Lam Research: memory is spending, China is the question

Lam Research sells the etch and deposition tools that build memory and logic chips, and memory makers are spending: memory was 46% of its systems sales in the quarter to September 2026, up from 34% a year earlier, and Korea revenue roughly doubled. Revenue was $8.22B, up 54%, at a 52% gross margin, ahead of its own guidance for a second quarter, and on 5 November the board added a $25B buyback. We are WATCHING rather than buying for two reasons. China was 35% of revenue, up from 26% a quarter earlier, with management reportedly guiding it sharply lower for December and the risk that some of it was pulled forward ahead of tighter export rules. And the growth is slowing: the December guide of $8.60B is about 5% above September after a 22% jump, and 2026 may be the peak year for chip-equipment spending. MenFem's memory calls (SK Hynix, Micron, Samsung) are Lam's customers; this call waits to see whether their spending carries Lam once China steps down. WATCHING, conviction MEDIUM, one year. This view was formed by MenFem's research process at Connor's request and adopted by him. The entry is the live pre-market quote on 6 November 2026.