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Lam Research Teams Up With JSR: Can it Lead in High-NA EUV?

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Key Takeaways

  • LRCX and JSR will pair Aether dry resist with advanced metal oxide resists to enable high-NA EUV.
  • The partnership aims to cut cost and complexity in chip patterning while boosting performance.
  • Success in high-NA EUV could expand LRCX's share in foundry and logic at sub-2nm chip nodes.

Lam Research ((LRCX - Free Report) ) has signed a new cross-licensing and collaboration deal with JSR Corporation, the parent company of Inpria, to push forward next-generation chip patterning. The agreement is aimed at combining Lam Research’s dry resist equipment, including its Aether platform, with JSR’s advanced metal oxide photoresist materials.

The partnership is aimed at speeding up the transition to high-NA EUV lithography, which is a key step in shrinking chip features for artificial intelligence (AI) and high-performance computing. By working together, Lam Research and JSR are focusing on cutting the cost and complexity of advanced patterning, while enabling better chip performance.

In addition to dry resist, the companies plan to work on new materials and processes for atomic layer deposition and etching, which are the areas where Lam Research has strong expertise. JSR’s acquisition of Yamanaka Hutech also adds precursor materials that could expand the scope of the collaboration. Moreover, for Lam Research, the move fits into its strategy of building a broad portfolio around critical technology inflections, such as EUV patterning, ALD, and advanced packaging.

Success in high-NA EUV could strengthen Lam Research’s share gains in foundry and logic markets, where customers are racing to deliver chips at sub-2 nanometer nodes. While execution risks remain, this collaboration provides an opportunity for Lam Research to strengthen its role as a key enabler in next-generation chip scaling. The Zacks Consensus Estimate for fiscal 2026 revenues indicates a year-over-year increase of 6.7%.

How Competitors Fare Against LRCX

ASML Holdings ((ASML - Free Report) ) and Applied Materials ((AMAT - Free Report) ) are key players competing with Lam Research, which are also focusing on strategic partnerships to gain an edge in next-generation chipmaking.

ASML Holdings has announced plans to invest €1.3 billion in Mistral AI’s Series C funding round, taking an 11% stake in the French AI firm. The strategic partnership is focused on improving ASML’s lithography tools. Through the partnership, ASML aims to combine its chipmaking with Mistral’s AI expertise to create long-term value for its shareholders.

In August 2025, Applied Materials announced that it is teaming up with Apple and Texas Instruments. Through this collaboration, Applied Materials aims to supply chipmaking equipment made in Austin, TX, to Texas Instruments’ factories in the United States, enabling the company to produce chips for Apple products.

LRCX’s Share Price Performance, Valuation and Estimates

Shares of Lam Research have risen 77.8% year to date compared with the Zacks Electronics – Semiconductors industry’s growth of 33.9%.

LRCX YTD Price Return Performance

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From a valuation standpoint, Lam Research trades at a forward price-to-earnings ratio of 28.44, significantly lower than the industry’s average of 36.51.

LRCX Forward 12-Month P/E Ratio

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The Zacks Consensus Estimate for Lam Research’s fiscal 2026 and 2027 earnings implies a year-over-year increase of approximately 7.5% and 11.1%, respectively. Estimates for fiscal 2026 and 2027 earnings have been revised upward in the past seven days.

Zacks Investment Research
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Lam Research currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.


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