Lam Research Operating Margin vs. Net Income
| LRCX Stock | USD 233.89 5.18 2.17% |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.51 | 0.4732 |
|
| |||||
| Net Profit Margin | 0.27 | 0.2568 |
|
| |||||
| Operating Profit Margin | 0.3 | 0.2861 |
|
| |||||
| Pretax Profit Margin | 0.31 | 0.2925 |
|
| |||||
| Return On Assets | 0.21 | 0.2042 |
|
| |||||
| Return On Equity | 0.47 | 0.4482 |
|
|
For Lam Research profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Lam Research to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Lam Research Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Lam Research's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Lam Research Corp over time as well as its relative position and ranking within its peers.
Lam Research's Revenue Breakdown by Earning Segment
Check out Correlation Analysis.
Lam Research Revenue Breakdown by Earning Segment
By analyzing Lam Research's earnings estimates, investors can diagnose different trends across Lam Research's analyst sentiment over time as well as compare current estimates against different timeframes.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lam Research. Expected growth trajectory for Lam significantly influences the price investors are willing to assign. The financial industry is built on trying to define current growth potential and future valuation accurately. Comprehensive Lam Research assessment requires weighing all these inputs, though not all factors influence outcomes equally.
Quarterly Earnings Growth 0.37 | Dividend Share 0.98 | Earnings Share 4.88 | Revenue Per Share | Quarterly Revenue Growth 0.221 |
Understanding Lam Research Corp requires distinguishing between market price and book value, where the latter reflects Lam's accounting equity. The concept of intrinsic value - what Lam Research's is actually worth based on fundamentals - guides informed investors toward better entry and exit points. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Market sentiment, economic cycles, and investor behavior can push Lam Research's price substantially above or below its fundamental value.
Understanding that Lam Research's value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Lam Research represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. In contrast, Lam Research's trading price reflects the actual exchange value where willing buyers and sellers reach mutual agreement.
Lam Research Corp Net Income vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Lam Research's current stock value. Our valuation model uses many indicators to compare Lam Research value to that of its competitors to determine the firm's financial worth. Lam Research Corp is rated third overall in operating margin category among its peers. It is currently regarded as number one stock in net income category among its peers making up about 15,819,949,808 of Net Income per Operating Margin. At this time, Lam Research's Operating Profit Margin is fairly stable compared to the past year. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Lam Research's earnings, one of the primary drivers of an investment's value.Lam Research's Earnings Breakdown by Geography
Lam Net Income vs. Operating Margin
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Lam Research |
| = | 0.34 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
Lam Research |
| = | 5.36 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
Lam Net Income Comparison
Lam Research is currently under evaluation in net income category among its peers.
Lam Research Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Lam Research, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Lam Research will eventually generate negative long term returns. The profitability progress is the general direction of Lam Research's change in net profit over the period of time. It can combine multiple indicators of Lam Research, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -56.2 M | -59 M | |
| Operating Income | 6.8 B | 7.1 B | |
| Income Before Tax | 6.9 B | 7.2 B | |
| Total Other Income Expense Net | 51.4 M | 54 M | |
| Net Income | 6.2 B | 6.5 B | |
| Income Tax Expense | 689.9 M | 724.4 M | |
| Net Income Applicable To Common Shares | 5.2 B | 5.4 B | |
| Net Income From Continuing Ops | 6.2 B | 6.5 B | |
| Non Operating Income Net Other | -59.1 M | -62 M | |
| Interest Income | 266 M | 279.3 M | |
| Net Interest Income | 61.1 M | 64.2 M | |
| Change To Netincome | 191.9 M | 146.8 M | |
| Net Income Per Share | 2.91 | 3.06 | |
| Income Quality | 1.22 | 1.28 | |
| Net Income Per E B T | 0.88 | 0.65 |
Lam Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Lam Research. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Lam Research position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Lam Research's important profitability drivers and their relationship over time.
Lam Research Earnings Estimation Breakdown
The calculation of Lam Research's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Lam Research is estimated to be 1.3269 with the future projection ranging from a low of 1.2175 to a high of 1.365825. Please be aware that this consensus of annual earnings estimates for Lam Research Corp is based on EPS before non-recurring items and includes expenses related to employee stock options.Last Reported EPS
1.22 Lowest | Expected EPS | 1.37 Highest |
Lam Research Earnings Projection Consensus
Suppose the current estimates of Lam Research's value are higher than the current market price of the Lam Research stock. In this case, investors may conclude that Lam Research is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Lam Research's stock will quickly adjusts to the new information provided by the consensus estimate.
| Number of Analysts | Historical Accuracy | Last Reported EPS | Estimated EPS for 30th of June 2026 | Current EPS (TTM) | |
| 36 | 89.46% | 0.0 | 1.3269 | 4.88 |
Lam Research Earnings History
Earnings estimate consensus by Lam Research Corp analysts from Wall Street is used by the market to judge Lam Research's stock performance. Investors also use these earnings estimates to evaluate and project the stock performance into the future in order to make their investment decisions. However, we suggest analyzing not only Lam Research's upcoming profit reports and earnings-per-share forecasts but also comparing them to our different valuation methods.Lam Research Quarterly Gross Profit |
|
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Lam Research's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Lam Research Earnings per Share Projection vs Actual
Actual Earning per Share of Lam Research refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering Lam Research Corp predict the company's earnings will be in the future. The higher the earnings per share of Lam Research, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.Lam Research Estimated Months Earnings per Share
For an investor who is primarily interested in generating an income out of investing in entities such as Lam Research, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of Lam Research should always be considered in relation to other companies to make a more educated investment decision.Lam Quarterly Analyst Estimates and Surprise Metrics
Earnings surprises can significantly impact Lam Research's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
null | null | null | null | null | 0 | ||
2026-01-28 | 2025-12-31 | 1.17 | 1.27 | 0.1 | 8 | ||
2025-10-22 | 2025-09-30 | 1.22 | 1.26 | 0.04 | 3 | ||
2025-07-30 | 2025-06-30 | 1.21 | 1.33 | 0.12 | 9 | ||
2025-04-23 | 2025-03-31 | 1 | 1.04 | 0.04 | 4 | ||
2025-01-29 | 2024-12-31 | 0.88 | 0.91 | 0.03 | 3 | ||
2024-10-23 | 2024-09-30 | 0.81 | 0.86 | 0.05 | 6 | ||
2024-07-31 | 2024-06-30 | 0.76 | 0.81 | 0.05 | 6 | ||
2024-04-24 | 2024-03-31 | 0.73 | 0.78 | 0.05 | 6 | ||
2024-01-24 | 2023-12-31 | 0.71 | 0.75 | 0.04 | 5 | ||
2023-10-18 | 2023-09-30 | 0.61 | 0.69 | 0.08 | 13 | ||
2023-07-26 | 2023-06-30 | 0.51 | 0.6 | 0.09 | 17 | ||
2023-04-19 | 2023-03-31 | 0.65 | 0.7 | 0.05 | 7 | ||
2023-01-25 | 2022-12-31 | 0.99 | 1.08 | 0.09 | 9 | ||
2022-10-19 | 2022-09-30 | 0.95 | 1.04 | 0.09 | 9 | ||
2022-07-27 | 2022-06-30 | 0.73 | 0.88 | 0.15 | 20 | ||
2022-04-20 | 2022-03-31 | 0.75 | 0.74 | -0.01 | 1 | ||
2022-01-26 | 2021-12-31 | 0.85 | 0.85 | 0.0 | 0 | ||
2021-10-20 | 2021-09-30 | 0.82 | 0.84 | 0.02 | 2 | ||
2021-07-28 | 2021-06-30 | 0.76 | 0.81 | 0.05 | 6 | ||
2021-04-21 | 2021-03-31 | 0.66 | 0.75 | 0.09 | 13 | ||
2021-01-27 | 2020-12-31 | 0.57 | 0.6 | 0.03 | 5 | ||
2020-10-21 | 2020-09-30 | 0.52 | 0.57 | 0.05 | 9 | ||
2020-07-29 | 2020-06-30 | 0.41 | 0.48 | 0.07 | 17 | ||
2020-04-22 | 2020-03-31 | 0.38 | 0.4 | 0.02 | 5 | ||
2020-01-29 | 2019-12-31 | 0.39 | 0.4 | 0.01 | 2 | ||
2019-10-23 | 2019-09-30 | 0.3 | 0.32 | 0.02 | 6 | ||
2019-07-31 | 2019-06-30 | 0.34 | 0.36 | 0.02 | 5 | ||
2019-04-24 | 2019-03-31 | 0.34 | 0.37 | 0.03 | 8 | ||
2019-01-23 | 2018-12-31 | 0.37 | 0.39 | 0.02 | 5 | ||
2018-10-16 | 2018-09-30 | 0.32 | 0.34 | 0.02 | 6 | ||
2018-07-26 | 2018-06-30 | 0.49 | 0.53 | 0.04 | 8 | ||
2018-04-17 | 2018-03-31 | 0.44 | 0.48 | 0.04 | 9 | ||
2018-01-24 | 2017-12-31 | 0.37 | 0.43 | 0.06 | 16 | ||
2017-10-17 | 2017-09-30 | 0.33 | 0.35 | 0.02 | 6 | ||
2017-07-26 | 2017-06-30 | 0.3 | 0.31 | 0.01 | 3 | ||
2017-04-18 | 2017-03-31 | 0.26 | 0.28 | 0.02 | 7 | ||
2017-01-25 | 2016-12-31 | 0.22 | 0.22 | 0.0 | 0 | ||
2016-10-19 | 2016-09-30 | 0.18 | 0.18 | 0.0 | 0 | ||
2016-07-27 | 2016-06-30 | 0.16 | 0.18 | 0.02 | 12 | ||
2016-04-20 | 2016-03-31 | 0.11 | 0.12 | 0.01 | 9 | ||
2016-01-27 | 2015-12-31 | 0.14 | 0.16 | 0.02 | 14 | ||
2015-10-21 | 2015-09-30 | 0.17 | 0.18 | 0.01 | 5 | ||
2015-07-29 | 2015-06-30 | 0.15 | 0.15 | 0.0 | 0 | ||
2015-04-20 | 2015-03-31 | 0.13 | 0.14 | 0.01 | 7 | ||
2015-01-28 | 2014-12-31 | 0.11 | 0.12 | 0.01 | 9 | ||
2014-10-22 | 2014-09-30 | 0.09 | 0.1 | 0.01 | 11 | ||
2014-07-30 | 2014-06-30 | 0.12 | 0.13 | 0.01 | 8 | ||
2014-04-23 | 2014-03-31 | 0.12 | 0.13 | 0.01 | 8 | ||
2014-01-29 | 2013-12-31 | 0.1 | 0.11 | 0.01 | 10 | ||
2013-10-23 | 2013-09-30 | 0.07 | 0.08 | 0.01 | 14 | ||
2013-07-31 | 2013-06-30 | 0.07 | 0.08 | 0.01 | 14 | ||
2013-04-24 | 2013-03-31 | 0.04 | 0.04 | 0.0 | 0 | ||
2013-01-23 | 2012-12-31 | 0.04 | 0.05 | 0.01 | 25 | ||
2012-10-17 | 2012-09-30 | 0.04 | 0.05 | 0.01 | 25 | ||
2012-07-25 | 2012-06-30 | 0.06 | 0.06 | 0.0 | 0 | ||
2012-04-18 | 2012-03-31 | 0.05 | 0.05 | 0.0 | 0 | ||
2012-01-25 | 2011-12-31 | 0.03 | 0.03 | 0.0 | 0 | ||
2011-10-19 | 2011-09-30 | 0.06 | 0.06 | 0.0 | 0 | ||
2011-07-27 | 2011-06-30 | 0.11 | 0.11 | 0.0 | 0 | ||
2011-04-20 | 2011-03-31 | 0.14 | 0.14 | 0.0 | 0 | ||
2011-01-26 | 2010-12-31 | 0.16 | 0.17 | 0.01 | 6 | ||
2010-10-20 | 2010-09-30 | 0.14 | 0.15 | 0.01 | 7 | ||
2010-07-28 | 2010-06-30 | 0.1 | 0.12 | 0.02 | 20 | ||
2010-04-21 | 2010-03-31 | 0.08 | 0.09 | 0.01 | 12 | ||
2010-01-27 | 2009-12-31 | 0.04 | 0.05 | 0.01 | 25 | ||
2009-10-21 | 2009-09-30 | -0.01 | 0.03 | 0.04 | 400 | ||
2009-07-29 | 2009-06-30 | -0.05 | -0.04 | 0.01 | 20 | ||
2009-04-22 | 2009-03-31 | -0.07 | -0.07 | 0.0 | 0 | ||
2009-01-28 | 2008-12-31 | -0.05 | -0.01 | 0.04 | 80 | ||
2008-10-22 | 2008-09-30 | 0.02 | 0.03 | 0.01 | 50 | ||
2008-07-29 | 2008-06-30 | 0.04 | 0.06 | 0.02 | 50 | ||
2008-04-23 | 2008-03-31 | 0.09 | 0.09 | 0.0 | 0 | ||
2008-03-31 | 2007-12-31 | 1.28 | 1.18 | -0.1 | 7 | ||
2007-04-12 | 2007-03-31 | 0.11 | 0.12 | 0.01 | 9 | ||
2007-01-17 | 2006-12-31 | 0.11 | 0.12 | 0.01 | 9 | ||
2006-10-11 | 2006-09-30 | 0.1 | 0.11 | 0.01 | 10 | ||
2006-07-19 | 2006-06-30 | 0.08 | 0.1 | 0.02 | 25 | ||
2006-04-12 | 2006-03-31 | 0.06 | 0.07 | 0.01 | 16 | ||
2006-01-18 | 2005-12-31 | 0.04 | 0.06 | 0.02 | 50 | ||
2005-10-12 | 2005-09-30 | 0.03 | 0.04 | 0.01 | 33 | ||
2005-07-20 | 2005-06-30 | 0.04 | 0.05 | 0.01 | 25 | ||
2005-04-13 | 2005-03-31 | 0.04 | 0.04 | 0.0 | 0 | ||
2005-01-20 | 2004-12-31 | 0.05 | 0.06 | 0.01 | 20 | ||
2004-10-13 | 2004-09-30 | 0.06 | 0.06 | 0.0 | 0 | ||
2004-07-21 | 2004-06-30 | 0.03 | 0.04 | 0.01 | 33 | ||
2004-04-14 | 2004-03-31 | 0.01 | 0.01 | 0.0 | 0 | ||
2004-01-21 | 2003-12-31 | 0.05 | 0.01 | -0.04 | 80 | ||
2003-10-15 | 2003-09-30 | 0.03 | 0.04 | 0.01 | 33 | ||
2003-07-23 | 2003-06-30 | 0.02 | 0.02 | 0.0 | 0 | ||
2002-07-23 | 2002-06-30 | -0.01 | -0.01 | 0.0 | 0 | ||
2002-04-17 | 2002-03-31 | 0.04 | 0.05 | 0.01 | 25 | ||
2001-10-09 | 2001-09-30 | 0.02 | 0.02 | 0.0 | 0 | ||
2001-07-25 | 2001-06-30 | 0.14 | 0.28 | 0.14 | 100 | ||
2001-04-11 | 2001-03-31 | 0.37 | 0.33 | -0.04 | 10 | ||
2001-01-23 | 2000-12-31 | 0.52 | 0.58 | 0.06 | 11 | ||
2000-10-12 | 2000-09-30 | 0.43 | 0.48 | 0.05 | 11 | ||
2000-07-26 | 2000-06-30 | 0.43 | 0.45 | 0.02 | 4 | ||
2000-04-18 | 2000-03-31 | 0.36 | 0.37 | 0.01 | 2 | ||
2000-01-20 | 1999-12-31 | 0.24 | 0.33 | 0.09 | 37 | ||
1999-10-21 | 1999-09-30 | 0.17 | 0.19 | 0.02 | 11 | ||
1999-07-29 | 1999-06-30 | 0.04 | 0.09 | 0.05 | 125 | ||
1999-04-22 | 1999-03-31 | -0.17 | -0.13 | 0.04 | 23 | ||
1999-01-28 | 1998-12-31 | -0.31 | -0.21 | 0.1 | 32 | ||
1998-10-15 | 1998-09-30 | -0.23 | -0.23 | 0.0 | 0 | ||
1998-07-28 | 1998-06-30 | -0.02 | -0.02 | 0.0 | 0 | ||
1998-04-16 | 1998-03-31 | -0.04 | -0.04 | 0.0 | 0 | ||
1998-01-21 | 1997-12-31 | 0.04 | 0.03 | -0.01 | 25 | ||
1997-10-22 | 1997-09-30 | 0.03 | 0.03 | 0.0 | 0 | ||
1997-07-29 | 1997-06-30 | 0.02 | 0.03 | 0.01 | 50 | ||
1997-04-15 | 1997-03-31 | 0 | -0.04 | -0.04 | 0 | ||
1997-01-21 | 1996-12-31 | 0.03 | 0.03 | 0.0 | 0 | ||
1996-10-15 | 1996-09-30 | 0.2 | 0.19 | -0.01 | 5 | ||
1996-07-30 | 1996-06-30 | 0.42 | 0.42 | 0.0 | 0 | ||
1996-04-16 | 1996-03-31 | 0.42 | 0.43 | 0.01 | 2 | ||
1996-01-16 | 1995-12-31 | 0.35 | 0.37 | 0.02 | 5 | ||
1995-10-18 | 1995-09-30 | 0.32 | 0.33 | 0.01 | 3 |
Use Lam Research in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Lam Research position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Lam Research will appreciate offsetting losses from the drop in the long position's value.Lam Research Pair Trading
Lam Research Corp Pair Trading Analysis
The ability to find closely correlated positions to Lam Research could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Lam Research when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Lam Research - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Lam Research Corp to buy it.
The correlation of Lam Research is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Lam Research moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Lam Research Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Lam Research can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Lam Research position
In addition to having Lam Research in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Investment Grade ETFs Thematic Idea Now
Investment Grade ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Investment Grade ETFs theme has 335 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Investment Grade ETFs Theme or any other thematic opportunities.
| View All Next | Launch |
Additional Tools for Lam Stock Analysis
When running Lam Research's price analysis, check to measure Lam Research's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Lam Research is operating at the current time. Most of Lam Research's value examination focuses on studying past and present price action to predict the probability of Lam Research's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Lam Research's price. Additionally, you may evaluate how the addition of Lam Research to your portfolios can decrease your overall portfolio volatility.