1215.08 USD
-28.57 (-2.3%)
1215.08 USD
0 (0%)
Taking everything into account, KLAC scores 7 out of 10 in our fundamental rating. KLAC was compared to 113 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 not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings would make KLAC suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year KLAC was profitable.
KLAC had a positive operating cash flow in the past year.
Each year in the past 5 years KLAC has been profitable.
In the past 5 years KLAC always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 25.96%, KLAC belongs to the best of the industry, outperforming 97.35% of the companies in the same industry.
Looking at the Return On Equity, with a value of 84.99%, KLAC belongs to the top of the industry, outperforming 99.11% of the companies in the same industry.
KLAC has a better Return On Invested Capital (38.07%) than 99.11% of its industry peers.
The Average Return On Invested Capital over the past 3 years for KLAC is significantly above the industry average of 10.75%.
The 3 year average ROIC (34.16%) for KLAC is below the current ROIC(38.07%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.96% | ||
| ROE | 84.99% | ||
| ROIC | 38.07% |
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's Profit Margin of 33.83% is amongst the best of the industry. KLAC outperforms 92.92% of its industry peers.
KLAC's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 42.86%, KLAC belongs to the best of the industry, outperforming 97.35% of the companies in the same industry.
KLAC's Operating Margin has improved in the last couple of years.
KLAC has a Gross Margin of 61.99%. This is amongst the best in the industry. KLAC outperforms 86.73% 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 | 42.86% | ||
| PM (TTM) | 33.83% | ||
| GM | 61.99% |
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
KLAC has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, KLAC has less shares outstanding
The number of shares outstanding for KLAC has been reduced compared to 5 years ago.
KLAC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 11.02 indicates that KLAC is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 11.02, KLAC is doing good in the industry, outperforming 76.11% of the companies in the same industry.
KLAC has a debt to FCF ratio of 1.52. This is a very positive value and a sign of high solvency as it would only need 1.52 years to pay back of all of its debts.
KLAC's Debt to FCF ratio of 1.52 is fine compared to the rest of the industry. KLAC outperforms 70.80% of its industry peers.
A Debt/Equity ratio of 1.18 is on the high side and indicates that KLAC has dependencies on debt financing.
With a Debt to Equity ratio value of 1.18, KLAC is not doing good in the industry: 88.50% of the companies in the same industry are doing better.
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 | 1.18 | ||
| Debt/FCF | 1.52 | ||
| Altman-Z | 11.02 |
ROIC/WACC3.56
WACC10.68%
2.3 Liquidity
A Current Ratio of 2.69 indicates that KLAC has no problem at all paying its short term obligations.
KLAC has a Current ratio (2.69) which is in line with its industry peers.
A Quick Ratio of 1.88 indicates that KLAC should not have too much problems paying its short term obligations.
KLAC has a Quick ratio (1.88) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.69 | ||
| Quick Ratio | 1.88 |
3. Growth
3.1 Past
KLAC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 37.28%, which is quite impressive.
The Earnings Per Share has been growing by 26.37% on average over the past years. This is a very strong growth
KLAC shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.11%.
KLAC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.93% yearly.
EPS 1Y (TTM)37.28%
EPS 3Y16.32%
EPS 5Y26.37%
EPS Q2Q%20.19%
Revenue 1Y (TTM)22.11%
Revenue growth 3Y9.69%
Revenue growth 5Y15.93%
Sales Q2Q%12.96%
3.2 Future
The Earnings Per Share is expected to grow by 12.51% on average over the next years. This is quite good.
KLAC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.43% yearly.
EPS Next Y9.51%
EPS Next 2Y13.36%
EPS Next 3Y11.96%
EPS Next 5Y12.51%
Revenue Next Year8.5%
Revenue Next 2Y10.26%
Revenue Next 3Y9.35%
Revenue Next 5Y8.43%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 34.92, the valuation of KLAC can be described as expensive.
Based on the Price/Earnings ratio, KLAC is valued a bit cheaper than the industry average as 69.03% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 26.51, KLAC is valued a bit more expensive.
The Price/Forward Earnings ratio is 28.38, which means the current valuation is very expensive for KLAC.
Based on the Price/Forward Earnings ratio, KLAC is valued a bit cheaper than 61.95% of the companies in the same industry.
KLAC's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.92 | ||
| Fwd PE | 28.38 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KLAC indicates a somewhat cheap valuation: KLAC is cheaper than 65.49% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KLAC indicates a somewhat cheap valuation: KLAC is cheaper than 73.45% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 41.23 | ||
| EV/EBITDA | 27.44 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates KLAC does not grow enough to justify the current Price/Earnings ratio.
KLAC has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)3.67
PEG (5Y)1.32
EPS Next 2Y13.36%
EPS Next 3Y11.96%
5. Dividend
5.1 Amount
KLAC has a yearly dividend return of 0.60%, which is pretty low.
KLAC's Dividend Yield is a higher than the industry average which is at 0.56.
With a Dividend Yield of 0.60, KLAC pays less dividend than the S&P500 average, which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
5.2 History
The dividend of KLAC is nicely growing with an annual growth rate of 15.33%!
KLAC has been paying a dividend for at least 10 years, so it has 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
KLAC pays out 22.67% of its income as dividend. This is a sustainable payout ratio.
The dividend of KLAC is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP22.67%
EPS Next 2Y13.36%
EPS Next 3Y11.96%
1215.08
-28.57 (-2.3%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners94.4%
Inst Owner Change1.38%
Ins Owners0.06%
Ins Owner Change-1.36%
Market Cap159.65B
Revenue(TTM)12.52B
Net Income(TTM)4.24B
Analysts73.14
Price Target1343.15 (10.54%)
Short Float %2.72%
Short Ratio3.63
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
Yearly Dividend6.79
Dividend Growth(5Y)15.33%
DP22.67%
Div Incr Years15
Div Non Decr Years19
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.89%
Min EPS beat(2)0.34%
Max EPS beat(2)7.44%
EPS beat(4)4
Avg EPS beat(4)3.33%
Min EPS beat(4)0.34%
Max EPS beat(4)7.44%
EPS beat(8)8
Avg EPS beat(8)3.19%
EPS beat(12)12
Avg EPS beat(12)3.48%
EPS beat(16)16
Avg EPS beat(16)3.85%
Revenue beat(2)1
Avg Revenue beat(2)0.13%
Min Revenue beat(2)-0.72%
Max Revenue beat(2)0.98%
Revenue beat(4)2
Avg Revenue beat(4)0.66%
Min Revenue beat(4)-0.72%
Max Revenue beat(4)2.66%
Revenue beat(8)4
Avg Revenue beat(8)0.34%
Revenue beat(12)7
Avg Revenue beat(12)0.73%
Revenue beat(16)10
Avg Revenue beat(16)0.79%
PT rev (1m)2.7%
PT rev (3m)43.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.59%
EPS NY rev (1m)0.39%
EPS NY rev (3m)2.22%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.32%
Revenue NY rev (1m)0.35%
Revenue NY rev (3m)1.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.92 | ||
| Fwd PE | 28.38 | ||
| P/S | 12.75 | ||
| P/FCF | 41.23 | ||
| P/OCF | 37.58 | ||
| P/B | 32.03 | ||
| P/tB | 57.09 | ||
| EV/EBITDA | 27.44 |
EPS(TTM)34.8
EY2.86%
EPS(NY)42.81
Fwd EY3.52%
FCF(TTM)29.47
FCFY2.43%
OCF(TTM)32.33
OCFY2.66%
SpS95.32
BVpS37.94
TBVpS21.29
PEG (NY)3.67
PEG (5Y)1.32
Graham Number172.36
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.96% | ||
| ROE | 84.99% | ||
| ROCE | 43.75% | ||
| ROIC | 38.07% | ||
| ROICexc | 61.58% | ||
| ROICexgc | 86.56% | ||
| OM | 42.86% | ||
| PM (TTM) | 33.83% | ||
| GM | 61.99% | ||
| FCFM | 30.92% |
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 Turnover0.77
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 1.52 | ||
| Debt/EBITDA | 1.02 | ||
| Cap/Depr | 95.05% | ||
| Cap/Sales | 3% | ||
| Interest Coverage | 18.31 | ||
| Cash Conversion | 73.72% | ||
| Profit Quality | 91.4% | ||
| Current Ratio | 2.69 | ||
| Quick Ratio | 1.88 | ||
| Altman-Z | 11.02 |
F-Score9
WACC10.68%
ROIC/WACC3.56
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)37.28%
EPS 3Y16.32%
EPS 5Y26.37%
EPS Q2Q%20.19%
EPS Next Y9.51%
EPS Next 2Y13.36%
EPS Next 3Y11.96%
EPS Next 5Y12.51%
Revenue 1Y (TTM)22.11%
Revenue growth 3Y9.69%
Revenue growth 5Y15.93%
Sales Q2Q%12.96%
Revenue Next Year8.5%
Revenue Next 2Y10.26%
Revenue Next 3Y9.35%
Revenue Next 5Y8.43%
EBIT growth 1Y32.78%
EBIT growth 3Y9.45%
EBIT growth 5Y23.31%
EBIT Next Year15.05%
EBIT Next 3Y12.5%
EBIT Next 5Y11.22%
FCF growth 1Y20.39%
FCF growth 3Y7.58%
FCF growth 5Y18.14%
OCF growth 1Y19.94%
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 7 / 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 9.51% in the next year.