LRCXNEUTRAL

LRCX Return on Equity (ROE) Analysis

65.1%

Higher than 86% of TECHNOLOGY sector peers

Updated 924h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder equity; LRCX's current 65.1% means it earns $0.65 for every $1 of equity.

Sector Performance

86th percentile

LRCX

65.1%

Sector Median

30.6%

Sector Avg

33.6%

Prior Period

66.8%(Jul 2026)

↓ Declining

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Deep Analysis

Return on equity (ROE) measures how much profit a company generates from each dollar of shareholder equity; LRCX's current 65.1% means it earns $0.65 for every $1 of equity.

That figure sits well above the technology sector median of 30.6%, placing the company in the 86th percentile of peers. Trend data is unavailable: no year-over-year, quarter-over-quarter, or prior eight-quarter values were reported, so only the current snapshot can be assessed. The high level alone signals strong historical capital efficiency, yet the lack of trend information leaves no evidence on whether this performance is improving or fading. For an investor, this combination points to a mature profit engine with unknown forward momentum, tempering both excitement and alarm. This metric supports the overall NEUTRAL verdict by confirming strength in absolute terms while offering no directional clue to justify a more bullish or bearish stance.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about LRCX?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does LRCX's Return on Equity (ROE) compare to its sector?

LRCX's Return on Equity (ROE) of 65.1% compares to a TECHNOLOGY sector median of 30.6%, placing it in the 86th percentile.

Who are LRCX's closest peers by Return on Equity (ROE)?

The closest TECHNOLOGY peers by Return on Equity (ROE) include: QCOM (33.8%), CSCO (27.3%), TXN (35.2%), MRVL (16.5%), NOW (14.2%).

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Learn More About Return on Equity (ROE)

What Is Return on Equity (ROE) and Is Higher Always Better?

Return on equity ROE measures how efficiently a company generates profit from shareholder capital. Learn how to decompose ROE using DuPont analysis and why high leverage can make it dangerous—with Apple and JPMorgan examples.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.