By Fahad Saleem
Publication Date: 2026-05-01 14:47:00
We just covered Here is How Billionaire Philippe Laffont’s Top 10 Picks Crushed The Market. Lam Research Corporation (NASDAQ:LRCX) ranks #10 (see the Here is How Billionaire Philippe Laffont’s Top 5 Picks Crushed The Market).
YTD Stock Performance: +35%
Philippe Laffont’s Stake: $1.67 Billion
Lam Research Corporation (NASDAQ:LRCX) has been one of the biggest winners in the portfolio during the AI boom because it’s a key pick-and-shovel name. The company makes wafer fabrication equipment, mainly etch and deposition systems, which are essential steps in building advanced chips. These tools are used repeatedly in the production of AI chips, including GPUs, high-bandwidth memory (HBM), and advanced logic semiconductors. The company’s equipment is critical as AI data center demand accelerates, chip designs are becoming more complex, especially with the shift toward 3D architectures and smaller process nodes.
Only a few global players compete at the highest level in etch and deposition technology, which means a strong moat for Lam Research Corporation (NASDAQ:LRCX). Once a chipmaker qualifies Lam’s tools for its production process, switching costs are extremely high due to the sensitivity of advanced manufacturing.
Lam Research (NASDAQ:LRCX) customers include major semiconductor manufacturers such as TSMC, Samsung, Intel, Micron, SK hynix, and SMIC, along with other global foundries and memory chip producers. These companies use Lam’s equipment…
