Lam Research Q3 earnings preview: what analysts expect this week

what happened

According to stockstory.org, Lam Research, a maker of semiconductor equipment, will publish its third-quarter results after market close on Wednesday. Revenue in the previous quarter reached $6.72 billion, up 30% year on year. The company matched analysts' revenue forecasts, beat their earnings-per-share estimates, and guided next-quarter revenue above consensus.

The market expects revenue to rise 53.7% year on year, compared with a 27.7% gain in the same quarter last year. Analysts covering the stock have broadly reaffirmed their estimates over the past 30 days. Peers have already reported: Penguin Solutions grew revenue 67.7% and beat expectations by 8.8%, while Micron posted revenue up 379% and topped estimates by 6.4%.

Semiconductor stocks have fallen 7.8% on average over the last month, and Lam Research shares are down 9.4% in the same period. The average analyst price target is $375.90, against a current share price of $273.88.

why it matters

Lam Research's report matters for the whole chip sector, since its data on demand for production equipment gives a reference point for chipmakers. If revenue and guidance land within expectations, the results could set the tone for sector stocks that have recently lagged amid geopolitical tensions, interest rate concerns and questions about AI's impact on the industry.

market impact

Semiconductors: Lam Research results set sentiment for chip equipment makers and the broader sector

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