Lam Research Corporation · LRCX · FY2026 Q3 · Calendar Q2 2026

Lam Research Q3 FY2026: Record Revenue and EPS Beat on AI-Driven Chip Demand

Lam Research delivered record Q3 FY2026 results with $5.84B revenue and $1.47 EPS, both exceeding guidance and consensus estimates. AI-driven demand for higher-layer NAND, 1C DRAM, and advanced packaging is the primary growth engine, pushing Lam's served available market share to the mid-30% range of a wafer-fab-equipment market now estimated at $140 billion with an upside bias. Gross margin guidance stepped up to 50.5% from the prior quarter's approximately 49%, and the Customer Support Business Group crossed $2 billion in a single quarter for the first time. The stock initially sold off 2.2% on the report but has since drifted plus 16.9%, suggesting the market progressively validated the growth narrative. The central question for investors is whether AI-driven memory and logic capex can sustain this trajectory into 2027, particularly given clean-room constraints and declining…

Reported After market closeNASDAQTechnology $364.68B market cap
100quality score

Company context

Snapshot as of publication

Lam Research Corporation is a prominent supplier of equipment vital for semiconductor processing, encompassing its design, production, sales, repair, and ongoing maintenance. These sophisticated systems are fundamental for the creation of integrated circuits. The company's extensive product catalog features a variety of deposition technologies. For tungsten metallization, they provide ALTUS systems that deposit conformal films. SABRE products excel in electrochemical deposition, crucial for copper interconnect transitions and enabling copper damascene manufacturing. SOLA utilizes ultraviolet thermal processing for film treatments, while VECTOR delivers plasma-enhanced chemical vapor deposition (CVD) and atomic layer deposition (ALD) solutions. Furthermore, SPEED addresses gapfill applications with its high-density plasma CVD products, and Striker is engineered for single-wafer atomic layer deposition of dielectric films.…

Earnings scorecard

Reported versus consensus
Reported EPS $1.47 Consensus $1
EPS surprise +8.1% Reported versus consensus
Reported revenue $5.84B Consensus $5.75B
Revenue surprise +1.6% Reported versus consensus

Earnings History

Estimate Beat Miss Match
LRCX EPS earnings history estimate and actual scatter chart 9 reported fiscal quarters and 2 future estimate-only quarters. Q3 '24 estimate $7.30 Q3 '24 actual $0.78, miss Q4 '24 estimate $0.76 Q4 '24 actual $0.81, beat Q1 '25 estimate $0.81 Q1 '25 actual $0.86, beat Q4 '25 estimate $1.21 Q4 '25 actual $1.33, beat Q1 '26 estimate $1.22 Q1 '26 actual $1.26, beat Q2 '26 estimate $1.17 Q2 '26 actual $1.27, beat Q3 '26 estimate $1.36 Q3 '26 actual $1.47, beat Q4 '26 estimate $1.69 Q4 '26 actual $1.82, beat Q1 '27 estimate $1.84 Q2 '27 estimate $1.99
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Analyst Consensus ?

ConsensusBuy47 ratings
Bullish3880.9%
Neutral817.0%
Bearish12.1%

1 unmapped firm rating excluded from the percentages.

Analyst 52W Price Targets

$298.01Previous close
$54.3Low
$238.36Average
$575High

Latest persisted target per named analyst; persisted previous close from FN2's market snapshot as of Sep 11, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
UBS Buy BuyMaintainSep 1, 2026
Mizuho Outperform OutperformMaintainAug 25, 2026
Wells Fargo Overweight OverweightMaintainJul 30, 2026
Needham Buy BuyMaintainJul 30, 2026
Morgan Stanley Overweight OverweightMaintainJul 30, 2026
Jefferies Buy BuyMaintainJul 30, 2026
B. Riley Securities Buy BuyMaintainJul 30, 2026
Evercore ISI Group Outperform OutperformMaintainJul 20, 2026
Stifel Buy BuyMaintainJul 10, 2026
TD Cowen Buy BuyMaintainJul 9, 2026
Susquehanna Positive PositiveMaintainJun 30, 2026
Cantor Fitzgerald Overweight OverweightMaintainJun 29, 2026
B of A Securities Buy BuyMaintainJun 23, 2026
Citigroup Buy BuyMaintainJun 17, 2026
Oppenheimer Outperform OutperformMaintainJun 15, 2026
Barclays Equal Weight Equal WeightMaintainJun 11, 2026
RBC Capital Outperform OutperformMaintainApr 23, 2026
JP Morgan Overweight OverweightMaintainApr 23, 2026
Goldman Sachs Buy BuyMaintainJan 29, 2026
Deutsche Bank Buy BuyMaintainJan 21, 2026
Bernstein Outperform OutperformMaintainJan 12, 2026
Keybanc Sector Weight OverweightDowngradeSep 23, 2025
Argus Research Buy BuyMaintainAug 1, 2025
Raymond James Outperform OutperformMaintainJul 31, 2025
TD Securities Buy BuyMaintainApr 24, 2025
Wolfe Research Peer Perform OutperformDowngradeJan 15, 2025
Summit Insights Group Buy HoldUpgradeOct 20, 2022
DA Davidson Neutral NeutralMaintainOct 20, 2022
Berenberg Buy BuyMaintainOct 14, 2022
Piper Sandler Neutral NeutralMaintainMay 26, 2022
Exane BNP Paribas Neutral OutperformDowngradeSep 7, 2021
Credit Suisse Outperform OutperformMaintainApr 16, 2021
Cowen & Co. Outperform OutperformMaintainApr 14, 2021
B. Riley FBR Buy NeutralUpgradeJul 21, 2020
Nomura Buy BuyMaintainApr 23, 2020
CFRA Hold HoldMaintainApr 23, 2020
Stifel Nicolaus Buy BuyMaintainJan 30, 2020
B. Riley Buy BuyMaintainJan 30, 2020
Citi Buy BuyMaintainOct 24, 2019
Bank of America Neutral BuyDowngradeAug 28, 2018
Nomura Instinet Buy NeutralUpgradeDec 7, 2017
Instinet Buy NeutralUpgradeDec 7, 2017
Argus Buy BuyMaintainOct 19, 2017
Pacific Crest Overweight Sector WeightUpgradeMar 16, 2017
CLSA Buy OutperformMaintainSep 25, 2015
Standpoint Research Hold BuyDowngradeMay 22, 2013
PiperJaffray Overweight OverweightMaintainJan 24, 2013
Bank oferica Underperform UnderperformMaintainApr 19, 2012
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Named analyst price targets

Upside is calculated against the persisted previous close $298.01. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
Berenberg BankAnalyst unavailable$420$320.42 +40.9%Sep 9, 2026
UBSAnalyst unavailable$425$301.49 +42.6%Sep 1, 2026
Mizuho SecuritiesAnalyst unavailable$365$310.17 +22.5%Aug 25, 2026
Deutsche BankMelissa Weathers$320$303.82 +7.4%Jul 30, 2026
Wells FargoJoe Quatrochi$350$252.35 +17.4%Jul 30, 2026
JefferiesAnalyst unavailable$335$252.35 +12.4%Jul 30, 2026
HSBCAditha Metuku$333$305.21 +11.7%Jul 27, 2026
Evercore ISIAnalyst unavailable$355$315.12 +19.1%Jul 20, 2026
Stifel NicolausAnalyst unavailable$425$353.17 +42.6%Jul 10, 2026
Morgan StanleyShane Brett$404$362.28 +35.6%Jul 6, 2026
SusquehannaMehdi Hosseini$475$410.91 +59.4%Jun 30, 2026
Cantor FitzgeraldAnalyst unavailable$500$379.09 +67.8%Jun 29, 2026
Stifel NicolausAnalyst unavailable$500$379.09 +67.8%Jun 29, 2026
Wells FargoJoe Quatrochi$450$389.04 +51.0%Jun 22, 2026
OppenheimerAnalyst unavailable$400$366.81 +34.2%Jun 15, 2026
BarclaysTom O'Malley$335$321.8 +12.4%Jun 11, 2026
Cantor FitzgeraldAnalyst unavailable$425$327.16 +42.6%Jun 10, 2026
Raymond JamesAnalyst unavailable$425$327.16 +42.6%Jun 10, 2026
UBSAnalyst unavailable$375$324.45 +25.8%Jun 9, 2026
Wells FargoAaron Rakers$575$318.18 +92.9%Jun 1, 2026
Mizuho SecuritiesAnalyst unavailable$380$322.68 +27.5%May 27, 2026
Morgan StanleyAnalyst unavailable$331$284.72 +11.1%May 18, 2026
Seaport GlobalJay Goldberg$300$258.57 +0.7%May 4, 2026
OppenheimerEdward Yang$330$262.78 +10.7%Apr 23, 2026
RBC CapitalMitch Steves$310$267.24 +4.0%Apr 23, 2026
Stifel NicolausBrian Chin$325$266 +9.1%Apr 23, 2026
SusquehannaAnalyst unavailable$385$265.55 +29.2%Apr 23, 2026
Goldman SachsAnalyst unavailable$290$265.55 -2.7%Apr 23, 2026
BarclaysTom O'Malley$275$265.55 -7.7%Apr 23, 2026
Deutsche BankMelissa Weathers$300$265.87 +0.7%Apr 15, 2026
SusquehannaMehdi Hosseini$350$258.76 +17.4%Apr 9, 2026
BarclaysTom O'Malley$255$215.23 -14.4%Mar 10, 2026
Argus ResearchAnalyst unavailable$280$235.55 -6.0%Feb 3, 2026
UBSAnalyst unavailable$320$244.92 +7.4%Jan 29, 2026
UBSTimothy Arcuri$275$242.89 -7.7%Jan 29, 2026
RBC CapitalAnalyst unavailable$290$237.22 -2.7%Jan 29, 2026
Deutsche BankAnalyst unavailable$290$242.24 -2.7%Jan 29, 2026
Stifel NicolausBrian Chin$280$244.24 -6.0%Jan 29, 2026
Evercore ISIAnalyst unavailable$275$243.5 -7.7%Jan 29, 2026
BernsteinAnalyst unavailable$275$239.58 -7.7%Jan 29, 2026
SusquehannaMehdi Hosseini$325$239.58 +9.1%Jan 29, 2026
NeedhamAnalyst unavailable$300$247.85 +0.7%Jan 29, 2026
Cantor FitzgeraldAnalyst unavailable$320$239.58 +7.4%Jan 29, 2026
UBSAnalyst unavailable$300$238.76 +0.7%Jan 29, 2026
Mizuho SecuritiesAnalyst unavailable$295$239.58 -1.0%Jan 29, 2026
Goldman SachsAnalyst unavailable$262$239.58 -12.1%Jan 29, 2026
BarclaysTom O'Malley$250$239.58 -16.1%Jan 29, 2026
OppenheimerAnalyst unavailable$265$239.58 -11.1%Jan 29, 2026
Mizuho SecuritiesAnalyst unavailable$265$239.84 -11.1%Jan 28, 2026
Deutsche BankMelissa Weathers$260$222.41 -12.8%Jan 21, 2026
UBSAnalyst unavailable$255$222.96 -14.4%Jan 20, 2026
NeedhamCharles Shi$250$222.96 -16.1%Jan 20, 2026
Morgan StanleyAnalyst unavailable$211$220.78 -29.2%Jan 15, 2026
BarclaysTom O'Malley$195$208.79 -34.6%Jan 15, 2026
Wells FargoAnalyst unavailable$250$208.79 -16.1%Jan 15, 2026
RBC CapitalAnalyst unavailable$260$208.79 -12.8%Jan 14, 2026
Stifel NicolausAnalyst unavailable$250$209.03 -16.1%Jan 14, 2026
BernsteinAnalyst unavailable$225$220.08 -24.5%Jan 12, 2026
SusquehannaMehdi Hosseini$250$218.36 -16.1%Jan 12, 2026
Goldman SachsAnalyst unavailable$180$209.78 -39.6%Jan 9, 2026
Mizuho SecuritiesAnalyst unavailable$220$200.96 -26.2%Jan 9, 2026
Cantor FitzgeraldAnalyst unavailable$265$203.08 -11.1%Jan 8, 2026
UBSAnalyst unavailable$200$175.26 -32.9%Dec 23, 2025
Mizuho SecuritiesVijay Rakesh$200$163.26 -32.9%Dec 17, 2025
Cantor FitzgeraldAnalyst unavailable$210$162.86 -29.5%Dec 16, 2025
JefferiesAnalyst unavailable$200$160.57 -32.9%Dec 15, 2025
Morgan StanleyShane Brett$158$158.98 -47.0%Dec 2, 2025
UBSTimothy Arcuri$175$150.38 -41.3%Nov 25, 2025
Cantor FitzgeraldAnalyst unavailable$170$145.59 -43.0%Oct 23, 2025
NeedhamAnalyst unavailable$160$145.78 -46.3%Oct 23, 2025
OppenheimerEdward Yang$200$141.25 -32.9%Oct 23, 2025
Stifel NicolausAnalyst unavailable$160$141.25 -46.3%Oct 23, 2025
SusquehannaAnalyst unavailable$200$144.17 -32.9%Oct 23, 2025
UBSAnalyst unavailable$165$141.25 -44.6%Oct 23, 2025
Mizuho SecuritiesAnalyst unavailable$170$144.17 -43.0%Oct 23, 2025
Morgan StanleyAnalyst unavailable$137$144.17 -54.0%Oct 23, 2025
BarclaysTom O'Malley$142$141.51 -52.4%Oct 20, 2025
Mizuho SecuritiesAnalyst unavailable$162$144.78 -45.6%Oct 16, 2025
Stifel NicolausAnalyst unavailable$135$131.37 -54.7%Oct 13, 2025
HSBCAnalyst unavailable$127$131.09 -57.4%Sep 30, 2025
Deutsche BankAnalyst unavailable$150$128.33 -49.7%Sep 29, 2025
Morgan StanleyShane Brett$125$126.92 -58.1%Sep 22, 2025
Morgan StanleyShane Brett$92$97.03 -69.1%Sep 2, 2025
Wells FargoJoe Quatrochi$98$99.09 -67.1%Jul 31, 2025
BarclaysTom O'Malley$83$96.96 -72.1%Jul 28, 2025
Deutsche BankMelissa Weathers$70$70.9 -76.5%Apr 24, 2025
Mizuho SecuritiesVijay Rakesh$90$74.65 -69.8%Jan 10, 2025
Deutsche BankMelissa Weathers$75$72.86 -74.8%Oct 24, 2024
B.Riley FinancialCraig Ellis$105$72.84 -64.8%Oct 22, 2024
Stifel NicolausBrian Chin$105$72.84 -64.8%Oct 22, 2024
Raymond JamesSrini Pajjuri$100$85.7 -66.4%Oct 15, 2024
Morgan StanleyJoseph Moore$77$80.81 -74.2%Oct 3, 2024
Mizuho SecuritiesVijay Rakesh$95$78.91 -68.1%Sep 20, 2024
UBSTimothy Arcuri$115$75.21 -61.4%Sep 12, 2024
Mizuho SecuritiesVijay Rakesh$105$75.1 -64.8%Sep 12, 2024
BarclaysTom O'Malley$90$92.27 -69.8%Jun 5, 2024
Wells FargoJoseph Quatrochi$98$96.4 -67.1%May 22, 2024
NeedhamCharles Shi$95$89.82 -68.1%Apr 25, 2024
B.Riley FinancialCraig Ellis$113$88.49 -62.1%Apr 25, 2024
SusquehannaMehdi Hosseini$85$88.49 -71.5%Apr 25, 2024
Mizuho SecuritiesVijay Rakesh$96$88.49 -67.8%Apr 25, 2024
BarclaysTom O'Malley$86.5$88.49 -71.0%Apr 25, 2024
B.Riley FinancialCraig Ellis$110$88.89 -63.1%Apr 19, 2024
NeedhamQuinn Bolton$103$89.61 -65.4%Apr 18, 2024
Stifel NicolausBrian Chin$105$96.32 -64.8%Apr 16, 2024
Deutsche BankMelissa Weathers$100$96.16 -66.4%Apr 11, 2024
UBSTimothy Arcuri$113$96.86 -62.1%Apr 8, 2024
NeedhamCharles Shi$80$60.58 -73.2%Oct 19, 2023
Deutsche BankAnalyst unavailable$52$45.02 -82.6%Dec 12, 2022
UBSAnalyst unavailable$53$44.36 -82.2%Nov 30, 2022
Mizuho SecuritiesVijay Rakesh$40$35.18 -86.6%Oct 20, 2022
CitigroupAtif Malik$56$33.01 -81.2%Oct 19, 2022
Morgan StanleyJoe Moore$54.3$40.37 -81.8%Oct 5, 2022
UBSTimothy Arcuri$51$41.51 -82.9%Jul 11, 2022
BarclaysBlayne Curtis$62.5$46.07 -79.0%Apr 26, 2022
Piper SandlerAnalyst unavailable$59.6$48.14 -80.0%Apr 21, 2022
Goldman SachsToshiya Hari$61.2$46.95 -79.5%Apr 21, 2022
Morgan StanleyJoseph Moore$62.5$46.95 -79.0%Apr 21, 2022
SusquehannaMehdi Hosseini$55$46.95 -81.5%Apr 21, 2022
Mizuho SecuritiesVijay Rakesh$67.5$48.14 -77.3%Apr 20, 2022
B.Riley FinancialCraig Ellis$62.5$47.06 -79.0%Apr 18, 2022
Wells FargoJoseph Quatrochi$52.5$47.06 -82.4%Apr 18, 2022
Deutsche BankSidney Ho$56$45.62 -81.2%Apr 17, 2022
Stifel NicolausPatrick Ho$83.7$47.58 -71.9%Apr 11, 2022
CitigroupAtif Malik$75$53.69 -74.8%Mar 21, 2022
Evercore ISIC J Muse$80$55.35 -73.2%Jan 27, 2022
Morgan StanleyJoseph Moore$73$55.35 -75.5%Jan 27, 2022
Berenberg BankTammy Qiu$84$67.68 -71.8%Jan 18, 2022
JefferiesMark Lipacis$86.9$72.75 -70.8%Jan 14, 2022
Bank of America SecuritiesVivek Arya$78.5$66.22 -73.7%Jan 10, 2022
Wells FargoJoseph Quatrochi$66$68.09 -77.9%Dec 21, 2021
BNP ParibasJerome Ramel$64$58.86 -78.5%Sep 7, 2021
Cowen & Co.Krish Sankar$80$61.48 -73.2%Jul 29, 2021
D.A. DavidsonThomas Diffely$72.5$62.13 -75.7%Apr 23, 2021
Credit SuisseJohn Pitzer$75$63.74 -74.8%Apr 16, 2021
Argus ResearchJim Kelleher$72.5$64.31 -75.7%Apr 15, 2021
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Market reaction

event-close to next-session close
Stock move -2.6% Event window
SPY move -0.4% Same window
Abnormal move -2.2% Stock minus SPY
Volume 1.4× Versus trailing sessions
Subsequent drift +16.9% Up to 20 sessions
LRCXSPY benchmark

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Transcript intelligence

What changed

Compared to the prior quarter (FY2026 Q2): Quarterly revenue set a new record at $5.84B, a 24% year-over-year increase, surpassing the top end of prior guidance. Gross margin guidance improved from approximately 49% to 50.5%. The Customer Support Business Group posted its first $2 billion-plus quarter. Advanced packaging growth guidance was raised from over 40% to over 50% for 2026. Lam raised its WFE market estimate to $140 billion with an upside bias. A next-generation Dextro cobot was announced with 10x compute power in a smaller footprint, with the first deposition-product shipment scheduled. Capital returns accelerated, with $800M in buybacks, $750M in debt retirement, and $326M in dividends, totaling 139% of free cash flow returned to shareholders.

Guidance delta

Management maintained June-quarter guidance of $6.6 billion plus or minus $400 million in revenue and 50.5% plus or minus 1 percentage point gross margin. This represents a step up from the prior quarter's March guidance of $5.7 billion plus or minus $300 million and approximately 49% gross margin. Guidance sentiment was maintained, reflecting confidence in continued AI-driven demand. Capex is expected to remain at 4-5% of revenue to fund growth initiatives.

Key takeaways

  • Record Q3 FY2026 revenue of $5.84B and EPS of $1.47, beating consensus estimates of $5.75B and $1.36.
  • June-quarter guidance of $6.6B plus or minus $400M revenue and 50.5% gross margin, up from the prior quarter's $5.7B and approximately 49%.
  • AI-driven demand is accelerating NAND layer-count upgrades and 1C DRAM adoption, expanding Lam's SAM to the mid-30% range of WFE.
  • Customer Support Business Group generated $2.1B, its first $2B-plus quarter, driven by spares, upgrades, and services.
  • WFE market estimate raised to $140B for 2026 with an upside bias.
  • Capital returns totaled 139% of free cash flow: $800M buybacks, $750M debt retirement, $326M dividends.

Management priorities

  • Commissioning a second manufacturing facility in Malaysia in the second half of 2026.
  • Shipping the first next-generation Dextro cobot for deposition tools.
  • Expanding Equipment Intelligence services to additional foundry and memory customers.
  • Increasing R&D spend to support high-aspect-ratio etch, ALD, and advanced packaging tools.
  • Maintaining capex at 4-5% of revenue to fund growth initiatives.

Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
  3. Polygon adjusted daily market bars · 2026-07-28T08:52:39.189011+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-07-28T08:52:39.186658+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated . For educational purposes only; not investment advice.