Analysis of Solvency Ratios
Quarterly Data
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Debt Ratios
Lam Research Corp., solvency ratios (quarterly data)
Based on: 10-Q (reporting date: 2026-09-27), 10-K (reporting date: 2026-06-28), 10-Q (reporting date: 2026-03-29), 10-Q (reporting date: 2025-12-28), 10-Q (reporting date: 2025-09-28), 10-K (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-Q (reporting date: 2024-09-29), 10-K (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-24), 10-Q (reporting date: 2023-09-24), 10-K (reporting date: 2023-06-25), 10-Q (reporting date: 2023-03-26), 10-Q (reporting date: 2022-12-25), 10-Q (reporting date: 2022-09-25), 10-K (reporting date: 2022-06-26), 10-Q (reporting date: 2022-03-27), 10-Q (reporting date: 2021-12-26), 10-Q (reporting date: 2021-09-26).
The solvency profile exhibits a consistent and significant long-term trend toward deleveraging. Across all measured metrics, there is a clear reduction in the company's reliance on debt financing relative to its equity and total assets over the period from September 2021 to September 2026.
- Debt to Equity Ratio
- A substantial downward trajectory is observed, beginning at 0.86 in September 2021 and concluding at 0.27 in September 2026. The most pronounced declines occurred in two distinct phases: an initial drop between late 2021 and early 2023, and a second, more aggressive reduction starting in early 2025, where the ratio fell from 0.47 to 0.27 within approximately 18 months.
- Debt to Capital Ratio
- This metric declined from 0.46 in September 2021 to 0.21 by September 2026. A period of relative stability was maintained between June 2023 and December 2024, with the ratio fluctuating narrowly between 0.36 and 0.38, before entering a secondary phase of contraction throughout 2025 and 2026.
- Debt to Assets Ratio
- Total debt as a proportion of assets showed a steady decrease from 0.32 in September 2021 to 0.14 in September 2026. This trend indicates a strengthening of the balance sheet, as a significantly smaller percentage of assets are financed via debt by the end of the analyzed period.
- Financial Leverage
- Financial leverage reached a peak of 2.75 in March 2022 before entering a general decline. By September 2026, the leverage ratio reached 1.89, reflecting a reduction in the overall use of debt to amplify equity returns.
The convergence of these trends suggests a strategic shift toward a more conservative financial structure. The acceleration of deleveraging observed from early 2025 through 2026 marks a significant departure from the stability seen in 2023 and 2024, resulting in a markedly improved solvency position and a reduced long-term financial risk profile.
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Debt to Equity
Lam Research Corp., debt to equity calculation (quarterly data)
| Sep 27, 2026 | Jun 28, 2026 | Mar 29, 2026 | Dec 28, 2025 | Sep 28, 2025 | Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 24, 2023 | Sep 24, 2023 | Jun 25, 2023 | Mar 26, 2023 | Dec 25, 2022 | Sep 25, 2022 | Jun 26, 2022 | Mar 27, 2022 | Dec 26, 2021 | Sep 26, 2021 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||
| Current portion of long-term debt and finance lease obligations | 3,486) | 4,073) | 4,095) | 754,006) | 754,363) | 754,311) | 754,306) | 504,136) | 504,682) | 504,814) | 505,066) | 3,779) | 3,861) | 8,358) | 8,457) | 7,226) | 7,110) | 7,381) | 7,689) | 6,201) | 6,368) | |||||||
| Long-term debt and finance lease obligations, less current portion | 3,731,958) | 3,730,490) | 3,730,384) | 3,729,742) | 3,729,580) | 3,730,194) | 3,730,034) | 4,478,148) | 4,479,087) | 4,478,520) | 4,478,385) | 4,980,005) | 4,980,460) | 5,003,183) | 4,996,920) | 4,996,057) | 4,996,363) | 4,998,449) | 5,000,657) | 4,988,121) | 4,988,964) | |||||||
| Total debt | 3,735,444) | 3,734,563) | 3,734,479) | 4,483,748) | 4,483,943) | 4,484,505) | 4,484,340) | 4,982,284) | 4,983,769) | 4,983,334) | 4,983,451) | 4,983,784) | 4,984,321) | 5,011,541) | 5,005,377) | 5,003,283) | 5,003,473) | 5,005,830) | 5,008,346) | 4,994,322) | 4,995,332) | |||||||
| Stockholders’ equity | 13,908,474) | 12,470,921) | 10,584,779) | 10,145,426) | 10,192,752) | 9,861,619) | 9,511,105) | 8,808,026) | 8,471,891) | 8,539,454) | 8,022,101) | 8,222,478) | 8,047,330) | 8,210,172) | 8,407,388) | 8,304,635) | 7,412,567) | 6,278,366) | 6,026,490) | 6,475,781) | 5,820,043) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to equity1 | 0.27 | 0.30 | 0.35 | 0.44 | 0.44 | 0.45 | 0.47 | 0.57 | 0.59 | 0.58 | 0.62 | 0.61 | 0.62 | 0.61 | 0.60 | 0.60 | 0.67 | 0.80 | 0.83 | 0.77 | 0.86 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Equity, Competitors2 | ||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | — | — | 0.05 | 0.05 | 0.05 | 0.05 | 0.05 | 0.07 | 0.03 | 0.03 | 0.03 | 0.04 | 0.04 | 0.04 | 0.04 | 0.05 | 0.05 | 0.05 | 0.05 | 0.03 | |||||||
| Analog Devices Inc. | — | — | 0.27 | 0.26 | 0.26 | 0.25 | 0.25 | 0.21 | 0.22 | 0.22 | 0.23 | 0.23 | 0.20 | 0.20 | 0.19 | 0.19 | 0.18 | 0.18 | 0.17 | 0.17 | 0.17 | |||||||
| Applied Materials Inc. | — | — | 0.26 | 0.27 | 0.30 | 0.32 | 0.32 | 0.33 | 0.34 | 0.33 | 0.33 | 0.31 | 0.32 | 0.34 | 0.37 | 0.40 | 0.42 | 0.45 | 0.45 | 0.47 | 0.46 | |||||||
| Broadcom Inc. | — | — | 0.60 | 0.74 | 0.83 | 0.80 | 0.88 | 0.97 | 0.95 | 1.00 | 1.07 | 1.06 | 1.08 | 1.64 | 1.78 | 1.79 | 1.69 | 1.74 | 1.89 | 1.88 | 1.72 | |||||||
| Intel Corp. | — | — | 0.44 | 0.58 | 0.40 | 0.41 | 0.44 | 0.52 | 0.50 | 0.50 | 0.50 | 0.46 | 0.49 | 0.47 | 0.48 | 0.49 | 0.51 | 0.41 | 0.40 | 0.35 | 0.36 | |||||||
| KLA Corp. | 0.88 | 0.93 | 1.01 | 1.08 | 1.18 | 1.25 | 1.47 | 1.64 | 1.86 | 1.97 | 2.14 | 1.94 | 1.97 | 2.02 | 2.20 | 2.35 | 3.00 | 4.75 | 0.91 | 0.85 | 0.89 | |||||||
| Marvell Technology Inc. | 0.27 | 0.31 | 0.32 | 0.33 | 0.32 | 0.30 | 0.31 | 0.29 | 0.29 | 0.28 | 0.27 | 0.27 | 0.30 | 0.29 | 0.29 | 0.30 | 0.29 | 0.29 | 0.29 | 0.32 | 0.33 | |||||||
| Micron Technology Inc. | — | 0.04 | 0.06 | 0.14 | 0.20 | 0.27 | 0.31 | 0.30 | 0.29 | 0.30 | 0.30 | 0.31 | 0.31 | 0.30 | 0.29 | 0.26 | 0.21 | 0.14 | 0.14 | 0.15 | 0.15 | |||||||
| NVIDIA Corp. | 0.04 | 0.05 | 0.07 | 0.08 | 0.10 | 0.11 | 0.13 | 0.15 | 0.20 | 0.23 | 0.29 | 0.35 | 0.45 | 0.50 | 0.51 | 0.46 | 0.42 | 0.41 | 0.46 | 0.56 | 0.37 | |||||||
| Qualcomm Inc. | — | 0.50 | 0.55 | 0.56 | 0.64 | 0.70 | 0.54 | 0.53 | 0.54 | 0.56 | 0.59 | 0.63 | 0.67 | 0.71 | 0.75 | 0.81 | 0.90 | 0.86 | 0.97 | 1.18 | 1.39 | |||||||
| Texas Instruments Inc. | — | — | 0.71 | 0.78 | 0.84 | 0.86 | 0.84 | 0.86 | 0.78 | 0.80 | 0.80 | 0.81 | 0.84 | 0.66 | 0.67 | 0.70 | 0.66 | 0.60 | 0.55 | 0.51 | 0.55 | |||||||
Based on: 10-Q (reporting date: 2026-09-27), 10-K (reporting date: 2026-06-28), 10-Q (reporting date: 2026-03-29), 10-Q (reporting date: 2025-12-28), 10-Q (reporting date: 2025-09-28), 10-K (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-Q (reporting date: 2024-09-29), 10-K (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-24), 10-Q (reporting date: 2023-09-24), 10-K (reporting date: 2023-06-25), 10-Q (reporting date: 2023-03-26), 10-Q (reporting date: 2022-12-25), 10-Q (reporting date: 2022-09-25), 10-K (reporting date: 2022-06-26), 10-Q (reporting date: 2022-03-27), 10-Q (reporting date: 2021-12-26), 10-Q (reporting date: 2021-09-26).
1 Q1 2027 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 3,735,444 ÷ 13,908,474 = 0.27
2 Click competitor name to see calculations.
The solvency profile of the organization demonstrates a consistent strengthening of the balance sheet over the analyzed period from September 2021 through September 2026. A significant reduction in financial leverage is evident, driven by a combination of steady equity growth and a strategic reduction in total debt during the latter half of the period.
- Total Debt Trends
- Total debt remained relatively stagnant for several years, fluctuating minimally around the 5 billion USD mark between September 2021 and December 2024. However, a notable downward shift occurred starting in March 2025, where debt levels dropped to approximately 4.48 billion USD. This trend continued with a further substantial decrease to approximately 3.73 billion USD by March 2026, indicating a deliberate deleveraging process.
- Stockholders' Equity Growth
- Stockholders' equity exhibited a strong and sustained upward trajectory, increasing from 5.82 billion USD in September 2021 to 13.91 billion USD by September 2026. This growth was characterized by consistent gains, particularly accelerating in the final four quarters of the period, which suggests strong internal capital generation or a significant increase in retained earnings.
- Debt to Equity Ratio Analysis
- The debt to equity ratio reflects a sharp decline in financial risk. The ratio began at 0.86 in September 2021 and experienced a steady descent to 0.60 by December 2022. Following a period of relative stability between 0.57 and 0.62 through 2023 and 2024, the ratio dropped precipitously starting in 2025. By September 2026, the ratio reached a period low of 0.27, signaling a substantial shift toward equity-based financing and a significantly improved solvency position.
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Debt to Capital
Lam Research Corp., debt to capital calculation (quarterly data)
| Sep 27, 2026 | Jun 28, 2026 | Mar 29, 2026 | Dec 28, 2025 | Sep 28, 2025 | Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 24, 2023 | Sep 24, 2023 | Jun 25, 2023 | Mar 26, 2023 | Dec 25, 2022 | Sep 25, 2022 | Jun 26, 2022 | Mar 27, 2022 | Dec 26, 2021 | Sep 26, 2021 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||
| Current portion of long-term debt and finance lease obligations | 3,486) | 4,073) | 4,095) | 754,006) | 754,363) | 754,311) | 754,306) | 504,136) | 504,682) | 504,814) | 505,066) | 3,779) | 3,861) | 8,358) | 8,457) | 7,226) | 7,110) | 7,381) | 7,689) | 6,201) | 6,368) | |||||||
| Long-term debt and finance lease obligations, less current portion | 3,731,958) | 3,730,490) | 3,730,384) | 3,729,742) | 3,729,580) | 3,730,194) | 3,730,034) | 4,478,148) | 4,479,087) | 4,478,520) | 4,478,385) | 4,980,005) | 4,980,460) | 5,003,183) | 4,996,920) | 4,996,057) | 4,996,363) | 4,998,449) | 5,000,657) | 4,988,121) | 4,988,964) | |||||||
| Total debt | 3,735,444) | 3,734,563) | 3,734,479) | 4,483,748) | 4,483,943) | 4,484,505) | 4,484,340) | 4,982,284) | 4,983,769) | 4,983,334) | 4,983,451) | 4,983,784) | 4,984,321) | 5,011,541) | 5,005,377) | 5,003,283) | 5,003,473) | 5,005,830) | 5,008,346) | 4,994,322) | 4,995,332) | |||||||
| Stockholders’ equity | 13,908,474) | 12,470,921) | 10,584,779) | 10,145,426) | 10,192,752) | 9,861,619) | 9,511,105) | 8,808,026) | 8,471,891) | 8,539,454) | 8,022,101) | 8,222,478) | 8,047,330) | 8,210,172) | 8,407,388) | 8,304,635) | 7,412,567) | 6,278,366) | 6,026,490) | 6,475,781) | 5,820,043) | |||||||
| Total capital | 17,643,918) | 16,205,484) | 14,319,258) | 14,629,174) | 14,676,695) | 14,346,124) | 13,995,445) | 13,790,310) | 13,455,660) | 13,522,788) | 13,005,552) | 13,206,262) | 13,031,651) | 13,221,713) | 13,412,765) | 13,307,918) | 12,416,040) | 11,284,196) | 11,034,836) | 11,470,103) | 10,815,375) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to capital1 | 0.21 | 0.23 | 0.26 | 0.31 | 0.31 | 0.31 | 0.32 | 0.36 | 0.37 | 0.37 | 0.38 | 0.38 | 0.38 | 0.38 | 0.37 | 0.38 | 0.40 | 0.44 | 0.45 | 0.44 | 0.46 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Capital, Competitors2 | ||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | — | — | 0.05 | 0.05 | 0.05 | 0.05 | 0.05 | 0.07 | 0.03 | 0.03 | 0.03 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.05 | 0.03 | |||||||
| Analog Devices Inc. | — | — | 0.21 | 0.20 | 0.20 | 0.20 | 0.20 | 0.17 | 0.18 | 0.18 | 0.19 | 0.19 | 0.16 | 0.16 | 0.16 | 0.16 | 0.15 | 0.15 | 0.15 | 0.14 | 0.14 | |||||||
| Applied Materials Inc. | — | — | 0.20 | 0.21 | 0.23 | 0.24 | 0.24 | 0.25 | 0.25 | 0.25 | 0.25 | 0.23 | 0.24 | 0.25 | 0.27 | 0.29 | 0.30 | 0.31 | 0.31 | 0.32 | 0.31 | |||||||
| Broadcom Inc. | — | — | 0.37 | 0.43 | 0.45 | 0.44 | 0.47 | 0.49 | 0.49 | 0.50 | 0.52 | 0.51 | 0.52 | 0.62 | 0.64 | 0.64 | 0.63 | 0.64 | 0.65 | 0.65 | 0.63 | |||||||
| Intel Corp. | — | — | 0.30 | 0.37 | 0.29 | 0.29 | 0.30 | 0.34 | 0.33 | 0.34 | 0.34 | 0.32 | 0.33 | 0.32 | 0.32 | 0.33 | 0.34 | 0.29 | 0.28 | 0.26 | 0.27 | |||||||
| KLA Corp. | 0.47 | 0.48 | 0.50 | 0.52 | 0.54 | 0.56 | 0.59 | 0.62 | 0.65 | 0.66 | 0.68 | 0.66 | 0.66 | 0.67 | 0.69 | 0.70 | 0.75 | 0.83 | 0.48 | 0.46 | 0.47 | |||||||
| Marvell Technology Inc. | 0.21 | 0.24 | 0.24 | 0.25 | 0.24 | 0.23 | 0.23 | 0.23 | 0.22 | 0.22 | 0.22 | 0.21 | 0.23 | 0.22 | 0.22 | 0.23 | 0.23 | 0.22 | 0.23 | 0.24 | 0.25 | |||||||
| Micron Technology Inc. | — | 0.04 | 0.05 | 0.12 | 0.17 | 0.21 | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.24 | 0.24 | 0.23 | 0.23 | 0.21 | 0.17 | 0.12 | 0.12 | 0.13 | 0.13 | |||||||
| NVIDIA Corp. | 0.04 | 0.05 | 0.07 | 0.08 | 0.09 | 0.10 | 0.11 | 0.13 | 0.16 | 0.18 | 0.23 | 0.26 | 0.31 | 0.33 | 0.34 | 0.31 | 0.29 | 0.29 | 0.32 | 0.36 | 0.27 | |||||||
| Qualcomm Inc. | — | 0.33 | 0.36 | 0.36 | 0.39 | 0.41 | 0.35 | 0.35 | 0.35 | 0.36 | 0.37 | 0.39 | 0.40 | 0.42 | 0.43 | 0.45 | 0.47 | 0.46 | 0.49 | 0.54 | 0.58 | |||||||
| Texas Instruments Inc. | — | — | 0.41 | 0.44 | 0.46 | 0.46 | 0.46 | 0.46 | 0.44 | 0.45 | 0.45 | 0.45 | 0.46 | 0.40 | 0.40 | 0.41 | 0.40 | 0.37 | 0.35 | 0.34 | 0.36 | |||||||
Based on: 10-Q (reporting date: 2026-09-27), 10-K (reporting date: 2026-06-28), 10-Q (reporting date: 2026-03-29), 10-Q (reporting date: 2025-12-28), 10-Q (reporting date: 2025-09-28), 10-K (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-Q (reporting date: 2024-09-29), 10-K (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-24), 10-Q (reporting date: 2023-09-24), 10-K (reporting date: 2023-06-25), 10-Q (reporting date: 2023-03-26), 10-Q (reporting date: 2022-12-25), 10-Q (reporting date: 2022-09-25), 10-K (reporting date: 2022-06-26), 10-Q (reporting date: 2022-03-27), 10-Q (reporting date: 2021-12-26), 10-Q (reporting date: 2021-09-26).
1 Q1 2027 Calculation
Debt to capital = Total debt ÷ Total capital
= 3,735,444 ÷ 17,643,918 = 0.21
2 Click competitor name to see calculations.
A comprehensive review of the solvency metrics reveals a consistent improvement in the capital structure over the analyzed period. The primary trend is a sustained reduction in the debt-to-capital ratio, reflecting a strategic shift toward lower leverage and a more robust capital base.
- Debt to Capital Ratio Trend
- The debt-to-capital ratio exhibited a steady decline, starting at 0.46 in September 2021 and ending at 0.21 by September 2026. This downward trajectory indicates a systematic reduction in the proportion of debt relative to the total capital employed.
- Total Debt Dynamics
- Total debt remained relatively stagnant at approximately 5 billion USD between September 2021 and December 2024. A notable shift occurred in March 2025, where debt levels dropped to approximately 4.48 billion USD, followed by a further reduction to approximately 3.73 billion USD in March 2026. This suggests active debt repayment or a strategic deleveraging process in the latter half of the period.
- Total Capital Expansion
- Total capital showed a strong and consistent upward trend, growing from 10.82 billion USD in September 2021 to 17.64 billion USD by September 2026. The expansion of the capital base, occurring simultaneously with stable and then declining debt, accelerated the decrease in the solvency ratio.
- Solvency Analysis
- The combined effect of increasing total capital and decreasing total debt has significantly strengthened the solvency position. The transition from a ratio of 0.46 to 0.21 demonstrates a marked decrease in financial leverage, reducing the entity's reliance on external debt for its funding requirements.
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Debt to Assets
Lam Research Corp., debt to assets calculation (quarterly data)
| Sep 27, 2026 | Jun 28, 2026 | Mar 29, 2026 | Dec 28, 2025 | Sep 28, 2025 | Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 24, 2023 | Sep 24, 2023 | Jun 25, 2023 | Mar 26, 2023 | Dec 25, 2022 | Sep 25, 2022 | Jun 26, 2022 | Mar 27, 2022 | Dec 26, 2021 | Sep 26, 2021 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||
| Current portion of long-term debt and finance lease obligations | 3,486) | 4,073) | 4,095) | 754,006) | 754,363) | 754,311) | 754,306) | 504,136) | 504,682) | 504,814) | 505,066) | 3,779) | 3,861) | 8,358) | 8,457) | 7,226) | 7,110) | 7,381) | 7,689) | 6,201) | 6,368) | |||||||
| Long-term debt and finance lease obligations, less current portion | 3,731,958) | 3,730,490) | 3,730,384) | 3,729,742) | 3,729,580) | 3,730,194) | 3,730,034) | 4,478,148) | 4,479,087) | 4,478,520) | 4,478,385) | 4,980,005) | 4,980,460) | 5,003,183) | 4,996,920) | 4,996,057) | 4,996,363) | 4,998,449) | 5,000,657) | 4,988,121) | 4,988,964) | |||||||
| Total debt | 3,735,444) | 3,734,563) | 3,734,479) | 4,483,748) | 4,483,943) | 4,484,505) | 4,484,340) | 4,982,284) | 4,983,769) | 4,983,334) | 4,983,451) | 4,983,784) | 4,984,321) | 5,011,541) | 5,005,377) | 5,003,283) | 5,003,473) | 5,005,830) | 5,008,346) | 4,994,322) | 4,995,332) | |||||||
| Total assets | 26,353,056) | 23,529,743) | 20,791,910) | 21,391,171) | 21,900,211) | 21,345,260) | 19,968,310) | 19,839,916) | 19,532,489) | 18,744,728) | 18,279,650) | 18,783,852) | 18,538,457) | 18,781,643) | 19,243,361) | 19,206,381) | 18,721,282) | 17,195,632) | 16,589,031) | 16,685,428) | 15,565,552) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to assets1 | 0.14 | 0.16 | 0.18 | 0.21 | 0.20 | 0.21 | 0.22 | 0.25 | 0.26 | 0.27 | 0.27 | 0.27 | 0.27 | 0.27 | 0.26 | 0.26 | 0.27 | 0.29 | 0.30 | 0.30 | 0.32 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Assets, Competitors2 | ||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | — | — | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.06 | 0.02 | 0.02 | 0.03 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.04 | 0.03 | |||||||
| Analog Devices Inc. | — | — | 0.19 | 0.18 | 0.18 | 0.18 | 0.18 | 0.15 | 0.16 | 0.16 | 0.17 | 0.16 | 0.14 | 0.14 | 0.14 | 0.14 | 0.13 | 0.13 | 0.12 | 0.12 | 0.12 | |||||||
| Applied Materials Inc. | — | — | 0.15 | 0.16 | 0.17 | 0.18 | 0.18 | 0.19 | 0.19 | 0.18 | 0.19 | 0.17 | 0.18 | 0.18 | 0.19 | 0.19 | 0.20 | 0.20 | 0.21 | 0.21 | 0.21 | |||||||
| Broadcom Inc. | — | — | 0.32 | 0.36 | 0.39 | 0.38 | 0.39 | 0.41 | 0.40 | 0.41 | 0.42 | 0.42 | 0.43 | 0.54 | 0.55 | 0.55 | 0.54 | 0.54 | 0.55 | 0.55 | 0.54 | |||||||
| Intel Corp. | — | — | 0.22 | 0.25 | 0.22 | 0.22 | 0.23 | 0.26 | 0.26 | 0.25 | 0.26 | 0.26 | 0.27 | 0.26 | 0.26 | 0.26 | 0.27 | 0.23 | 0.23 | 0.21 | 0.21 | |||||||
| KLA Corp. | 0.31 | 0.33 | 0.35 | 0.35 | 0.36 | 0.37 | 0.39 | 0.39 | 0.42 | 0.43 | 0.44 | 0.41 | 0.42 | 0.42 | 0.43 | 0.45 | 0.48 | 0.53 | 0.31 | 0.29 | 0.31 | |||||||
| Marvell Technology Inc. | 0.18 | 0.20 | 0.21 | 0.22 | 0.21 | 0.20 | 0.21 | 0.20 | 0.20 | 0.20 | 0.19 | 0.19 | 0.21 | 0.20 | 0.20 | 0.21 | 0.21 | 0.21 | 0.21 | 0.23 | 0.23 | |||||||
| Micron Technology Inc. | — | 0.03 | 0.04 | 0.10 | 0.14 | 0.18 | 0.20 | 0.20 | 0.19 | 0.19 | 0.20 | 0.21 | 0.21 | 0.21 | 0.20 | 0.18 | 0.15 | 0.10 | 0.11 | 0.11 | 0.11 | |||||||
| NVIDIA Corp. | 0.03 | 0.04 | 0.05 | 0.06 | 0.07 | 0.08 | 0.09 | 0.10 | 0.13 | 0.15 | 0.18 | 0.20 | 0.25 | 0.27 | 0.27 | 0.25 | 0.24 | 0.25 | 0.27 | 0.31 | 0.23 | |||||||
| Qualcomm Inc. | — | 0.25 | 0.27 | 0.27 | 0.28 | 0.30 | 0.27 | 0.26 | 0.26 | 0.27 | 0.28 | 0.29 | 0.30 | 0.30 | 0.32 | 0.33 | 0.34 | 0.32 | 0.33 | 0.35 | 0.37 | |||||||
| Texas Instruments Inc. | — | — | 0.37 | 0.39 | 0.41 | 0.41 | 0.40 | 0.40 | 0.38 | 0.38 | 0.39 | 0.40 | 0.41 | 0.35 | 0.35 | 0.36 | 0.35 | 0.32 | 0.30 | 0.29 | 0.31 | |||||||
Based on: 10-Q (reporting date: 2026-09-27), 10-K (reporting date: 2026-06-28), 10-Q (reporting date: 2026-03-29), 10-Q (reporting date: 2025-12-28), 10-Q (reporting date: 2025-09-28), 10-K (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-Q (reporting date: 2024-09-29), 10-K (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-24), 10-Q (reporting date: 2023-09-24), 10-K (reporting date: 2023-06-25), 10-Q (reporting date: 2023-03-26), 10-Q (reporting date: 2022-12-25), 10-Q (reporting date: 2022-09-25), 10-K (reporting date: 2022-06-26), 10-Q (reporting date: 2022-03-27), 10-Q (reporting date: 2021-12-26), 10-Q (reporting date: 2021-09-26).
1 Q1 2027 Calculation
Debt to assets = Total debt ÷ Total assets
= 3,735,444 ÷ 26,353,056 = 0.14
2 Click competitor name to see calculations.
The solvency profile demonstrates a consistent strengthening from September 2021 through September 2026. There is a clear transition from a moderate leverage position to a highly conservative financial structure, characterized by a sustained decline in the debt-to-assets ratio.
- Debt Management Trends
- Total debt remained relatively stagnant, hovering around 5 billion USD, from September 2021 until December 2024. A significant shift occurred in March 2025, when debt levels decreased to approximately 4.48 billion USD, followed by a further reduction to 3.73 billion USD by March 2026. This indicates a deliberate strategic effort to deleverage the balance sheet in the latter half of the analyzed period.
- Asset Base Expansion
- Total assets exhibited a strong and steady upward trajectory, increasing from 15.57 billion USD in September 2021 to 26.35 billion USD by September 2026. The most accelerated growth occurred between March 2026 and September 2026, contributing significantly to the improvement of the overall solvency position.
- Debt-to-Assets Ratio Analysis
- The debt-to-assets ratio declined from 0.32 in September 2021 to 0.14 by September 2026. This downward trend was initially driven by asset growth while debt remained flat between 2021 and 2024. However, the acceleration of the ratio's decline from 0.22 in March 2025 to 0.14 in September 2026 was the result of simultaneous debt repayment and continued asset appreciation. This progression reflects a substantial reduction in financial risk and an enhanced capacity to cover long-term obligations.
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Financial Leverage
Lam Research Corp., financial leverage calculation (quarterly data)
| Sep 27, 2026 | Jun 28, 2026 | Mar 29, 2026 | Dec 28, 2025 | Sep 28, 2025 | Jun 29, 2025 | Mar 30, 2025 | Dec 29, 2024 | Sep 29, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 24, 2023 | Sep 24, 2023 | Jun 25, 2023 | Mar 26, 2023 | Dec 25, 2022 | Sep 25, 2022 | Jun 26, 2022 | Mar 27, 2022 | Dec 26, 2021 | Sep 26, 2021 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | ||||||||||||||||||||||||||||
| Total assets | 26,353,056) | 23,529,743) | 20,791,910) | 21,391,171) | 21,900,211) | 21,345,260) | 19,968,310) | 19,839,916) | 19,532,489) | 18,744,728) | 18,279,650) | 18,783,852) | 18,538,457) | 18,781,643) | 19,243,361) | 19,206,381) | 18,721,282) | 17,195,632) | 16,589,031) | 16,685,428) | 15,565,552) | |||||||
| Stockholders’ equity | 13,908,474) | 12,470,921) | 10,584,779) | 10,145,426) | 10,192,752) | 9,861,619) | 9,511,105) | 8,808,026) | 8,471,891) | 8,539,454) | 8,022,101) | 8,222,478) | 8,047,330) | 8,210,172) | 8,407,388) | 8,304,635) | 7,412,567) | 6,278,366) | 6,026,490) | 6,475,781) | 5,820,043) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Financial leverage1 | 1.89 | 1.89 | 1.96 | 2.11 | 2.15 | 2.16 | 2.10 | 2.25 | 2.31 | 2.20 | 2.28 | 2.28 | 2.30 | 2.29 | 2.29 | 2.31 | 2.53 | 2.74 | 2.75 | 2.58 | 2.67 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Financial Leverage, Competitors2 | ||||||||||||||||||||||||||||
| Advanced Micro Devices Inc. | — | — | — | 1.26 | 1.24 | 1.22 | 1.26 | 1.25 | 1.24 | 1.20 | 1.22 | 1.20 | 1.21 | 1.21 | 1.23 | 1.23 | 1.24 | 1.23 | 1.24 | 1.22 | 1.21 | |||||||
| Analog Devices Inc. | — | — | 1.44 | 1.42 | 1.42 | 1.42 | 1.41 | 1.35 | 1.37 | 1.37 | 1.38 | 1.39 | 1.36 | 1.37 | 1.37 | 1.38 | 1.38 | 1.38 | 1.37 | 1.37 | 1.37 | |||||||
| Applied Materials Inc. | — | — | 1.70 | 1.68 | 1.73 | 1.78 | 1.75 | 1.77 | 1.79 | 1.81 | 1.79 | 1.76 | 1.81 | 1.88 | 2.01 | 2.06 | 2.08 | 2.19 | 2.17 | 2.20 | 2.14 | |||||||
| Broadcom Inc. | — | — | 1.89 | 2.04 | 2.13 | 2.10 | 2.26 | 2.37 | 2.37 | 2.45 | 2.56 | 2.50 | 2.53 | 3.04 | 3.24 | 3.26 | 3.13 | 3.23 | 3.42 | 3.42 | 3.19 | |||||||
| Intel Corp. | — | — | 1.99 | 2.31 | 1.84 | 1.85 | 1.92 | 1.97 | 1.93 | 1.98 | 1.94 | 1.79 | 1.82 | 1.81 | 1.85 | 1.84 | 1.89 | 1.80 | 1.75 | 1.68 | 1.71 | |||||||
| KLA Corp. | 2.82 | 2.83 | 2.89 | 3.06 | 3.27 | 3.42 | 3.79 | 4.19 | 4.41 | 4.58 | 4.83 | 4.69 | 4.73 | 4.82 | 5.10 | 5.27 | 6.24 | 8.99 | 2.95 | 2.89 | 2.89 | |||||||
| Marvell Technology Inc. | 1.48 | 1.56 | 1.54 | 1.53 | 1.50 | 1.50 | 1.47 | 1.43 | 1.42 | 1.43 | 1.43 | 1.41 | 1.44 | 1.44 | 1.45 | 1.43 | 1.43 | 1.41 | 1.40 | 1.41 | 1.43 | |||||||
| Micron Technology Inc. | — | 1.42 | 1.33 | 1.40 | 1.46 | 1.53 | 1.54 | 1.50 | 1.53 | 1.54 | 1.50 | 1.50 | 1.49 | 1.46 | 1.45 | 1.41 | 1.38 | 1.33 | 1.32 | 1.33 | 1.33 | |||||||
| NVIDIA Corp. | 1.33 | 1.31 | 1.36 | 1.41 | 1.49 | 1.41 | 1.46 | 1.47 | 1.57 | 1.53 | 1.63 | 1.80 | 1.81 | 1.86 | 1.90 | 1.82 | 1.72 | 1.66 | 1.71 | 1.83 | 1.64 | |||||||
| Qualcomm Inc. | — | 2.00 | 2.07 | 2.09 | 2.30 | 2.36 | 2.02 | 2.00 | 2.07 | 2.10 | 2.14 | 2.17 | 2.26 | 2.37 | 2.37 | 2.46 | 2.66 | 2.72 | 2.93 | 3.32 | 3.78 | |||||||
| Texas Instruments Inc. | — | — | 1.92 | 1.99 | 2.05 | 2.13 | 2.11 | 2.13 | 2.06 | 2.10 | 2.05 | 2.04 | 2.05 | 1.91 | 1.90 | 1.94 | 1.92 | 1.87 | 1.80 | 1.75 | 1.80 | |||||||
Based on: 10-Q (reporting date: 2026-09-27), 10-K (reporting date: 2026-06-28), 10-Q (reporting date: 2026-03-29), 10-Q (reporting date: 2025-12-28), 10-Q (reporting date: 2025-09-28), 10-K (reporting date: 2025-06-29), 10-Q (reporting date: 2025-03-30), 10-Q (reporting date: 2024-12-29), 10-Q (reporting date: 2024-09-29), 10-K (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-Q (reporting date: 2023-12-24), 10-Q (reporting date: 2023-09-24), 10-K (reporting date: 2023-06-25), 10-Q (reporting date: 2023-03-26), 10-Q (reporting date: 2022-12-25), 10-Q (reporting date: 2022-09-25), 10-K (reporting date: 2022-06-26), 10-Q (reporting date: 2022-03-27), 10-Q (reporting date: 2021-12-26), 10-Q (reporting date: 2021-09-26).
1 Q1 2027 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 26,353,056 ÷ 13,908,474 = 1.89
2 Click competitor name to see calculations.
A comprehensive analysis of the solvency metrics reveals a systematic strengthening of the balance sheet, characterized by a strategic reduction in financial risk alongside a consistent expansion of the asset base.
- Asset Expansion
- Total assets exhibited a long-term upward trajectory, increasing from 15.57 billion USD in September 2021 to 26.35 billion USD by September 2026. A period of relative stability was observed between September 2022 and December 2023, where assets fluctuated within the 18 to 19 billion USD range. However, a pronounced growth phase commenced in 2024, leading to a significant increase in the total asset base by the end of the analyzed period.
- Equity Growth
- Stockholders' equity demonstrated substantial growth, more than doubling from 5.82 billion USD in September 2021 to 13.91 billion USD in September 2026. This consistent accumulation of equity indicates a strong internal capacity to fund growth and a reduction in the dependency on external liabilities to sustain operations.
- Financial Leverage Trend
- The financial leverage ratio shows a clear and sustained downward trend, shifting the company toward a more conservative capital structure. The ratio reached a peak of 2.75 in March 2022 and subsequently declined to 1.89 by September 2026. This reduction indicates that the growth in equity has outpaced the growth in total assets, thereby lowering the proportion of debt relative to equity used to finance the company's asset base.
The overall trend indicates a significant improvement in solvency. By reducing the financial leverage ratio from 2.67 to 1.89 over the five-year period, the company has decreased its financial risk and enhanced its long-term stability, moving from a more leveraged position to a more equity-heavy financing model.
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