Jim Cramer Highlighted 16 Noteworthy S&P 500 Stocks

4. Lam Research Corporation (NASDAQ:LRCX)

Number of Hedge Fund Holders: 93

Lam Research Corporation (NASDAQ:LRCX) is one of the noteworthy S&P 500 stocks Jim Cramer highlighted. Cramer recommended building a position in the stock in stages. He remarked:

Speaking of capacity, I want to jump to the sixth best performer in the S&P in January because it’s Lam Research, LRCX. Now, this is a semiconductor capital equipment maker. This is who you call when you want to boost your chip production. Lam reported great results on Thursday night, yet it suffered the same fate as Western Digital, brief gains after the open on Friday, leading to a nearly 6% decline.

I’m a big believer in the semiconductor capital equipment makers. They do make me skeptical about the continued outperformance of the storage plays because, as this new machinery comes online, again, it will mediate those chip shortages. But that’s not going to happen anytime soon. I’m thinking it may be a late ‘27, early 2028 thing. Put a quarter of the position on it if you want to buy Lam Research, and then leg in. I think it’s really worth doing.

Lam Research Corporation (NASDAQ:LRCX) develops equipment for depositing, etching, and cleaning semiconductor materials. It includes systems for tungsten and copper metallization, plasma and atomic-layer deposition, dielectric and conductor etch, and wafer cleaning.