KLA CORP (KLAC) Stock Fundamental Analysis
NASDAQ:KLAC • US4824801009
1524.55 USD
+0.24 (+0.02%)
At close: Feb 27, 2026
1514 USD
-10.55 (-0.69%)
After Hours: 2/27/2026, 8:14:48 PM
Overall KLAC gets a fundamental rating of 7 out of 10. We evaluated KLAC against 114 industry peers in the Semiconductors & Semiconductor Equipment industry. KLAC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. KLAC is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, KLAC could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
- In the past year KLAC was profitable.
- In the past year KLAC had a positive cash flow from operations.
- In the past 5 years KLAC has always been profitable.
- In the past 5 years KLAC always reported a positive cash flow from operatings.
1.2 Ratios
- The Return On Assets of KLAC (27.26%) is better than 97.37% of its industry peers.
- KLAC's Return On Equity of 83.39% is amongst the best of the industry. KLAC outperforms 98.25% of its industry peers.
- The Return On Invested Capital of KLAC (37.18%) is better than 98.25% of its industry peers.
- KLAC had an Average Return On Invested Capital over the past 3 years of 34.16%. This is significantly above the industry average of 10.64%.
- The last Return On Invested Capital (37.18%) for KLAC is above the 3 year average (34.16%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.26% | ||
| ROE | 83.39% | ||
| ROIC | 37.18% |
ROA(3y)22.41%
ROA(5y)22.77%
ROE(3y)94.85%
ROE(5y)116.64%
ROIC(3y)34.16%
ROIC(5y)32.64%
1.3 Margins
- KLAC has a better Profit Margin (35.76%) than 93.86% of its industry peers.
- In the last couple of years the Profit Margin of KLAC has grown nicely.
- With an excellent Operating Margin value of 42.71%, KLAC belongs to the best of the industry, outperforming 97.37% of the companies in the same industry.
- In the last couple of years the Operating Margin of KLAC has grown nicely.
- KLAC has a better Gross Margin (61.91%) than 85.96% of its industry peers.
- In the last couple of years the Gross Margin of KLAC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 42.71% | ||
| PM (TTM) | 35.76% | ||
| GM | 61.91% |
OM growth 3Y-0.21%
OM growth 5Y6.37%
PM growth 3Y-2.51%
PM growth 5Y9.77%
GM growth 3Y-1.04%
GM growth 5Y1.05%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so KLAC is creating value.
- The number of shares outstanding for KLAC has been reduced compared to 1 year ago.
- Compared to 5 years ago, KLAC has less shares outstanding
- Compared to 1 year ago, KLAC has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 13.25 indicates that KLAC is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 13.25, KLAC is in the better half of the industry, outperforming 79.82% of the companies in the same industry.
- The Debt to FCF ratio of KLAC is 1.34, which is an excellent value as it means it would take KLAC, only 1.34 years of fcf income to pay off all of its debts.
- KLAC has a better Debt to FCF ratio (1.34) than 69.30% of its industry peers.
- KLAC has a Debt/Equity ratio of 1.08. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of KLAC (1.08) is worse than 86.84% of its industry peers.
- Even though the debt/equity ratio score it not favorable for KLAC, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 1.34 | ||
| Altman-Z | 13.25 |
ROIC/WACC3.52
WACC10.57%
2.3 Liquidity
- A Current Ratio of 2.83 indicates that KLAC has no problem at all paying its short term obligations.
- KLAC's Current ratio of 2.83 is in line compared to the rest of the industry. KLAC outperforms 50.00% of its industry peers.
- A Quick Ratio of 2.00 indicates that KLAC has no problem at all paying its short term obligations.
- With a Quick ratio value of 2.00, KLAC perfoms like the industry average, outperforming 44.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.83 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 29.43% over the past year.
- Measured over the past years, KLAC shows a very strong growth in Earnings Per Share. The EPS has been growing by 26.37% on average per year.
- Looking at the last year, KLAC shows a quite strong growth in Revenue. The Revenue has grown by 17.49% in the last year.
- Measured over the past years, KLAC shows a quite strong growth in Revenue. The Revenue has been growing by 15.93% on average per year.
EPS 1Y (TTM)29.43%
EPS 3Y16.32%
EPS 5Y26.37%
EPS Q2Q%7.93%
Revenue 1Y (TTM)17.49%
Revenue growth 3Y9.69%
Revenue growth 5Y15.93%
Sales Q2Q%7.16%
3.2 Future
- KLAC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 18.23% yearly.
- The Revenue is expected to grow by 10.14% on average over the next years. This is quite good.
EPS Next Y11.53%
EPS Next 2Y18.55%
EPS Next 3Y16.77%
EPS Next 5Y18.23%
Revenue Next Year10.71%
Revenue Next 2Y14.55%
Revenue Next 3Y13%
Revenue Next 5Y10.14%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 43.01, the valuation of KLAC can be described as expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of KLAC indicates a somewhat cheap valuation: KLAC is cheaper than 71.93% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.10, KLAC is valued quite expensively.
- With a Price/Forward Earnings ratio of 32.55, KLAC can be considered very expensive at the moment.
- Based on the Price/Forward Earnings ratio, KLAC is valued a bit cheaper than the industry average as 66.67% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, KLAC is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.01 | ||
| Fwd PE | 32.55 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, KLAC is valued a bit cheaper than 66.67% of the companies in the same industry.
- 73.68% of the companies in the same industry are more expensive than KLAC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.65 | ||
| EV/EBITDA | 33.89 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of KLAC may justify a higher PE ratio.
- A more expensive valuation may be justified as KLAC's earnings are expected to grow with 16.77% in the coming years.
PEG (NY)3.73
PEG (5Y)1.63
EPS Next 2Y18.55%
EPS Next 3Y16.77%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.52%, KLAC is not a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 0.48, KLAC pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.80, KLAC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
5.2 History
- On average, the dividend of KLAC grows each year by 15.33%, which is quite nice.
- KLAC has paid a dividend for at least 10 years, which is a reliable track record.
- KLAC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)15.33%
Div Incr Years15
Div Non Decr Years19
5.3 Sustainability
- 21.58% of the earnings are spent on dividend by KLAC. This is a low number and sustainable payout ratio.
- The dividend of KLAC is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP21.58%
EPS Next 2Y18.55%
EPS Next 3Y16.77%
1524.55
+0.24 (+0.02%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)01-29 2026-01-29/amc
Earnings (Next)04-28 2026-04-28/amc
Inst Owners94.36%
Inst Owner Change1.42%
Ins Owners0.05%
Ins Owner Change-7.18%
Market Cap199.84B
Revenue(TTM)12.74B
Net Income(TTM)4.56B
Analysts77.3
Price Target1669.04 (9.48%)
Short Float %1.99%
Short Ratio2.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
Yearly Dividend6.79
Dividend Growth(5Y)15.33%
DP21.58%
Div Incr Years15
Div Non Decr Years19
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.55%
Min EPS beat(2)-1.45%
Max EPS beat(2)0.34%
EPS beat(4)3
Avg EPS beat(4)2.04%
Min EPS beat(4)-1.45%
Max EPS beat(4)7.44%
EPS beat(8)7
Avg EPS beat(8)2.75%
EPS beat(12)11
Avg EPS beat(12)3.2%
EPS beat(16)15
Avg EPS beat(16)3.72%
Revenue beat(2)0
Avg Revenue beat(2)-0.61%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)-0.51%
Revenue beat(4)1
Avg Revenue beat(4)-0.14%
Min Revenue beat(4)-0.72%
Max Revenue beat(4)0.98%
Revenue beat(8)4
Avg Revenue beat(8)0.4%
Revenue beat(12)6
Avg Revenue beat(12)0.37%
Revenue beat(16)10
Avg Revenue beat(16)0.83%
PT rev (1m)19.46%
PT rev (3m)27.62%
EPS NQ rev (1m)2.41%
EPS NQ rev (3m)3.13%
EPS NY rev (1m)1.45%
EPS NY rev (3m)2.24%
Revenue NQ rev (1m)2.66%
Revenue NQ rev (3m)3%
Revenue NY rev (1m)1.81%
Revenue NY rev (3m)2.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 43.01 | ||
| Fwd PE | 32.55 | ||
| P/S | 15.68 | ||
| P/FCF | 45.65 | ||
| P/OCF | 41.93 | ||
| P/B | 36.56 | ||
| P/tB | 60.06 | ||
| EV/EBITDA | 33.89 |
EPS(TTM)35.45
EY2.33%
EPS(NY)46.83
Fwd EY3.07%
FCF(TTM)33.39
FCFY2.19%
OCF(TTM)36.36
OCFY2.39%
SpS97.23
BVpS41.7
TBVpS25.38
PEG (NY)3.73
PEG (5Y)1.63
Graham Number182.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.26% | ||
| ROE | 83.39% | ||
| ROCE | 42.73% | ||
| ROIC | 37.18% | ||
| ROICexc | 62.9% | ||
| ROICexgc | 87.85% | ||
| OM | 42.71% | ||
| PM (TTM) | 35.76% | ||
| GM | 61.91% | ||
| FCFM | 34.35% |
ROA(3y)22.41%
ROA(5y)22.77%
ROE(3y)94.85%
ROE(5y)116.64%
ROIC(3y)34.16%
ROIC(5y)32.64%
ROICexc(3y)54.21%
ROICexc(5y)49.64%
ROICexgc(3y)89.92%
ROICexgc(5y)90.43%
ROCE(3y)39.26%
ROCE(5y)37.51%
ROICexgc growth 3Y-4.35%
ROICexgc growth 5Y3.28%
ROICexc growth 3Y7.12%
ROICexc growth 5Y16.35%
OM growth 3Y-0.21%
OM growth 5Y6.37%
PM growth 3Y-2.51%
PM growth 5Y9.77%
GM growth 3Y-1.04%
GM growth 5Y1.05%
F-Score9
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 1.34 | ||
| Debt/EBITDA | 1.01 | ||
| Cap/Depr | 99.57% | ||
| Cap/Sales | 3.05% | ||
| Interest Coverage | 19.74 | ||
| Cash Conversion | 81.7% | ||
| Profit Quality | 96.04% | ||
| Current Ratio | 2.83 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 13.25 |
F-Score9
WACC10.57%
ROIC/WACC3.52
Cap/Depr(3y)79.22%
Cap/Depr(5y)78.35%
Cap/Sales(3y)2.96%
Cap/Sales(5y)3.11%
Profit Quality(3y)100.05%
Profit Quality(5y)96.92%
High Growth Momentum
Growth
EPS 1Y (TTM)29.43%
EPS 3Y16.32%
EPS 5Y26.37%
EPS Q2Q%7.93%
EPS Next Y11.53%
EPS Next 2Y18.55%
EPS Next 3Y16.77%
EPS Next 5Y18.23%
Revenue 1Y (TTM)17.49%
Revenue growth 3Y9.69%
Revenue growth 5Y15.93%
Sales Q2Q%7.16%
Revenue Next Year10.71%
Revenue Next 2Y14.55%
Revenue Next 3Y13%
Revenue Next 5Y10.14%
EBIT growth 1Y25.71%
EBIT growth 3Y9.45%
EBIT growth 5Y23.31%
EBIT Next Year15.2%
EBIT Next 3Y14.02%
EBIT Next 5Y14.24%
FCF growth 1Y38.2%
FCF growth 3Y7.58%
FCF growth 5Y18.14%
OCF growth 1Y37.12%
OCF growth 3Y7.21%
OCF growth 5Y18.07%
KLA CORP / KLAC FAQ
What is the ChartMill fundamental rating of KLA CORP (KLAC) stock?
ChartMill assigns a fundamental rating of 7 / 10 to KLAC.
Can you provide the valuation status for KLA CORP?
ChartMill assigns a valuation rating of 4 / 10 to KLA CORP (KLAC). This can be considered as Fairly Valued.
Can you provide the profitability details for KLA CORP?
KLA CORP (KLAC) has a profitability rating of 9 / 10.
What is the financial health of KLA CORP (KLAC) stock?
The financial health rating of KLA CORP (KLAC) is 8 / 10.
Can you provide the expected EPS growth for KLAC stock?
The Earnings per Share (EPS) of KLA CORP (KLAC) is expected to grow by 11.53% in the next year.