Celestica Inc. (CLS)vsLam Research Corp (LRCX)
CLS
Celestica Inc.
$375.55
-2.51%
TECHNOLOGY · Cap: $44.29B
LRCX
Lam Research Corp
$294.05
+2.63%
TECHNOLOGY · Cap: $358.31B
Smart Verdict
WallStSmart Research — data-driven comparison
Lam Research Corp generates 57% more annual revenue ($21.68B vs $13.79B). LRCX leads profitability with a 30.9% profit margin vs 7.0%. CLS appears more attractively valued with a PEG of 1.00. LRCX earns a higher WallStSmart Score of 74/100 (B).
CLS
Strong Buy68
out of 100
Grade: B-
LRCX
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CLS.
Margin of Safety
+16.5%
Fair Value
$343.11
Current Price
$294.05
$49.06 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 52 in profit
Revenue surging 52.8% year-over-year
Earnings expanding 147.3% YoY
Growing faster than its price suggests
Mega-cap, among the largest globally
Every $100 of equity generates 67 in profit
Keeps 31 of every $100 in revenue as profit
Strong operational efficiency at 35.0%
Safe zone — low bankruptcy risk
Revenue surging 23.8% year-over-year
Areas to Watch
7.0% margin — thin
Premium valuation, high expectations priced in
Trading at 20.6x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 34.8x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CLS
The strongest argument for CLS centers on Return on Equity, Revenue Growth, EPS Growth. Revenue growth of 52.8% demonstrates continued momentum. PEG of 1.00 suggests the stock is reasonably priced for its growth.
Bull Case : LRCX
The strongest argument for LRCX centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 30.9% and operating margin at 35.0%. Revenue growth of 23.8% demonstrates continued momentum.
Bear Case : CLS
The primary concerns for CLS are Profit Margin, P/E Ratio, Price/Book. A P/E of 46.8x leaves little room for execution misses.
Bear Case : LRCX
The primary concerns for LRCX are PEG Ratio, P/E Ratio, Price/Book. A P/E of 54.1x leaves little room for execution misses.
Key Dynamics to Monitor
CLS profiles as a hypergrowth stock while LRCX is a growth play — different risk/reward profiles.
LRCX carries more volatility with a beta of 1.82 — expect wider price swings.
CLS is growing revenue faster at 52.8% — sustainability is the question.
LRCX generates stronger free cash flow (810M), providing more financial flexibility.
Bottom Line
LRCX scores higher overall (74/100 vs 68/100), backed by strong 30.9% margins and 23.8% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Celestica Inc.
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
Celestica Inc. provides hardware platforms and supply chain solutions in North America, Europe, and Asia. The company is headquartered in Toronto, Canada.
Lam Research Corp
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Lam Research Corporation is an American corporation that engages in the design, manufacture, marketing, and service of semiconductor processing equipment used in the fabrication of integrated circuits. Its products are used primarily in front-end wafer processing, which involves the steps that create the active components of semiconductor devices (transistors, capacitors) and their wiring (interconnects). The company also builds equipment for back-end wafer-level packaging (WLP), and for related manufacturing markets such as for microelectromechanical systems (MEMS). The company is headquartered in Fremont, California, in the Silicon Valley.
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