FFilingSight

Lam Research Corp. (LRCX) 10-K Red Flags

Risk signals extracted deterministically from Lam Research Corp.’s SEC 10-K/10-Q XBRL filings — no LLM, every finding cites the underlying data.

Detected red flags (12)

  • Receivables outpacing revenue: Accounts receivable grew +58.1% YoY vs revenue growth of +26.0%. The +32.0% spread suggests extended credit terms, channel stuffing risk, or collection deterioration. Investigate the allowance for doubtful accounts and DSO trend.
  • Earnings-cash flow divergence: Net income grew +35.6% while operating cash flow declined -5.1%. This divergence may indicate accrual-based earnings inflation — non-cash gains, aggressive revenue recognition, or working capital absorption. The accrual ratio (NI − OCF) is deteriorating.
  • NEW: Restatement of financial statements in latest filing: The term "restatement of" "previously issued" appears in recent 10-K/10-Q filings but was NOT present in the prior 24-month period. This is a new risk disclosure that warrants attention. Found in 5 filing(s).
  • R&D intensity declining: R&D as % of revenue fell from 11.4% to 10.2%. This may signal reduced innovation investment — potentially impacting long-term competitive position. Compare with peer R&D trends.
  • Endogenous analysis: Revenue grew +26.0% but receivables grew +58.1% — the receivables-to-revenue gap suggests growth may be partially driven by extended credit terms rather than genuine demand. If DSO continues to rise, a revenue reversal or bad-debt charge could follow.
  • 20 new XBRL disclosure(s) in latest filing — expanding reporting scope.
  • 16 disclosure(s) dropped from prior year — reduced reporting granularity.
  • 1 new risk-language term(s) detected in filing text: Restatement of financial statements.
  • Market cap $385.88B at $308.38 per share.
  • Trailing P/E 53.54, P/S 16.61, P/B 30.94.
  • Receivables outpacing revenue: Accounts receivable grew +58.1% YoY vs revenue growth of +26.0%. The +32.0% spread suggests extended credit terms, channel stuffing risk, or collection deterioration. Investigate the allowance for doubtful accounts and DSO trend.
  • Earnings-cash flow divergence: Net income grew +35.6% while operating cash flow declined -5.1%. This divergence may indicate accrual-based earnings inflation — non-cash gains, aggressive revenue recognition, or working capital absorption. The accrual ratio (NI − OCF) is deteriorating.

Filings & ownership

  • Latest annual report (10-K) filed Aug 7, 2026.
  • Latest quarterly report (10-Q) filed Apr 23, 2026.
  • 10 recent 8-K material-event filings in the index.
  • Recent insider Form 4s: 0 buy vs 0 sell transactions.
  • ~10,000+ recent 13F-HR filings reference Lam Research Corp.; broad institutional reporting.
  • Recent filers include LANSDOWNE PARTNERS (UK) LLP, LANSDOWNE PARTNERS (UK) LLP, LANSDOWNE PARTNERS (UK) LLP.
  • 20 recent 13G passive institutional ownership notices.

Full LRCX analyst report

Valuation (DCF & Graham), technicals, macro exposure, risk scorecard and 13F/13D ownership.

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