Earnings · Medium impact

Lam Research and IBM Third-Quarter Results

Oct 21, 2026, After the US market closes

Lam Research, which lost 17% in the week Samsung and SK Hynix had their worst week since 2008, reports its fiscal first quarter the same evening as Meta and Tesla; consensus is $2.18 a share on $8.14 billion against its own guidance of $8.10 billion ± $400 million. Its December-quarter guide is the first read on memory-makers' equipment orders. IBM reports the same evening.

Expected: Lam Research EPS $2.18, revenue $8.14 billion (consensus via Yahoo Finance); options imply a 7.4% move

Actual: Lam Research EPS $2.20, revenue $8.22 billion (record), December guide $8.6B ± $0.4B, shares −6.3% after hours; IBM EPS $2.95 vs $2.86, revenue $17.1B, shares −3.7% after hours

Lam Research posted a fifth straight record quarter, $8.22 billion of revenue, up 54% from a year earlier, a 52.4% gross margin and a 40.2% operating margin, and guided the December quarter to $8.6 billion against about $8.1 billion expected, with 2027 wafer-fab equipment spending seen above $200 billion. The shares still fell about 6.3% to $244 in extended trading from a $260.81 close, on the width of the range, supply constraints and an 80% one-year run; the tokenised SOXL fell 10% overnight and SK Hynix 5.6% in Seoul.

IBM beat on both lines, with software up 8% to $7.8 billion and free cash flow of $3.0 billion, raised its free-cash-flow outlook and fell 3.7% after hours from a record close of $251.46, up 3.94% on the day.