Lam Research Corporation (NASDAQ:LRCX), a global leader in wafer fabrication equipment and services for the semiconductor industry, reported strong results for the June 2025 quarter. Revenue reached $5.17 billion, with a gross margin of $2.59 billion, or 50.1% of revenue. Operating income was 33.7% of revenue, and net income rose to $1.72 billion, translating to $1.35 per diluted share on a U.S. GAAP basis. These figures reflect sequential growth compared to the March 2025 quarter, which reported $4.72 billion in revenue and $1.33 billion in net income, or $1.03 per share. President and CEO Tim Archer highlighted Lam’s solid execution, strong margins, and record EPS, underscoring the company’s strategic focus and product differentiation amid rising complexity in AI-driven semiconductor manufacturing.
Stock Rating: Buy — Positioned for Long-Term Growth
We maintain a Buy rating on the company’s stock at the closing price of USD 128.13 per share on September 25, 2025. Multiple structural and strategic growth catalysts back this rating. The company stands at the forefront of critical semiconductor manufacturing technologies, particularly in deposition and etch, which are increasingly vital as AI and advanced computing demand surge. Lam’s innovative product portfolio, robust margin performance, and consistent operational execution position it to outperform peers. As chipmakers ramp investments in advanced nodes and memory technologies, Lam is well-positioned to capture increasing capital intensity. The combination of strong financials, record earnings per share, and long-term industry tailwinds supports a bullish outlook for the stock.
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