnings vs Peers: LAR0 is good value based on its Price-To-Earnings Ratio (60x) compared to the peer average (74.4x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does LAR0's PE Ratio compare vs other companies in the European Semiconductor Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
LAR0 60.0xIndustry Avg. 57.9xNo. of Companies4PE020406080100+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: LAR0 is expensive based on its Price-To-Earnings Ratio (60x) compared to the European Semiconductor industry average (57.9x).

Price to Earnings Ratio vs Fair Ratio

What is LAR0's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

LAR0 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio60x
Fair PE Ratio64.5x

Price-To-Earnings vs Fair Ratio: LAR0 is good value based on its Price-To-Earnings Ratio (60x) compared to the estimated Fair Price-To-Earnings Ratio (64.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst LAR0 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€302.45
€280.14
-7.38%
12.74%€368.18€190.59n/a32
Jun ’27€270.95
€271.95
+0.37%
11.47%€331.14€189.22n/a32
May ’27€219.35
€265.21
+20.91%
10.16%€328.52€187.73n/a31
Apr ’27€192.56
€238.56
+23.89%
9.96%€282.04€173.56n/a31
Mar ’27€201.45
€232.71
+15.52%
10.02%€275.28€169.40n/a31
Feb ’27€205.00
€228.07
+11.25%
12.70%€274.04€137.44n/a31
Jan ’27€150.26
€144.59
-3.77%
14.44%€178.79€97.91n/a29
Dec ’26€133.52
€137.58
+3.04%
14.60%€172.28€72.36n/a30
Nov ’26€136.74
€135.68
-0.78%
14.49%€171.72€72.12n/a30
Oct ’26€116.36
€99.31
-14.65%
16.78%€136.29€68.14n/a30
Sep ’26n/a
€92.94
0%
12.68%€115.25€68.30n/a30
Aug ’26n/a
€93.74
0%
12.31%€116.59€69.09n/a31
Jul ’26n/a
€79.29
0%
14.23%€106.03€59.37n/a31
Jun ’26n/a
€79.96
0%
13.09%€110.73€62.01€270.9530
May ’26n/a
€79.17
0%
12.80%€110.25€61.74€219.3530
Apr ’26n/a
€88.52
0%
12.38%€115.78€69.47€192.5630
Mar ’26n/a
€91.90
0%
12.59%€120.16€72.10€201.4529
Feb ’26n/a
€87.77
0%
10.48%€106.12€72.35€205.0030
Jan ’26n/a
€88.81
0%
11.63%€109.60€72.11€150.2630
Dec ’25n/a
€87.96
0%
11.75%€107.73€70.88€133.5229
Nov ’25n/a
€85.97
0%
11.40%€104.81€68.96€136.7429
Oct ’25€71.67
€90.61
+26.42%
13.91%€119.00€69.51€116.3629
Sep ’25€73.19
€94.30
+28.84%
12.71%€119.53€74.87n/a28
Aug ’25€79.06
€97.52
+23.35%
11.75%€122.79€76.92n/a28
Jul ’25€98.11
€94.43
-3.75%
12.00%€123.76€63.51n/a29
Jun ’25€83.91
€91.44
+8.97%
10.35%€111.38€63.12n/a29
€303.93
Fair Value
0.5% undervalued intrinsic discount
32
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/06/11 19:13
End of Day Share Price 2026/06/11 00:00
Earnings2026/03/29
Annual Earnings2025/06/29

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Lam Research Corporation is covered by 51 analysts. 33 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Warren LauAletheia Analyst Network Limited
James KelleherArgus Research Company
Christopher MuseBarclays