Lam Research Corp (LRCX)vsPetroleo Brasileiro Petrobras SA ADR (PBR)
LRCX
Lam Research Corp
$303.28
+1.18%
TECHNOLOGY · Cap: $418.20B
PBR
Petroleo Brasileiro Petrobras SA ADR
$17.75
+0.77%
ENERGY · Cap: $117.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Petroleo Brasileiro Petrobras SA ADR generates 2197% more annual revenue ($498.09B vs $21.68B). LRCX leads profitability with a 30.9% profit margin vs 21.6%. LRCX appears more attractively valued with a PEG of 1.85. LRCX earns a higher WallStSmart Score of 74/100 (B).
LRCX
Strong Buy74
out of 100
Grade: B
PBR
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+1.7%
Fair Value
$329.99
Current Price
$303.28
$26.71 discount
Margin of Safety
+89.6%
Fair Value
$176.60
Current Price
$17.75
$158.85 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 63 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
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 32.0%
Large-cap with strong market position
Every $100 of equity generates 24 in profit
Keeps 22 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 35.8x book value
0.4% revenue growth
Expensive relative to growth rate
Earnings declined 7.2%
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : PBR
The strongest argument for PBR centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 21.6% and operating margin at 32.0%.
Bear Case : LRCX
The primary concerns for LRCX are PEG Ratio, P/E Ratio, Price/Book. A P/E of 63.3x leaves little room for execution misses.
Bear Case : PBR
The primary concerns for PBR are Revenue Growth, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
LRCX profiles as a growth stock while PBR is a value play — different risk/reward profiles.
LRCX carries more volatility with a beta of 1.82 — expect wider price swings.
LRCX is growing revenue faster at 23.8% — sustainability is the question.
PBR generates stronger free cash flow (3.3B), providing more financial flexibility.
Bottom Line
LRCX scores higher overall (74/100 vs 66/100), backed by strong 30.9% margins and 23.8% revenue growth. PBR offers better value entry with a 89.6% margin of safety. 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.
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.
Petroleo Brasileiro Petrobras SA ADR
ENERGY · OIL & GAS INTEGRATED · USA
Petrleo Brasileiro SA - Petrobras produces and sells oil and gas in Brazil and internationally. The company is headquartered in Rio de Janeiro, Brazil.
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