Lam Research management check
LRCX · Information Technology · Semiconductor Materials & Equipment · CEO Timothy M. Archer
Filings as of
4 good · 2 to watch · 1 flagged, across the seven questions below.
- Good
Have owners done well?
Beat its chosen peers$100 invested at the start of fiscal 2022 grew to $633, against $430 for the peer group the company picked itself.
- Good
Does pay follow performance?
Pay rose and fell with returnsOver 5 years, the CEO's pay actually paid (equity valued at the share price) had a correlation of 0.99 with shareholder return. 1 means pay moved in step; below 0, the opposite way.
- Good
What does the CEO cost owners?
0.6% of net income$40.4m of reported pay in fiscal 2026, against $7.3bn of net income.
- Watch
Do they own the stock?
CEO stake ≈ 8.7 years of payThe CEO holds 1,105,966 shares, directly or through trusts (unvested awards not counted): about 8.7 years of pay. 7 insiders sold $106.0m in the last six months and none bought. 53 of 55 sales ran on pre-arranged 10b5-1 plans.
- Watch
Are owners being diluted?
Stock pay 1.7% of revenueStock-based pay was 1.7% of revenue in the latest year.
- Good
Is leadership stable?
6 leadership filings in 3 yearsCEO in the pay table: Timothy M. Archer. 6 filings under 8-K item 5.02 (officers or directors leaving or joining, or new pay arrangements) in the last 3 years.
- Flag
Are the books clean?
Red flags on file1 auditor change (8-K 4.01) since 2021.
Against the S&P 500
Each check's score (0–100) and how it compares: the share of ranked S&P 500 companies it matches or beats, and the median in Information Technology.
| Check | Score | At or above | Sector median |
|---|---|---|---|
| Owner returns | 100 | 33 | |
| Pay for performance | 99 | 87 | |
| CEO cost | 71 | 35 | |
| Skin in the game | 62 | 47 | |
| Dilution | 89 | 56 | |
| Stable leadership | 95 | 85 | |
| Clean books | 30 | 100 |
Closest peers
Others in Semiconductor Materials & Equipment, by management score. Lam Research is 12th of 73 in its sector.
Pay versus performance
From the proxy statement filed September 24, 2026. "Actually paid" values stock awards at the share price, so it rises and falls with the stock.
| Fiscal year | CEO | CEO pay | Actually paid | Other executives (avg) | $100 became | Peers | Net income |
|---|---|---|---|---|---|---|---|
| 2026 | Timothy M. Archer | $40.4m | $320.6m | $8.8m | $633 | $430 | $7.3bn |
| 2025 | — | $28.3m | $14.7m | $8.4m | $161 | $179 | $5.4bn |
| 2024 | — | $30.1m | $71.7m | $6.9m | $175 | $175 | $3.8bn |
| 2023 | — | $18.3m | $35.5m | $4.7m | $99 | $111 | $4.5bn |
| 2022 | — | $16.9m | $10.3m | $4.2m | $72 | $85 | $4.6bn |
The board says pay is tied most to non-GAAP operating income as a percentage of revenue. Its other key measures: Non-GAAP operating income as a percentage of revenue (Company-Selected Measure), Relative TSR (defined as the Company’s TSR relative to the TSR of the PHLX Semiconductor Sector Total Return Index), Non-GAAP gross margin as a percentage of revenue.
Insiders and the CEO's stake
Timothy Archer (President and CEO) held 1,105,966 shares directly after their latest Form 4 on Sep 9, 2026, roughly $353.1m at that filing's price.
7 insiders sold $106.0m in the last six months and none bought. 53 of 55 sales ran on pre-arranged 10b5-1 plans.
- SoldEric BrandtDirector · 10b5-1 plan$39.1mJun 12, 2026
- SoldTimothy ArcherPresident and CEO · 10b5-1 plan$30.3mSep 9, 2026
- SoldSeshasayee VaradarajanSenior Vice President · 10b5-1 plan$17.4mSep 2, 2026
- SoldNeil J FernandesSenior Vice President · 10b5-1 plan$7.0mJun 1, 2026
Leadership and governance on file
- Aug 27, 2026Leadership change8-K 5.02
- Feb 4, 2026Leadership change8-K/A 5.02
- Feb 3, 2026Leadership change8-K 5.02
- Nov 6, 2025Leadership change8-K 5.02
- Sep 11, 2025Auditor change8-K 4.01
- Sep 18, 2024Leadership change8-K 5.02
- Aug 30, 2024Leadership change8-K 5.02
- Aug 24, 2023Leadership change8-K 5.02
- Feb 21, 2023Leadership change8-K 5.02
- Feb 9, 2023Leadership change8-K 5.02
- Sep 19, 2022Leadership change8-K 5.02
- May 11, 2022Leadership change8-K 5.02
Latest shareholder vote results: Nov 6, 2025, including the say-on-pay vote.
Where the money went
Over 2021–2025: $17.3bn returned to owners in buybacks and dividends, 80% of net income, and $1.3bn of pay in stock.
| Fiscal year | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|
| Revenue | $17.2bn | $17.4bn | — | $18.4bn | $23.2bn |
| Net income | $4.6bn | $4.5bn | — | $5.4bn | $7.3bn |
| Stock-based pay | $259.1m | $286.6m | — | $343.4m | $386.4m |
| Buybacks | $3.9bn | $2.0bn | — | $3.4bn | $3.9bn |
| Dividends | $815.3m | $907.9m | — | $1.1bn | $1.3bn |
| Diluted shares | 141m | 1358m | — | 1290m | 1261m |
Educational only, not investment advice. Figures are as filed with the SEC: pay from the proxy's pay-versus-performance table, capital allocation from 10-K XBRL data, insider trades from Form 4s over the last six months, events from the last 5 years of filings. The peer group is the one the company chose. See the method.