Entegris, Inc. (ENTG) vs Lam Research Corporation (LRCX)

Entegris, Inc. and Lam Research Corporation are both Semiconductor Equipment & Materials companies. Lam Research Corporation is the larger, with a market value of $390.4B against $23.0B — 17.0× the size. Lam Research Corporation trades at the lower P/E: 54.4× against 75.9×. Lam Research Corporation grew revenue faster over the last twelve months: 26.0% against 3.20%. Lam Research Corporation has the higher net margin (31.3% vs 9.18%) and the higher return on invested capital (48.2% vs 4.60%). Both pay a dividend; Lam Research Corporation yields more (0.90% vs 0.26%). Across the 23 metrics below, Lam Research Corporation leads on 15 and Entegris, Inc. on 8.

Valuation

Metric ENTG LRCX Semiconductor Equipment & Materials median
P/E 75.95 54.44 54.39
P/S 6.98 17.03 6.08
P/B 5.58 31.72 4.89
Price to free cash flow 40.35 80.88 60.92
EV/EBITDA 29.15 45.57 39.95
EV/Sales 7.93 16.95 6.36
Earnings yield 1.32% 1.84% 1.14%
Free cash flow yield 2.48% 1.24% 1.28%

Profitability

Metric ENTG LRCX Semiconductor Equipment & Materials median
Gross margin 45.48% 50.47% 43.95%
Operating margin 16.05% 35.29% 10.32%
Net margin 9.18% 31.27% 7.45%
Free cash flow margin 17.29% 21.05% 6.77%
Return on equity 7.67% 65.07% 4.78%
Return on assets 3.62% 32.38% 3.62%
Return on invested capital 4.60% 48.23% 6.10%

Growth

Metric ENTG LRCX Semiconductor Equipment & Materials median
Revenue growth (TTM) 3.20% 26.02% 14.60%
EPS growth (last fiscal year) (19.69%) 38.80% —
Revenue growth, 5-year CAGR 11.45% 9.70% 8.85%
Net income growth, 5-year CAGR (4.40%) 13.20% 0.00%

Health

Metric ENTG LRCX Semiconductor Equipment & Materials median
Debt to equity 0.83 0.30 0.09
Current ratio 3.05 2.63 3.66
Net debt to EBITDA 3.90 (0.21) (0.49)

Dividend

Metric ENTG LRCX Semiconductor Equipment & Materials median
Dividend yield 0.26% 0.90% 0.85%
Payout ratio 0.74 0.21 0.00

Size

Metric ENTG LRCX Semiconductor Equipment & Materials median
Market cap 22.99b 390.42b 4.63b

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