High quality films of YBa2Cu3O7−δ on LaAlO3 have been grown by pulsed‐laser deposition at oxygen pressures of 3.4–54 Pa (25–400 mTorr). X‐ray diffraction reveals the coexistence of grains that align with the substrate axes (axialgrains) and grains that are rotated by 0.4° from the substrate axes (diagonalgrains). The axial grains are tetragonal while the diagonal grains achieve lattice parameters close to bulk YBa2Cu3O7. The relative proportion of axial grains accounts for the measured variations of normal‐state conductance and superconducting critical current density from film to film, based on a simple two‐dimensional model of randomly positioned, insulating axial grains.

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