Is Lam Research Stock Outperforming the Nasdaq?

Is Lam Research Stock Outperforming the Nasdaq?

Wed, September 2, 2026 at 2:39 PM GMT+3 2 min read

• LRCX +1.51%
• ^IXIC +1.40%

Lam Research Corporation (LRCX) is a Fremont, California-based semiconductor equipment company that supplies wafer fabrication systems and services to chipmakers worldwide. Its technology is used in critical manufacturing processes such as etch, thin-film deposition, wafer cleaning, and process control, enabling customers to produce increasingly smaller, faster, and more complex chips.

Companies worth $200 billion or more are generally described as "mega-cap stocks," and with a $377.7 billion market cap, LRCX definitely fits that description. It has a particularly strong position in etch and deposition, two essential steps in advanced semiconductor manufacturing. Its equipment supports a wide range of applications, including logic, DRAM, NAND, advanced packaging, and high-bandwidth memory, positioning the company to benefit from rising demand for advanced chips and AI-related computing infrastructure.

More News from Barchart

Despite its notable strength, LRCX slipped 33.8% from its 52-week high of $438.50, achieved on June 30. Over the past three months, LRCX stock fallen 8.5%, compared to the Nasdaq Composite's ($NASX) 3.6% fall during the same time frame.

Shares of LRCX rose 69.4% on a YTD basis and climbed 189.8% over the past 52 weeks, significantly outperforming NASX's 12.3% YTD gains and 21.7% returns over the last year.

While LRCX has been trading above its 200-day moving average over the past year, it has dipped below the 50-day moving average since early July.

On Aug. 27, LRCX shares gained 1.8% after the company announced a 27% increase in its quarterly dividend, raising the payout from $0.26 to $0.33 per share. The dividend hike underscored Lam Research's confidence in its cash-generating ability and commitment to returning capital to shareholders, with the increased dividend scheduled for payment on Oct. 14, 2026.

LRCX has outpaced its rival, Applied Materials, Inc. (AMAT), which gained 174.9% over the past 52 weeks.

Wall Street analysts are bullish on LRCX's prospects. The stock has a consensus "Strong Buy" rating from the 33 analysts covering it. Its mean price target of $372.78 implies an upswing potential of 28.5% from the prevailing market price.

On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com