KLA CORP (KLAC) Stock Fundamental Analysis
NASDAQ:KLAC • US4824801009
1524.55 USD
+0.24 (+0.02%)
At close: Feb 27, 2026
1524.55 USD
0 (0%)
Pre-Market: 3/2/2026, 9:19:24 AM
KLAC gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 115 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
- KLAC had positive earnings in the past year.
- In the past year KLAC had a positive cash flow from operations.
- KLAC had positive earnings in each of the past 5 years.
- KLAC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of KLAC (27.26%) is better than 97.39% of its industry peers.
- The Return On Equity of KLAC (83.39%) is better than 99.13% of its industry peers.
- KLAC's Return On Invested Capital of 37.18% is amongst the best of the industry. KLAC outperforms 98.26% 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 10.63%.
- 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
- Looking at the Profit Margin, with a value of 35.76%, KLAC belongs to the top of the industry, outperforming 93.91% of the companies in the same industry.
- KLAC's Profit Margin has improved in the last couple of years.
- KLAC's Operating Margin of 42.71% is amongst the best of the industry. KLAC outperforms 97.39% of its industry peers.
- In the last couple of years the Operating Margin of KLAC has grown nicely.
- KLAC has a Gross Margin of 61.91%. This is amongst the best in the industry. KLAC outperforms 86.96% of its industry peers.
- KLAC's Gross Margin has been stable in the last couple of years.
| 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
- With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), KLAC is creating value.
- KLAC has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, KLAC has less shares outstanding
- The debt/assets ratio for KLAC has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 13.25 indicates that KLAC is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 13.25, KLAC is doing good in the industry, outperforming 79.13% 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's Debt to FCF ratio of 1.34 is fine compared to the rest of the industry. KLAC outperforms 69.57% of its industry peers.
- A Debt/Equity ratio of 1.08 is on the high side and indicates that KLAC has dependencies on debt financing.
- KLAC's Debt to Equity ratio of 1.08 is on the low side compared to the rest of the industry. KLAC is outperformed by 87.83% 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/WACC3.38
WACC10.99%
2.3 Liquidity
- A Current Ratio of 2.83 indicates that KLAC has no problem at all paying its short term obligations.
- KLAC has a Current ratio of 2.83. This is comparable to the rest of the industry: KLAC outperforms 49.57% of its industry peers.
- A Quick Ratio of 2.00 indicates that KLAC has no problem at all paying its short term obligations.
- Looking at the Quick ratio, with a value of 2.00, KLAC is in line with its industry, outperforming 43.48% 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.
- 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)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.
- KLAC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.14% yearly.
EPS Next Y11.53%
EPS Next 2Y18.55%
EPS Next 3Y16.77%
EPS Next 5Y18.23%
Revenue Next Year10.85%
Revenue Next 2Y15.32%
Revenue Next 3Y13.41%
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
- A Price/Earnings ratio of 43.01 indicates a quite expensive valuation of KLAC.
- Based on the Price/Earnings ratio, KLAC is valued a bit cheaper than the industry average as 72.17% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of KLAC to the average of the S&P500 Index (27.07), we can say KLAC is valued expensively.
- KLAC is valuated quite expensively with a Price/Forward Earnings ratio of 32.55.
- Based on the Price/Forward Earnings ratio, KLAC is valued a bit cheaper than the industry average as 66.09% of the companies are valued more expensively.
- KLAC's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.05.
| 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 the industry average as 66.09% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, KLAC is valued a bit cheaper than the industry average as 73.04% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.65 | ||
| EV/EBITDA | 33.9 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- KLAC has an outstanding profitability rating, which 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
- KLAC has a yearly dividend return of 0.50%, which is pretty low.
- KLAC's Dividend Yield is a higher than the industry average which is at 0.47.
- Compared to an average S&P500 Dividend Yield of 1.82, KLAC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.5% |
5.2 History
- On average, the dividend of KLAC grows each year by 15.33%, which is quite nice.
- KLAC has been paying a dividend for at least 10 years, so it has a reliable track record.
- KLAC has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)15.33%
Div Incr Years15
Div Non Decr Years19
5.3 Sustainability
- KLAC pays out 21.58% of its income as dividend. This is a sustainable payout ratio.
- KLAC's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept 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 Change1.48%
Ins Owners0.05%
Ins Owner Change-3.93%
Market Cap199.84B
Revenue(TTM)12.74B
Net Income(TTM)4.56B
Analysts77.3
Price Target1700.62 (11.55%)
Short Float %1.99%
Short Ratio2.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.5% |
Yearly Dividend6.79
Dividend Growth(5Y)15.33%
DP21.58%
Div Incr Years15
Div Non Decr Years19
Ex-Date02-17 2026-02-17 (1.9)
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)21.72%
PT rev (3m)30.03%
EPS NQ rev (1m)2.45%
EPS NQ rev (3m)3.17%
EPS NY rev (1m)1.45%
EPS NY rev (3m)2.24%
Revenue NQ rev (1m)2.72%
Revenue NQ rev (3m)3.06%
Revenue NY rev (1m)1.94%
Revenue NY rev (3m)2.53%
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 | 33.9 |
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
WACC10.99%
ROIC/WACC3.38
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 Year10.85%
Revenue Next 2Y15.32%
Revenue Next 3Y13.41%
Revenue Next 5Y10.14%
EBIT growth 1Y25.71%
EBIT growth 3Y9.45%
EBIT growth 5Y23.31%
EBIT Next Year17.7%
EBIT Next 3Y17.61%
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.