Does Lam Research Corporation (LRCX) Have an Attractive Valuation?

Core Insights - The Artisan Value Fund's third-quarter 2025 performance was positive, with returns of 0.83% for Investor Class ARTLX, 0.91% for Advisor Class APDLX, and 0.90% for Institutional Class APHLX, compared to a 5.33% return for the Russell 1000 Value Index [1] Company Highlights - Lam Research Corporation (NASDAQ:LRCX) was highlighted as a significant stock in the Artisan Value Fund's third-quarter 2025 investor letter, with a one-month return of 15.04% and a 52-week gain of 146.81% [2] - As of December 26, 2025, Lam Research Corporation's stock closed at $178.07 per share, with a market capitalization of $224.552 billion [2] Investment Strategy - The Artisan Value Fund made three new purchases in Q2 2025, including Lam Research Corporation, which became a top contributor to returns in Q3 [3] - Lam Research is recognized as a key global supplier of semiconductor equipment, particularly in the memory (NAND and DRAM) and foundry/logic markets [3] - The company has a solid financial condition with a net cash balance sheet and returns 100% of earnings to shareholders through share repurchases and dividends [3] - At the time of initial purchase, Lam Research was valued at a 17X P/E on cyclically depressed earnings, which was considered an attractive valuation given the business's compounding nature [3]