Lam Research reports fiscal third-quarter 2026 results on 22 April, following four consecutive earnings beats. The semiconductor equipment maker posted second-quarter revenue of $5.344 billion, beating estimates by 2.01%, with non-GAAP earnings per share of $1.27, exceeding consensus by 8.7%. The company guided third-quarter revenue to $5.70 billion, though gross margins are expected to compress to approximately 49.0% from 49.6% due to tariff pressures and customer mix shifts. Since its last earnings report, shares have declined 13% from $252.41 to roughly $218.90, despite remaining up 27.76% year to date. Analysts will focus on whether AI-driven equipment demand and gate-all-around adoption can offset margin headwinds and China revenue concentration risks when the company reports.

Micron Technology's strong second-quarter results signal significant opportunities for semiconductor equipment manufacturer Lam Research, whose stock has tripled over the past year. Micron reported fiscal Q2 2026 revenue nearly tripling year-over-year to $23.9 billion, with non-GAAP operating margin jumping from 25% to 69%. Critically for Lam Research, Micron announced plans to increase its fiscal 2026 capital expenditure beyond $25 billion, up from a previous $20 billion estimate and significantly higher than last year's $13.8 billion. CEO Sanjay Mehrotra indicated that fiscal 2027 capex will increase further to support high-bandwidth memory and DRAM investments. Micron currently fulfils only 50% to two-thirds of customer demand, driving investments in cleanroom facilities and manufacturing equipment. Lam Research derives 34% of revenue from memory chipmaking equipment sales, positioning it to benefit substantially from this spending surge.

Semiconductor manufacturing stocks delivered strong fourth-quarter results, with the 14 companies tracked reporting revenues that beat analyst estimates by 3% on average. Share prices have risen 3.3% on average since earnings announcements. Lam Research reported revenues of $5.34 billion, up 22.1% year-on-year, exceeding expectations by 1.8%. The company posted an exceptional quarter with earnings per share beats and forward revenue guidance surpassing analyst forecasts. However, its stock has declined 2% since reporting, currently trading at $234.88. Teradyne led the sector with revenues of $1.08 billion, up 43.9% year-on-year, beating estimates by 11%. The company showed significant inventory improvements and delivered the largest analyst beat and fastest revenue growth amongst peers. Its shares have surged 23.3% since reporting to $307.79.