12:14 PM EDT, 04/23/2026 (MT Newswires) -- Lam Research (LRCX) is likely to benefit from healthy wafer fabrication equipment environment for the next two to three years driven by generative AI demand and memory tightness, RBC Capital Markets said in a Wednesday research report.

The brokerage said it raised its fiscal 2026 and 2027 EPS guidance to $5.65 and $7.72, respectively, from $5.30 and $6.84 earlier.

The company's fiscal Q3 beat was particularly driven by strength in DRAM and improving NAND outlook amid continued momentum in high bandwidth memory, analysts wrote.

China exposure declined during the quarter, and the company expects further declines as global spending accelerates, but overall, China demand remains steady, according to the note.

RBC reiterated its outperform rating on the stock and boosted its price target to $310 from $290.

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