LRCX Earnings Prediction
The chart below shows how LRCX performed 10 days before and after its earnings report, based on data from the past quarters. Typically, LRCX sees a +0.88% change in stock price 10 days leading up to the earnings, and a +2.34% change 10 days following the report. On the earnings day itself, the stock moves by +0.80%. This data can give you a slight idea of what to expect for the next quarter's release.
LRCX Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
3.87B
20.71%
2.05%
Gross Margin
47.67%
4.04%
-0.40%
Operating Margin
29.22%
7.98%
1.92%
Net Margin
26.35%
5.32%
3.50%
EPS
0.78
30.00%
6.85%
No Data Available
LRCX Earnings Analysis
Lam Research Corp Corporation (LRCX.O) Earnings Conference Call
Positive
Quarterly Revenue Increase: December quarter revenue reached $4.38 billion, a 5% increase from the prior quarter, exceeding guidance midpoints.
Strong Gross Margin Performance: Gross margin for the December quarter was 47.5%, above the midpoint of guidance and reflecting strong operational execution.
Operating Margin Expansion: Operating margin expanded by 160 basis points in calendar year 2024, demonstrating effective cost management and operational efficiency.
Customer Support Revenue Growth: Customer support business group revenue for the December quarter was nearly $1.8 billion, consistent with the previous quarter and 20% higher than the same period in 2023, indicating strong demand for upgrades.
Shareholder Value Commitment: Lam Research returned 98% of free cash flow in 2024, totaling $4 billion, through share repurchases and dividends, reflecting a commitment to shareholder value.
Negative
Quarterly Revenue Increase: Revenue for the December quarter was $4,380,000,000, which was an increase of only 5% from the prior quarter, indicating a slowdown in growth momentum.
Gross Margin Decline: Gross margin for the December quarter came in at 47.5%, down from 48.2% in the September quarter, primarily due to an unfavorable customer mix.
China Revenue Decline: The China region accounted for 31% of total revenue, down from 37% in the prior quarter, reflecting a decline in business from this key market.
Revenue Decline Forecast: Reliant product line revenue is expected to decline significantly in 2025 due to lost customers in China, which previously contributed an estimated $700,000,000 in revenue.
Operating Margin Decline: Operating margin in the December quarter was 30.7%, slightly below the September quarter level of 30.9%, indicating a marginal decrease in profitability despite higher revenues.
LRCX FAQs
How does LRCX typically perform around its earnings report dates?
Is Lam Research Corp (LRCX) Q4 2024 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
LRCX Earning Call Sentiment
Earnings call transcript: Lam Research Q4 2024 beats earnings expectations
LRCX.O
0.18%Positive
The earnings call presents strong financial results, with a record high revenue and increased gross margin. Despite some concerns about customer concentration and operational risks, the optimistic guidance, significant share repurchase plan, and expected growth in NAND and advanced packaging sectors paint a positive outlook. The Q&A session did not reveal major concerns, and management's confidence in their strategic positioning supports a positive sentiment.
