LRCX
Lam Research Corporation
LRCX offers stronger fundamentals, but that advantage does not outweigh its weaker overall profile.
MSFT
Microsoft Corporation
MSFT has a slight edge over LRCX overall, supported by stronger valuation and lower modeled downside.
LRCX Fundamentals
| Metric | Status |
|---|---|
| Strong | |
| Strong | |
| Strong | |
| Strong |
LRCX's revenue, profitability, cash flow and balance sheet are all currently strong.
MSFT Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Healthy | |
| Strong |
MSFT's revenue, profitability, cash flow and balance sheet are all currently healthy.
LRCX PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Cheap | 16x | $109 | -53% |
| Forward | 23x | $234 | — |
| Fair | 24x | $161 | -31% |
| Expensive | 35x | $236 | +0.9% |
| Current | 35x | $234 | — |
Historical ranges are pointers, not guarantees.
LRCX's PE is in its expensive range at 35x. If earnings grow as analysts expect, today's price would be 23x next year's earnings, in its fair range.
MSFT PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 25x | $523 | — |
| Cheap | 27x | $525 | +0.4% |
| Current | 27x | $523 | — |
| Fair | 34x | $652 | +25% |
| Expensive | 37x | $711 | +36% |
Historical ranges are pointers, not guarantees.
MSFT has the edge over LRCX in the historical PE scenario, which offers more potential upside but is not a forecast.
LRCX Forward outlook
| Metric | Outlook |
|---|---|
| Strongly improving | |
| Strong growth | |
| Strong growth | |
| Strongly improving | |
| Moderate | |
| High |
LRCX has the edge over MSFT on the outlook, with more favorable profitability expectations.
MSFT Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Strong growth | |
| Stable | |
| Moderate | |
| High |
Analysts expect strong earnings and revenue growth for MSFT, with profitability holding steady.
LRCX Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $10.20 | +52% |
| Q3 2026 | $6.71 | +48% |
| Q2 2026 | $5.76 | +39% |
| Q1 2026 | $5.29 | +47% |
| Q4 2025 | $4.87 | +48% |
| Q3 2025 | $4.53 | +47% |
| Q2 2025 | $4.15 | +43% |
| Q1 2025 | $3.59 | +32% |
| Q4 2024 | $3.29 | +27% |
LRCX has the edge over MSFT on earnings, with stronger typical year-over-year growth.
MSFT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $20.79 | +8.6% |
| Q3 2026 | $19.15 | +36% |
| Q2 2026 | $17.95 | +32% |
| Q1 2026 | $16.80 | +30% |
| Q4 2025 | $15.99 | +29% |
| Q3 2025 | $14.06 | +16% |
| Q2 2025 | $13.64 | +16% |
| Q1 2025 | $12.93 | +12% |
| Q4 2024 | $12.41 | +12% |
MSFT's earnings per share have climbed steadily: $19.15 over the past year, up 36% from the year before, and higher year over year for 14 quarters in a row.
LRCX Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $8.2B | +54% |
| Q2 2026 | $6.7B | +30% |
| Q1 2026 | $5.8B | +24% |
| Q4 2025 | $5.3B | +22% |
| Q3 2025 | $5.3B | +28% |
| Q2 2025 | $5.2B | +34% |
| Q1 2025 | $4.7B | +24% |
| Q4 2024 | $4.4B | +16% |
LRCX has the edge over MSFT on sales, with stronger typical year-over-year growth.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 40% | +5.6 points |
| Q2 2026 | 37% | +3.7 points |
| Q1 2026 | 35% | +1.9 points |
| Q4 2025 | 34% | +3.4 points |
| Q3 2025 | 34% | +4 points |
| Q2 2025 | 34% | +4.6 points |
| Q1 2025 | 33% | +5.2 points |
| Q4 2024 | 30% | +2.4 points |
LRCX's operating margin was 40% last quarter, up 5.6 points from the same quarter a year ago, near the top of its range since 2019.
MSFT Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $92.3B | +19% |
| Q2 2026 | $90B | +18% |
| Q1 2026 | $82.9B | +18% |
| Q4 2025 | $81.3B | +17% |
| Q3 2025 | $77.7B | +18% |
| Q2 2025 | $76.4B | +18% |
| Q1 2025 | $70.1B | +13% |
| Q4 2024 | $69.6B | +12% |
MSFT's revenue has grown year over year every quarter since late 2020: $92.3B last quarter, up 19% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 50% | +0.9 points |
| Q2 2026 | 45% | +0.2 points |
| Q1 2026 | 46% | +0.7 points |
| Q4 2025 | 47% | +1.6 points |
| Q3 2025 | 49% | +2.3 points |
| Q2 2025 | 45% | +1.8 points |
| Q1 2025 | 46% | +1.1 points |
| Q4 2024 | 45% | +1.9 points |
MSFT has the edge over LRCX on profitability, with a higher operating margin.
LRCX Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $3.2B | +103% |
| Q2 2026 | $1.3B | -47% |
| Q1 2026 | $809.8M | -21% |
| Q4 2025 | $1.2B | +120% |
| Q3 2025 | $1.6B | +9.3% |
| Q2 2025 | $2.4B | +213% |
| Q1 2025 | $1B | -20% |
| Q4 2024 | $553.6M | -59% |
LRCX has the edge over MSFT on cash flow, with more consistent year-over-year improvement.
MSFT Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $18.6B | -27% |
| Q2 2026 | $19.6B | -23% |
| Q1 2026 | $15.8B | -22% |
| Q4 2025 | $5.9B | -9.3% |
| Q3 2025 | $25.7B | +33% |
| Q2 2025 | $25.6B | +9.6% |
| Q1 2025 | $20.3B | -3.2% |
| Q4 2024 | $6.5B | -29% |
MSFT's free cash flow has been positive every quarter for seven years: $60B over the past year, down 23% from the year before.
LRCX Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.4% | -5.3M shares |
| 1 year | -1.1% | -13.5M shares |
| 3 years | -5.7% | -75.9M shares |
| 5 years | -12% | -170M shares |
| Available history | -16% | -245M shares |
LRCX has the edge over MSFT on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q3 2026 | $1B |
| Q2 2026 | $246.6M |
| Q1 2026 | $1.2B |
| Q4 2025 | $1.5B |
| Q3 2025 | $975.8M |
| Q2 2025 | $1.3B |
| Q1 2025 | $435.3M |
| Q4 2024 | $697.7M |
LRCX spent $3.9B buying back its own shares over the past year, up 15% from the year before.
MSFT Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.1% | -7M shares |
| 1 year | -0.3% | -20M shares |
| 3 years | -0.2% | -16M shares |
| 5 years | -1.6% | -121M shares |
| Available history | -3.2% | -245M shares |
MSFT has 7.4B diluted shares, about the same as a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | $4.4B |
| Q2 2026 | $4.6B |
| Q1 2026 | $4.6B |
| Q4 2025 | $7.4B |
| Q3 2025 | $5.7B |
| Q2 2025 | $4.5B |
| Q1 2025 | $4.8B |
| Q4 2024 | $5B |
MSFT spent $21B buying back its own shares over the past year, up 5.2% from the year before.
LRCX Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | -0.4x | Net Cash |
| Q2 2026 | -0.2x | Net Cash |
| Q1 2026 | -0.1x | Net Cash |
| Q4 2025 | -0.2x | Net Cash |
| Q3 2025 | -0.3x | Net Cash |
| Q2 2025 | -0.3x | Net Cash |
| Q1 2025 | -0.2x | Net Cash |
| Q4 2024 | -0.1x | Net Cash |
LRCX has the edge over MSFT on leverage, with a lower net debt burden relative to earnings.
MSFT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 0.1x | Very low |
| Q2 2026 | 0.1x | Very low |
MSFT's net debt is less than a year of its operating earnings (EBITDA).
LRCX Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 42.5 | Neutral |
| Stochastic | 16.7 | Oversold |
LRCX's weekly RSI is 43 (neutral) and its Stochastic is 17 (oversold).
MSFT Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 62.1 | Neutral |
| Stochastic | 68.0 | Neutral |
MSFT's weekly RSI is 62 (neutral) and its Stochastic is 68 (neutral).
LRCX PE vs Technology Sector
| Metric | LRCX | Sector median | Relative |
|---|---|---|---|
| PE | 35x | 28x | 25% above |
| PE % | 82 | 35 | 47 pts above |
LRCX is trading at 35x earnings, a 25% premium to the Technology sector's median of 28x.
MSFT PE vs Technology Sector
| Metric | MSFT | Sector median | Relative |
|---|---|---|---|
| PE | 27x | 28x | 2% below |
| PE % | 16 | 35 | 19 pts below |
MSFT has the edge over LRCX on valuation relative to its sector.
LRCX Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $268.6 | 13% below |
| 20 week MA | $295.8 | 21% below |
| 50 week MA | $267.5 | 13% below |
| 100 week MA | $182.7 | 28% above |
| 200 week MA | $128.3 | 82% above |
LRCX has pulled back, but its long-term trend is still up: it's below its 8-, 20- and 50-week averages, but 82% above its 200-week average.
MSFT Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $524.7 | 0.3% below |
| 20 week MA | $484.8 | 7.9% above |
| 50 week MA | $446.9 | 17% above |
| 100 week MA | $453.8 | 15% above |
| 200 week MA | $411.5 | 27% above |
MSFT has the edge over LRCX on trend strength, trading above more of its moving averages.
LRCX Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $29.4 | $48.0 | +64% |
| 2021 | $48.0 | $69.9 | +45% |
| 2022 | $69.9 | $41.2 | -41% |
| 2023 | $41.2 | $78.3 | +90% |
| 2024 | $78.3 | $73.4 | -6.3% |
| 2025 | $73.4 | $178.1 | +143% |
| 2026 YTD | $178.1 | $233.8 | +31% |
LRCX has the edge over MSFT on returns for 2026, with the stronger performance.
MSFT Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $159.0 | $222.8 | +40% |
| 2021 | $222.8 | $334.7 | +50% |
| 2022 | $334.7 | $238.7 | -29% |
| 2023 | $238.7 | $376.0 | +58% |
| 2024 | $376.0 | $430.5 | +14% |
| 2025 | $430.5 | $487.7 | +13% |
| 2026 YTD | $487.7 | $523.0 | +7.2% |
MSFT has finished higher in five of the last six years, two of them by more than 50%. It's up 7.2% so far in 2026.