Lam Research Corporation (LRCX) PEG Ratio

Potentially Overvalued

PE ratio relative to earnings growth — is the valuation justified?

6.18

PEG Ratio

6.18

Growth Rate Source

Good Data Quality5-Year EPS CAGR

Current Price

$291.61

TTM EPS

$5.30

P/E Ratio

55.02

Growth Rate

8.9%

5-Year EPS CAGR

Sector

Technology

Semiconductors

Calculated

7/28/2026

6:39:55 AM

Peer Comparison

Sample Size

4 peers

Industry Median PEG

2.40

25th Percentile

2.29

75th Percentile

2.84

LRCX PEG (6.18) vs Industry Median (2.40): 157% premium

Symbol	Company	PEG	P/E	Growth	vs LRCX
PLAB	Photronics, Inc.	0.34	11.8	34.5%	-94%
ACLS	Axcelis Technologies, Inc.	2.29	46.9	20.5%	-63%
ASML	ASML Holding N.V.	2.52	60.1	23.8%	-59%
AMAT	Applied Materials, Inc.	2.84	48.6	17.1%	-54%

How to Interpret PEG Ratio

PEG < 1.0 — Potentially Undervalued. The stock may be priced below its earnings growth rate, suggesting a potential buying opportunity.

PEG 1.0–2.0 — Fairly Valued. The stock price is roughly in line with its earnings growth. A PEG of 1.0 is often considered "fair value."

PEG > 2.0 — Potentially Overvalued. The stock may be priced above what its earnings growth justifies.

Limitations:PEG ratios are less reliable for financial firms (earnings driven by interest margins), companies with negative/zero earnings growth, and hypergrowth companies (>100% growth) where the ratio may appear misleadingly low. Always use PEG alongside other valuation metrics.

Lam Research Corporation (LRCX) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on LRCX

Compare with peers

Explore

Lam Research Corporation (LRCX) PEG Ratio

Peer Comparison

How to Interpret PEG Ratio

More on LRCX

Compare with peers

Explore