Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).

Current Valuation Ratios
Historical Valuation Ratios (Summary)
Price to Earnings (P/E)
Price to Operating Profit (P/OP)
Price to Sales (P/S)
Price to Book Value (P/BV)

Lam Research Corp., current price multiples

	Lam Research Corp.	Advanced Micro Devices Inc.	Analog Devices Inc.	Applied Materials Inc.	Broadcom Inc.	First Solar Inc.	Intel Corp.	KLA Corp.	Micron Technology Inc.	NVIDIA Corp.	ON Semiconductor Corp.	Qualcomm Inc.	Texas Instruments Inc.	Semiconductors & Semiconductor Equipment	Information Technology
Selected Financial Data
Current share price (P)	$530.12
No. shares of common stock outstanding	134,936,209
Growth rate (g)	36.77%

Earnings per share (EPS)	$34.13
Next year expected EPS	$46.68
Operating profit per share	$39.88
Sales per share	$127.67
Book value per share (BVPS)	$46.53
Valuation Ratios (Price Multiples)
Price to earnings (P/E)	15.53	119.65	36.30	15.91	23.83	—	16.86	16.64	7.60	157.07	18.69	11.00	19.27	25.24	30.39
Price to next year expected earnings	11.36	94.88	35.16	11.84	24.13	—	14.86	12.00	6.57	122.15	15.87	8.77	15.04	21.54	24.56
Price-earnings-growth (PEG)	0.42	4.58	11.24	0.46	—	—	1.25	0.43	0.48	5.49	1.05	0.43	0.69	1.47	1.28
Price to operating profit (P/OP)	13.29	124.95	30.43	13.33	18.80	—	57.91	15.13	6.81	162.43	15.07	8.97	16.62	23.40	25.23
Price to sales (P/S)	4.15	6.69	8.30	4.03	8.06	8.85	2.14	6.00	2.15	25.44	4.27	3.22	8.42	6.35	7.07
Price to book value (P/BV)	11.39	2.88	2.74	8.51	11.78	3.97	1.33	39.45	1.32	31.04	5.75	7.90	11.56	5.65	10.88

Based on: 10-K (reporting date: 2022-06-26).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.

Lam Research Corp., historical price multiples

	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018	Jun 25, 2017
Price to earnings (P/E)	13.77	21.03	24.22	13.64	11.70	15.33
Price to operating profit (P/OP)	11.79	18.34	20.40	12.12	8.66	13.68
Price to sales (P/S)	3.68	5.62	5.43	3.10	2.51	3.25
Price to book value (P/BV)	10.10	13.64	10.55	6.39	4.28	3.82

Based on: 10-K (reporting date: 2022-06-26), 10-K (reporting date: 2021-06-27), 10-K (reporting date: 2020-06-28), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-24), 10-K (reporting date: 2017-06-25).

Valuation ratio	Description	The company
P/E ratio	The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings.	Lam Research Corp. P/E ratio decreased from 2020 to 2021 and from 2021 to 2022.
P/OP ratio	Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit.	Lam Research Corp. P/OP ratio decreased from 2020 to 2021 and from 2021 to 2022.
P/S ratio	An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.	Lam Research Corp. P/S ratio increased from 2020 to 2021 but then decreased significantly from 2021 to 2022.
P/BV ratio	The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return.	Lam Research Corp. P/BV ratio increased from 2020 to 2021 but then decreased significantly from 2021 to 2022.

Lam Research Corp., historical P/E calculation, comparison to benchmarks

	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018	Jun 25, 2017
No. shares of common stock outstanding¹	136,987,792	141,953,681	145,625,225	144,532,998	157,579,984	162,454,686
Selected Financial Data (US$)
Net income (in thousands)	4,605,286)	3,908,458)	2,251,753)	2,191,430)	2,380,681)	1,697,763)
Earnings per share (EPS)²	33.62	27.53	15.46	15.16	15.11	10.45
Share price^1, 3	463.01	578.99	374.57	206.76	176.69	160.21
Valuation Ratio
P/E ratio⁴	13.77	21.03	24.22	13.64	11.70	15.33
Benchmarks
P/E Ratio, Competitors⁵
Advanced Micro Devices Inc.	96.16	45.54	41.66	169.62	68.76	—
Analog Devices Inc.	31.21	68.31	41.43	31.04	22.17	44.94
Applied Materials Inc.	13.55	22.05	22.31	20.25	9.75	16.16
Broadcom Inc.	20.70	40.73	66.37	47.09	8.14	63.27
First Solar Inc.	—	17.16	21.56	—	39.05	—
Intel Corp.	14.54	9.85	11.02	13.91	10.41	—
KLA Corp.	16.89	25.97	25.92	18.44	23.02	15.04
Micron Technology Inc.	6.62	13.38	21.80	7.98	3.40	9.20
NVIDIA Corp.	68.09	78.52	67.57	22.79	48.05	—
ON Semiconductor Corp.	18.26	25.13	73.60	40.58	14.75	—
Qualcomm Inc.	9.75	17.15	28.06	22.03	—	31.96
Texas Instruments Inc.	18.88	20.38	27.95	24.47	18.05	—
P/E Ratio, Sector
Semiconductors & Semiconductor Equipment	23.01	24.27	25.43	19.51	13.94	—
P/E Ratio, Industry
Information Technology	28.52	29.46	33.09	24.52	24.02	—

Based on: 10-K (reporting date: 2022-06-26), 10-K (reporting date: 2021-06-27), 10-K (reporting date: 2020-06-28), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-24), 10-K (reporting date: 2017-06-25).

¹ Data adjusted for splits and stock dividends.

² 2022 Calculation
EPS = Net income ÷ No. shares of common stock outstanding
= 4,605,286,000 ÷ 136,987,792 = 33.62

³ Closing price as at the filing date of Lam Research Corp. Annual Report.

⁴ 2022 Calculation
P/E ratio = Share price ÷ EPS
= 463.01 ÷ 33.62 = 13.77

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/E ratio	The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings.	Lam Research Corp. P/E ratio decreased from 2020 to 2021 and from 2021 to 2022.

Lam Research Corp., historical P/OP calculation, comparison to benchmarks

	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018	Jun 25, 2017
No. shares of common stock outstanding¹	136,987,792	141,953,681	145,625,225	144,532,998	157,579,984	162,454,686
Selected Financial Data (US$)
Operating income (in thousands)	5,381,822)	4,482,023)	2,673,802)	2,464,732)	3,213,299)	1,902,132)
Operating profit per share²	39.29	31.57	18.36	17.05	20.39	11.71
Share price^1, 3	463.01	578.99	374.57	206.76	176.69	160.21
Valuation Ratio
P/OP ratio⁴	11.79	18.34	20.40	12.12	8.66	13.68
Benchmarks
P/OP Ratio, Competitors⁵
Advanced Micro Devices Inc.	100.42	39.48	75.77	91.66	51.38	—
Analog Devices Inc.	26.16	56.12	33.76	24.74	17.62	30.97
Applied Materials Inc.	11.35	18.85	18.50	16.36	6.74	14.35
Broadcom Inc.	16.33	30.77	44.03	36.85	19.42	44.93
First Solar Inc.	—	13.70	27.05	—	140.50	—
Intel Corp.	49.91	10.06	9.72	13.29	9.40	—
KLA Corp.	15.36	21.69	20.99	15.60	12.01	10.92
Micron Technology Inc.	5.93	12.48	19.51	6.83	3.20	7.98
NVIDIA Corp.	66.13	75.05	66.39	24.81	45.61	—
ON Semiconductor Corp.	14.72	19.70	49.43	19.86	10.92	—
Qualcomm Inc.	7.95	15.84	23.32	12.60	103.26	30.15
Texas Instruments Inc.	16.29	17.67	26.53	21.46	15.00	—
P/OP Ratio, Sector
Semiconductors & Semiconductor Equipment	21.34	21.98	22.57	16.78	12.57	—
P/OP Ratio, Industry
Information Technology	23.67	25.97	28.23	21.20	17.17	—

Based on: 10-K (reporting date: 2022-06-26), 10-K (reporting date: 2021-06-27), 10-K (reporting date: 2020-06-28), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-24), 10-K (reporting date: 2017-06-25).

¹ Data adjusted for splits and stock dividends.

² 2022 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 5,381,822,000 ÷ 136,987,792 = 39.29

³ Closing price as at the filing date of Lam Research Corp. Annual Report.

⁴ 2022 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 463.01 ÷ 39.29 = 11.79

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/OP ratio	Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit.	Lam Research Corp. P/OP ratio decreased from 2020 to 2021 and from 2021 to 2022.

Lam Research Corp., historical P/S calculation, comparison to benchmarks

	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018	Jun 25, 2017
No. shares of common stock outstanding¹	136,987,792	141,953,681	145,625,225	144,532,998	157,579,984	162,454,686
Selected Financial Data (US$)
Revenue (in thousands)	17,227,039)	14,626,150)	10,044,736)	9,653,559)	11,076,998)	8,013,620)
Sales per share²	125.76	103.03	68.98	66.79	70.29	49.33
Share price^1, 3	463.01	578.99	374.57	206.76	176.69	160.21
Valuation Ratio
P/S ratio⁴	3.68	5.62	5.43	3.10	2.51	3.25
Benchmarks
P/S Ratio, Competitors⁵
Advanced Micro Devices Inc.	5.38	8.76	10.63	8.59	3.58	—
Analog Devices Inc.	7.14	12.98	9.03	7.06	5.35	6.40
Applied Materials Inc.	3.43	5.63	4.69	3.75	1.87	3.82
Broadcom Inc.	7.00	9.55	7.40	5.62	4.78	6.07
First Solar Inc.	6.88	2.75	3.17	1.74	2.51	—
Intel Corp.	1.85	2.48	2.96	4.07	3.09	—
KLA Corp.	6.09	7.80	5.43	4.74	4.57	4.00
Micron Technology Inc.	1.87	2.83	2.73	2.15	1.58	2.30
NVIDIA Corp.	24.67	20.40	17.31	8.06	15.07	—
ON Semiconductor Corp.	4.17	3.76	3.28	1.56	1.57	—
Qualcomm Inc.	2.85	4.62	6.20	3.98	3.37	3.54
Texas Instruments Inc.	8.25	8.63	10.81	8.54	6.38	—
P/S Ratio, Sector
Semiconductors & Semiconductor Equipment	5.79	6.15	5.71	4.60	3.76	—
P/S Ratio, Industry
Information Technology	6.63	7.69	7.33	5.66	4.71	—

Based on: 10-K (reporting date: 2022-06-26), 10-K (reporting date: 2021-06-27), 10-K (reporting date: 2020-06-28), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-24), 10-K (reporting date: 2017-06-25).

¹ Data adjusted for splits and stock dividends.

² 2022 Calculation
Sales per share = Revenue ÷ No. shares of common stock outstanding
= 17,227,039,000 ÷ 136,987,792 = 125.76

³ Closing price as at the filing date of Lam Research Corp. Annual Report.

⁴ 2022 Calculation
P/S ratio = Share price ÷ Sales per share
= 463.01 ÷ 125.76 = 3.68

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/S ratio	An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative.	Lam Research Corp. P/S ratio increased from 2020 to 2021 but then decreased significantly from 2021 to 2022.

Lam Research Corp., historical P/BV calculation, comparison to benchmarks

	Jun 26, 2022	Jun 27, 2021	Jun 28, 2020	Jun 30, 2019	Jun 24, 2018	Jun 25, 2017
No. shares of common stock outstanding¹	136,987,792	141,953,681	145,625,225	144,532,998	157,579,984	162,454,686
Selected Financial Data (US$)
Stockholders’ equity (in thousands)	6,278,366)	6,027,188)	5,172,494)	4,673,865)	6,501,851)	6,817,451)
Book value per share (BVPS)²	45.83	42.46	35.52	32.34	41.26	41.97
Share price^1, 3	463.01	578.99	374.57	206.76	176.69	160.21
Valuation Ratio
P/BV ratio⁴	10.10	13.64	10.55	6.39	4.28	3.82
Benchmarks
P/BV Ratio, Competitors⁵
Advanced Micro Devices Inc.	2.32	19.21	17.77	20.46	18.30	—
Analog Devices Inc.	2.35	2.50	4.22	3.61	3.02	3.22
Applied Materials Inc.	7.25	10.60	7.63	6.67	4.73	5.94
Broadcom Inc.	10.23	10.50	7.40	5.09	3.74	5.28
First Solar Inc.	3.09	1.35	1.56	1.05	1.08	—
Intel Corp.	1.15	2.05	2.84	3.78	2.94	—
KLA Corp.	40.05	15.98	11.83	8.15	11.39	10.50
Micron Technology Inc.	1.15	1.79	1.50	1.40	1.49	2.51
NVIDIA Corp.	24.95	20.13	15.48	10.10	19.60	—
ON Semiconductor Corp.	5.61	5.53	4.87	2.60	2.92	—
Qualcomm Inc.	7.00	15.59	24.00	19.69	82.57	2.56
Texas Instruments Inc.	11.33	11.87	17.02	13.79	11.20	—
P/BV Ratio, Sector
Semiconductors & Semiconductor Equipment	5.15	6.13	6.02	5.02	4.51	—
P/BV Ratio, Industry
Information Technology	10.21	11.69	10.81	8.36	7.30	—

Based on: 10-K (reporting date: 2022-06-26), 10-K (reporting date: 2021-06-27), 10-K (reporting date: 2020-06-28), 10-K (reporting date: 2019-06-30), 10-K (reporting date: 2018-06-24), 10-K (reporting date: 2017-06-25).

¹ Data adjusted for splits and stock dividends.

² 2022 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 6,278,366,000 ÷ 136,987,792 = 45.83

³ Closing price as at the filing date of Lam Research Corp. Annual Report.

⁴ 2022 Calculation
P/BV ratio = Share price ÷ BVPS
= 463.01 ÷ 45.83 = 10.10

⁵ Click competitor name to see calculations.

Valuation ratio	Description	The company
P/BV ratio	The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return.	Lam Research Corp. P/BV ratio increased from 2020 to 2021 but then decreased significantly from 2021 to 2022.

Lam Research Corp. (NASDAQ:LRCX)

Common Stock Valuation Ratios (Price Multiples)

Current Valuation Ratios

Historical Valuation Ratios (Summary)

Price to Earnings (P/E)

Price to Operating Profit (P/OP)

Price to Sales (P/S)

Price to Book Value (P/BV)