Lam Research Corp (LRCX-Q)

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.