Lam Research Corp. (LRCX) is expected to report Q4 earnings after market close Tuesday July 29, with a conference call scheduled for 5:00 pm ET.
The consensus estimate is 40c for EPS and $549.04M for revenue, according to First Call.
Stifel expects Lam Research to generally meet their Q4 estimates of $552.4M and proforma EPS of 44c, excluding options (39c including options). However, they expect a very cautious outlook and would not be surprised at a relatively meaningful decline in the September quarter, which normally is one of Lam's softest. Stifel expects the majority of the earnings call to focus on: The current memory capex market, which Lam still has a meaningful exposure to; and an update on the integration of its recent acquisition SEZ, and the company's efforts to penetrate the overall wet clean market. In terms of the industry, Stifel expects Lam to feel the pressures of the memory capex decline as many of its peers are experiencing. They believe that recent NAND commentary, which Lam is relatively well exposed to with Toshiba and IM Flash, could signal a larger decline in September than Stifel initially anticipated. However, Stifel believes that most of the bad news of the industry environment is already reflected in the current stock price and even a downward estimate revision should not be a major surprise, particularly given what has happened to several of its peers.