SemiGrowth (@SemiGrowth) on getquin

$LRCX (+0.11%) After the weak $ASML (-0.64%) earnings, I took a quick look at Lam Research and noticed a few things:

Lam is quite attractively valued
Lam is particularly strong in 2 areas:
Asia (China 40%, Korea 18%)
Secondary semiconductors (memory, IoT, etc)
Lam has a significantly higher service share (than ASML) of approx. 40%

ASML has warned of weak China and Korea sales, as sales are more likely to shift towards EUV and US (US accounted for almost 20pp more sales share than in the previous quarter)

This does not bode well for LAM. We could see weak numbers here in 3 days (earnings) as Asia and secondary semiconductors are not performing.

However, LAM is also somewhat different:

There have already been share price losses
LAM presented strong figures last quarter (in contrast to ASML)
LAM is not so strongly restricted by the US authorities
LAM has a high service share, which should limit the downside potential

I would like to buy LAM, but not at this risk. That's why I'm waiting for the earnings to come in.

Memo0606@Memo0606

1Mon

yes i also find them attractive but unfortunately i already bought them 😅 a few days ago
if it goes downhill again I will buy more

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Pezi@Pezi

I'm currently staying away from anything to do with AI or semiconductors. The outlook from $ASML was poor and ASML, as a machine manufacturer, is the start of the supply chain.

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news03@user03

ASML and lam research's dependence on Asian countries and explicitly China is really blatant

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Smudo@Smudeo

Lam is listed in the US and extremely affected by sanctions due to the high proportion of Chinese shares. I see an even higher risk here than with ASML
Sooner or later, China will probably produce here itself.

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