Semiconductor equipment stocks, including Tokyo Electron, are trading lower following Lam Research's after-hours decline after its earnings announcement. The results and outlook for the following quarter have also prompted read-across selling in related stocks.
In the US market on the 21st, semiconductor manufacturing equipment giant Lam Research reported results for the July-September quarter of 2026, with revenue of $8.21941 billion and adjusted earnings per share of $2.20, both record highs. Its share price subsequently fell as much as 8% in after-hours trading, triggering read-across selling in the Nikkei market today.
Against this backdrop, semiconductor manufacturing equipment stocks, including Tokyo Electron, SCREEN Holdings, KOKUSAI ELECTRIC and Shibaura Mechatronics, are broadly lower. As of 10:00 a.m., Tokyo Electron was trading approximately 3.2% below the previous day's level.
Lam Research also provided October-December guidance on the same day, projecting revenue of $8.2 billion-$9.0 billion, with the midpoint slightly above the market forecast of approximately $8.57 billion. The guidance was viewed as leaving little further upside in the news, and whether selling will subside will depend on developments ahead.