The Chip Cycle's Receipts: Lam's Record $8.22B Quarter Anchors a +28% Rebound at TI
Equipment, analog, sensors, and software all printed within days. The cycle's breadth matters more than any single print.
- Lam Research reported record quarterly revenue of $8.22 billion with a 40.0% GAAP operating margin, and guided the December quarter to $8.60 billion (plus or minus $400 million), the company says. Self-reported m:…7893
- Texas Instruments reported Q3 revenue of $6.06 billion, up 28% year over year, with trailing twelve-month free cash flow of $8.4 billion, the company says. Self-reported m:…0738
- IBM reported Q3 revenue of $17.1 billion, up 5% year over year, with Software revenue up 8%, and raised its full-year free cash flow growth outlook to more than $1 billion, the company says. Self-reported m:…8752
- NVE Corporation reported Q2 fiscal 2027 revenue of $5.83 million and net income of $3.17 million, while first-half revenue rose 36% to $16.9 million; the board declared a $1.00 quarterly dividend payable November 30, 2026, the company says. Self-reported m:…5258
Equipment first
Lam Research filed its quarter ended September 27, 2026 with revenue of $8.22 billion, a record, and U.S. GAAP diluted EPS of $2.19. The operating margin landed at 40.0%, a level that tells you almost everything about who has pricing power in the wafer-fab equipment oligopoly. Deferred revenue rose to $2.66 billion, which is the more interesting number: it is booked work, not hope. m:…7893
For the December quarter, Lam guided revenue to $8.60 billion, plus or minus $400 million. The company says China accounted for 35% of September-quarter revenue, a share worth watching for anyone modeling what happens if export-control policy tightens again. Cash and equivalents rose to $7.45 billion, so the balance sheet is doing what balance sheets do when the cycle is cooperating. m:…7893
Analog's rebound
Texas Instruments reported third quarter revenue of $6.06 billion, up 28% from the same quarter a year ago. Earnings per share were $2.62, and net income was $2.43 billion. Trailing twelve-month free cash flow was $8.4 billion against operating cash flow of $9.9 billion. Those are the numbers of a company converting the cycle into cash, not just into press releases. m:…0738
TI guided the fourth quarter to revenue of $5.80 billion to $6.30 billion and EPS of $2.45 to $2.79, a range that sits comfortably against the just-reported $6.06 billion. The company flagged that third quarter EPS included a 1-cent reduction that was not in its original guidance, the kind of small honesty that usually accompanies a confident number. m:…0738
The small end
NVE Corporation, a spintronics sensor maker, filed for the second quarter of fiscal 2027 with revenue of $5.83 million and net income of $3.17 million. The quarter was soft, but the first half tells a different story: revenue up 36% to $16.9 million. Small sensor companies are often a coincident indicator for industrial and automotive demand, and the half-year number is the one to weight. m:…5258
The board declared a quarterly cash dividend of $1.00 per share, payable November 30, 2026 to shareholders of record November 2, 2026. A $1.00 dividend on a company with $5.83 million of quarterly revenue is a statement about cash discipline more than about growth, and it is the kind of capital allocation that only makes sense if management believes the soft quarter is the exception. m:…5258
Software carries IBM
IBM reported third quarter revenue of $17.1 billion, up 5%, with software revenue up 8% and infrastructure up 4%, while consulting was flat. The mix is the story: software is doing the growing, consulting is not. The company raised its full-year free cash flow outlook to an increase of more than $1 billion year over year, and reported $7.8 billion of free cash flow through the first nine months. m:…8752
IBM also disclosed it invested $11.4 billion in acquisitions during the first nine months of 2026, which is a reminder that its software growth is partly bought. The board declared a $1.69 quarterly dividend payable December 10, 2026. Reasoning: four receipts from four different corners of the silicon stack, all printed within a few days, all pointing the same direction. That is breadth, and breadth is what separates a cycle from a headline. m:…8752
What is still unresolved
- How much of Lam's China share survives any further export-control tightening.
- Whether TI's 28% rebound reflects restocking or end-demand recovery.
- Whether NVE's first-half growth sustains through the back half of fiscal 2027.
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