Lam Research (NasdaqGS:LRCX) Sinks 13% In A Week As Trade War Fears Grip Semiconductor Stocks

Lam Research (NasdaqGS:LRCX) saw its share price decline by 13% over the past week, a period that coincided with significant market turmoil prompted by tariffs announced by the Trump administration. The broader market also experienced significant drops, with the Nasdaq Composite entering bear market territory. As fears of a global trade war intensified, semiconductor stocks, including Lam Research, were particularly hard hit, likely contributed by investor anxiety over potential impacts on global supply chains. The overall market decline of 6% underscored widespread uncertainty, affecting tech stocks across the board, amplifying pressure on companies like Lam Research.

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Over the past five years, Lam Research has delivered a total shareholder return of 167.83%, reflecting significant growth that far outpaces market challenges. Key innovations, such as the launch of the ALTUS® Halo and Akara®, have positioned Lam as a leader in advanced semiconductor manufacturing, addressing industry demands for precision and scalability. This period also saw the company enhance its financial performance, with revenues increasing, exemplified by Q1 and Q2 2025 results reporting over US$4 billion each quarter. These financial milestones underscore Lam's resilient execution of growth initiatives.

Lam's concentrated R&D investments and technological advancements, coupled with share repurchases totalling millions, underscore its commitment to shareholder value. The completion of a US$650 million buyback program and significant dividend increases have further bolstered returns. Despite industry challenges, including export controls and customer spending limitations, Lam's comprehensive strategies in technology and finance have firmly sustained its competitive edge over the long term.

Assess Lam Research's previous results with our detailed historical performance reports.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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