Our 'BBB' rating on Lam Research Corp. is derived from: Our anchor of 'bbb-', based on our "fair" business risk and "modest" financial risk profile assessments for the company. The comparative rating analysis modifier provided a one notch upgrade to the 'bbb-' anchor score, given the company's place as a critical supplier to the semiconductor industry and our assessment of the company's business risk profile at the higher end of the "fair" category. Leadership positions across etch, single-wafer clean, and deposition in wafer fabrication equipment; High industry volatility and technology risks; Competition against larger players that have significant financial resources; and Long-term customer relationships, but also significant customer concentration risk. Strong liquidity supported by $2.5 billion cash on hand; and
