Lam Research Corp (LRCX)vsUltra Clean Holdings Inc (UCTT)
LRCX
Lam Research Corp
$233.45
-2.26%
TECHNOLOGY · Cap: $299.99B
UCTT
Ultra Clean Holdings Inc
$65.04
-0.35%
TECHNOLOGY · Cap: $2.97B
Smart Verdict
WallStSmart Research — data-driven comparison
Lam Research Corp generates 901% more annual revenue ($20.56B vs $2.05B). LRCX leads profitability with a 30.2% profit margin vs -8.8%. UCTT appears more attractively valued with a PEG of 0.86. LRCX earns a higher WallStSmart Score of 74/100 (B).
LRCX
Strong Buy74
out of 100
Grade: B
UCTT
Hold39
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-2.4%
Fair Value
$227.92
Current Price
$233.45
$5.53 premium
Intrinsic value data unavailable for UCTT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 66 in profit
Keeps 30 of every $100 in revenue as profit
Strong operational efficiency at 33.9%
Safe zone — low bankruptcy risk
Revenue surging 22.1% year-over-year
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 28.8x book value
Operating margin of 2.1%
Weak financial health signals
ROE of -20.0% — below average capital efficiency
Revenue declined 10.0%
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 30.2% and operating margin at 33.9%. Revenue growth of 22.1% demonstrates continued momentum.
Bull Case : UCTT
The strongest argument for UCTT centers on PEG Ratio. PEG of 0.86 suggests the stock is reasonably priced for its growth.
Bear Case : LRCX
The primary concerns for LRCX are PEG Ratio, P/E Ratio, Price/Book. A P/E of 49.0x leaves little room for execution misses.
Bear Case : UCTT
The primary concerns for UCTT are Operating Margin, Piotroski F-Score, Return on Equity.
Key Dynamics to Monitor
LRCX profiles as a growth stock while UCTT is a turnaround play — different risk/reward profiles.
UCTT carries more volatility with a beta of 1.88 — expect wider price swings.
LRCX is growing revenue faster at 22.1% — sustainability is the question.
LRCX generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
LRCX scores higher overall (74/100 vs 39/100), backed by strong 30.2% margins and 22.1% revenue growth. Both earn "Strong Buy" and "Hold" 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.
Ultra Clean Holdings Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
Ultra Clean Holdings, Inc. designs, designs and manufactures production tools, modules and subsystems for the semiconductor and display capital equipment markets in the United States and internationally. The company is headquartered in Hayward, California.
Compare with Other SEMICONDUCTOR EQUIPMENT & MATERIALS Stocks
Want to dig deeper into these stocks?