Lam Research(US:LRCX) CMS·2025-05-16 08:03Investment Rating - The report maintains a positive outlook on the industry, indicating a recommendation for investment based on the expected growth in the semiconductor equipment sector [3]. Core Insights - The report highlights that Lam Research Corporation (LRCX) reported a revenue of $4.72 billion for Q1 2025, representing a year-over-year increase of 24.4% and a quarter-over-quarter increase of 7.9% [1][24]. - The gross margin reached 49.0%, marking a new high since the merger with Novellus, driven by an improved product mix [1][26]. - The guidance for Q2 2025 anticipates revenue between $4.7 billion and $5.3 billion, with a midpoint indicating a year-over-year growth of 29% [3][30]. Revenue Breakdown - In Q1 2025, the revenue breakdown by segment shows that storage accounted for 43%, with NAND contributing 20% and DRAM 23% [2][25]. - The foundry business saw a significant increase, with its revenue share rising to 48%, benefiting from strong demand in advanced packaging and GAA technology [2][25]. - Geographically, revenue from mainland China remained stable at 31%, while Taiwan's revenue surged by 236% year-over-year, reaching a record high [2][25]. Future Outlook - The company expects continued growth in foundry and NAND revenues, with no signs of customers pulling orders forward due to tariffs [3][30]. - The report emphasizes the importance of technological advancements and strategic investments in maintaining competitive advantages in the semiconductor market [20][58]. - The anticipated capital expenditures for 2025 are projected to support ongoing innovation and expansion in manufacturing capabilities [29][58].