New York, Jan 17, 2026, 12:21 ET — Market closed
- Lam Research gained 2.5% on Friday, pushing its semiconductor-equipment rally further.
- Traders linked the move to a surge in chipmaker spending, spearheaded by TSMC’s capex plan for 2026.
- Attention shifts to late-month updates from chip toolmakers, with Lam’s results in the spotlight.
Shares of Lam Research (LRCX.O) climbed 2.5% on Friday, finishing at $222.96, as U.S. markets remained closed over the weekend.
The stock has rallied alongside other chip-equipment firms after Taiwan Semiconductor Manufacturing Co raised its 2026 capital spending forecast to $52 billion-$56 billion. Investors took this as a signal of increased demand for chipmaking tools. “The market has underestimated again how large is the demand for AI, and the implementation is going faster than everybody expected,” said Han Dieperink, chief investment officer at Aureus, which holds shares in ASML. 1
Chip stocks lifted Wall Street on Thursday, snapping a two-day skid as TSMC’s forecast and bank earnings steadied investor nerves. “That’s been kind of squashed this morning with the news from Taiwan Semiconductor,” said Alan Lancz, president of Alan B. Lancz & Associates, referring to earlier tech valuation concerns. 2
Friday’s trading was volatile and barely moved the major indexes, yet chipmakers pushed higher. The Philadelphia SE Semiconductor index climbed 1.2%, building on gains from Thursday. U.S. markets will be closed Monday for the Martin Luther King Jr. holiday, tightening next week’s schedule as earnings season heats up. 3
Peers wrapped up Friday on an upswing as well: Applied Materials (AMAT.O) climbed 2.5%, KLA (KLAC.O) edged up 1.4%, and ASML’s U.S.-listed shares (ASML.O) rose roughly 2.1%.
Behind the scenes, bullish sentiment has been steadily building. Dhierin Bechai, writing for Seeking Alpha on Thursday, upgraded Lam Research to a Buy. He cited growing expectations for spending on wafer-fab equipment — the gear that fabricates chips on silicon wafers — along with tightening supply conditions in memory. 4
Lam ranks among the top suppliers of etch and deposition equipment critical for advanced logic and memory chip production, positioning its stock as a barometer for major chipmakers’ spending pace. Typically, when customers signal plans to ramp up capacity, the tool suppliers react ahead of the curve.
When the market reopens Tuesday, traders will be sizing up whether TSMC’s spending plan signals a lasting boost in 2026 orders or just a temporary sentiment spike that fades once investors scrutinize the fine print.
But the setup works both ways. Tool stocks can lose gains quickly if chipmakers push back projects, memory spending falters, or macro shocks weigh on the high-multiple tech sector. A strong rally ahead of earnings also amps up expectations for guidance.
Lam’s quarterly financial conference call and webcast is set for Wednesday, Jan. 28, after the market closes. Investors will be keen to catch any hints from customers about 2026 spending plans and delivery schedules. 5
