Lam Research (LRCX) Benefits From Memory Expansion

Lam Research (LRCX) Benefits From Memory Expansion

Thu, September 10, 2026 at 3:15 PM GMT+3 3 min read

• LRCX -1.43%

Barometer Capital Management, an independent asset and wealth management firm, released its second-quarter 2026 investor letter. The letter can be downloaded here. The second quarter experienced significant volatility driven by macro and headline risks. Concurrently, an upcoming Federal Reserve leadership transition contributed to policy uncertainty, and rising inflation concerns re-emerged, resulting in choppy, headline-driven price movements throughout the period. During the quarter, the firm adopted defensive postures in response to rising risks; however, the market showed resilience, absorbing shocks without following a clear downward trend. Although volatility challenged strategies aimed at capturing durable trends, emerging leadership in specific sectors provided hope. The Barometer Tactical Equity Pool reflected strength in Industrials, IT, and Financials, encouraging a patient approach aligned with robust areas. Industrials and Financials were the leading contributors to the Barometer Tactical Balanced Pool. The Barometer Global Macro Pool struggled in a challenging, non-trending environment, where gains in international equities were outweighed by losses in precious metals and the Pool's short position. Despite ongoing risks such as inflation and geopolitical tensions, the outlook is cautiously optimistic, with readiness to capitalize on clearer trends as they develop. Also, check the fund's top five holdings to see its best picks in 2026.

In its second-quarter 2026 investor letter, Barometer Capital Management highlighted Lam Research Corporation (NASDAQ:LRCX), a leading semiconductor equipment company that supplies semiconductor processing equipment. Lam Research Corporation (NASDAQ:LRCX) contributed positively to the portfolio's performance this quarter. On September 9, 2026, Lam Research Corporation (NASDAQ:LRCX) closed at $315.84 per share. Over the past month, Lam Research Corporation (NASDAQ:LRCX) declined 6.28%, but its shares are up 173.27% over the past year. Lam Research Corporation (NASDAQ:LRCX) has a market capitalization of $395.21 billion.

Barometer Capital Management stated the following regarding Lam Research Corporation (NASDAQ:LRCX) in its Q2 2026 investor letter:

"Information Technology exposure contributed positively, and the weighting was increased substantially over the quarter. Lam Research Corporation (NASDAQ:LRCX) provided exposure to the strong run in memory semiconductors through its position as a leading supplier of the equipment used to manufacture memory chips, benefiting as memory makers ramped capacity to meet demand for the high-bandwidth memory that AI accelerators require."

Lam Research Corporation (NASDAQ:LRCX) is not on our list of the 40 Most Popular Stocks Among Hedge Funds. As per our database, 139 hedge fund portfolios held Lam Research Corporation (NASDAQ:LRCX) at the end of the second quarter, which was 123 in the previous quarter. While we acknowledge the potential of Lam Research Corporation (NASDAQ:LRCX) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

In another article, we discussed Lam Research Corporation (NASDAQ:LRCX) and noted that equipment maker (+5.1%) notably outpaced Nvidia (+0.8%), signaling a potential shift from AI chip designers to the suppliers powering fabrication. In addition, please check out our hedge fund investor letters Q2 2026 page for more investor letters from hedge funds and other leading investors.

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This article is originally published at Insider Monkey.