KLA Corporation is a capital equipment company based in Milpitas, California. It supplies process control and yield management systems for the semiconductor industry and other related nanoelectronics industries. The company's products and services are intended for all phases of wafer, reticle, integrated circuit (IC) and packaging production, from research and development to final volume manufacturing.
| Revenue (TTM) | $13.10B |
| Gross Profit (TTM) | $8.05B |
| EBITDA | $5.85B |
| Operating Margin | 41.20% |
| Return on Equity | 95.00% |
| Return on Assets | 21.30% |
| Revenue/Share (TTM) | $9.96 |
| Book Value | $4.46 |
| Price-to-Book | 52.77 |
| Price-to-Sales (TTM) | 22.06 |
| EV/Revenue | 23.58 |
| EV/EBITDA | 50.96 |
| Quarterly Earnings Growth (YoY) | 11.80% |
| Quarterly Revenue Growth (YoY) | 11.50% |
| Shares Outstanding | $1.31B |
| Float | $1.30B |
| % Insiders | 0.09% |
| % Institutions | 93.72% |
Volatility is currently expanding
The goalposts have been moved this summer, and not just by Lionel Messi and Kylian Mbappe. Analysts at Susquehanna have boosted their market projections for the wafer fab equipment (WFE) industry, which bodes well for certain companies in the artificial intelligence ecosystem.
Semis put in a powerful performance in Q2 2026 thanks to things going its way, which more than made up for what happened in Q1 2026. It is not the only thing that matters, but if semis are to add to gains in H2 2026, AI will need to keep driving growth forward. The AI thesis remains intact, but recent developments leave open the possibility the thesis could still turn out to be flawed.
KLA Corporation (KLAC) earns a Buy rating for its superior Quality Growth profile, defensive revenue base, and diversified customer exposure versus ASML. KLAC consistently beats guidance, with Q3 FY2026 revenue up 11% YoY and management raising full-year growth expectations to the high teens. The process control intensity model enables KLAC to compound earnings through node transitions, benefiting from secular trends in chip complexity and advanced packaging.
MU's AI-driven memory surge fuels a historic rally, making semiconductor ETFs a diversified way to tap the industry's broad-based momentum.
KLA's AI-driven demand, process-control leadership and advanced packaging exposure may help it outgrow the WFE market through 2027.
Applied Materials rides AI-led chip demand with stronger growth forecasts and lower valuation, while KLA trails with premium pricing after a sharp rally.
In the closing of the recent trading day, KLA (KLAC) stood at $244.49, denoting a -9.17% move from the preceding trading day.
The pick and shovels behind the AI trade are getting more favorable coverage from analysts, seen in Wells Fargo's price target hikes in ASML (ASML), Applied Materials (AMAT), KLA Corp. (KLAC), and Lam Research (LRCX). Marley Kayden walks investors through the analyst note and offers more insight on why firms are turning bullish on these names.
Onto Innovation and KLA are riding AI-driven chip demand, but their growth paths, valuations and advanced packaging exposure differ.
Shares of semiconductor name Credo Technology Group Holding Ltd (NASDAQ:CRDO) are surging 10.3% at $299.88 this morning, enjoying the fruits of several bull notes.
