Lam Research Corp (LRCX)

Great opportunity to pick up 4 pillars. MU on the manufacturing, TSM for the foundry, LRCX or KLAC or ASML as the equipment suppliers, NVDA is a gift down here as a designer. And (he can't believe he's going to say this) even INTC; come 2025, it will be competitive with NVDA.

Take a bit off, and put proceeds into its competitor ASML.

They announced a 10-for-1 stock split and a major buyback last week. They reported strong numbers last April and shares were already up 20% for the year.

There are probably 4 in this category of semiconductor equipment suppliers. LRCX does design, manufactures the equipment, refurbishes and services the equipment. 12-month price target of $1069, decent runway. Reports soon. Very conservative, so we won't get surprised. 

ASML using ultraviolet to etch chips has become the cat's meow, carving out a nice niche for EUVs. It's a bit cheaper. Reported last week, positive on top and bottom lines but lowered guidance. It sees demand coming back very strong in second half. Semis are a big thing with the AI revolution. Opportunity to buy a fantastic company at a cheaper price. 12-month price target of $1070.

For new money, put half in each.

Equipment suppliers for semiconductor industry. Older school, cheaper than cutting-edge lithography companies. 12-month price target for LRCX of $1070, up 35% in last 100 days, great company, seems very competitive. Closest comparison would be to KLA.

Is up 80% this year. Don't buy, but take profits. Likes it.

Will benefit from the US chips act. He targets $680; can buy at $570 and $540.

It has free cash flow geneation given revenues without heavy leverage exposure. A quality name.

Shares have bottomed and the balance sheet is strong. The worst has passed and is now an opportunity.

Worries her a little because peers like Micron are reporting lower numbers, but expectations here are low. She trimmed a few weeks ago. Inventories still need to bottom in the next quarter or two.

Really likes this. You can't make semis without the equipment that makes semis. True, this is subject to cylicality like the semis, but Lam's equipment is critical. Long-term, it's a good stock, but there's slowing momentum in semis ahead. But that would lead to an entry level.