1441.96 USD
-0.99 (-0.07%)
Last: Feb 9, 2026, 03:01 PM
KLAC gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 113 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the health and profitability get an excellent rating, making KLAC a very profitable company, without any liquidiy or solvency issues. 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.
- In the past 5 years KLAC has always been profitable.
- KLAC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- KLAC's Return On Assets of 27.26% is amongst the best of the industry. KLAC outperforms 97.35% of its industry peers.
- Looking at the Return On Equity, with a value of 83.39%, KLAC belongs to the top of the industry, outperforming 98.23% of the companies in the same industry.
- The Return On Invested Capital of KLAC (37.52%) is better than 98.23% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for KLAC is significantly above the industry average of 10.71%.
- The 3 year average ROIC (34.16%) for KLAC is below the current ROIC(37.52%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.26% | ||
| ROE | 83.39% | ||
| ROIC | 37.52% |
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 Profit Margin of 35.76%. This is amongst the best in the industry. KLAC outperforms 94.69% of its industry peers.
- KLAC's Profit Margin has improved in the last couple of years.
- KLAC has a Operating Margin of 43.09%. This is amongst the best in the industry. KLAC outperforms 97.35% of its industry peers.
- In the last couple of years the Operating Margin of KLAC has grown nicely.
- With an excellent Gross Margin value of 62.21%, KLAC belongs to the best of the industry, outperforming 86.73% of the companies in the same industry.
- 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 | 43.09% | ||
| PM (TTM) | 35.76% | ||
| GM | 62.21% |
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.
- 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
- KLAC has a better debt/assets ratio than last year.
2.2 Solvency
- KLAC has an Altman-Z score of 12.72. This indicates that KLAC is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 12.72, KLAC is in the better half of the industry, outperforming 79.65% 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 71.68% 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.
- KLAC has a Debt to Equity ratio of 1.08. This is amonst the worse of the industry: KLAC underperforms 86.73% of its industry peers.
- Although KLAC does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.08 | ||
| Debt/FCF | 1.34 | ||
| Altman-Z | 12.72 |
ROIC/WACC3.41
WACC11%
2.3 Liquidity
- KLAC has a Current Ratio of 2.83. This indicates that KLAC is financially healthy and has no problem in meeting its short term obligations.
- With a Current ratio value of 2.83, KLAC perfoms like the industry average, outperforming 47.79% of the companies in the same industry.
- KLAC has a Quick Ratio of 2.00. This indicates that KLAC is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 2.00, KLAC is in line with its industry, outperforming 44.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.83 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
- KLAC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 29.43%, 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
- 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
- Based on estimates for the next years, KLAC will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.51% on average per year.
- KLAC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.56% yearly.
EPS Next Y11.53%
EPS Next 2Y18.55%
EPS Next 3Y16.77%
EPS Next 5Y12.51%
Revenue Next Year10.71%
Revenue Next 2Y14.55%
Revenue Next 3Y13%
Revenue Next 5Y8.56%
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
- A Price/Earnings ratio of 40.68 indicates a quite expensive valuation of KLAC.
- Based on the Price/Earnings ratio, KLAC is valued a bit cheaper than 73.45% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.93. KLAC is valued slightly more expensive when compared to this.
- A Price/Forward Earnings ratio of 30.79 indicates a quite expensive valuation of KLAC.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of KLAC indicates a somewhat cheap valuation: KLAC is cheaper than 69.03% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 27.77, KLAC is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.68 | ||
| Fwd PE | 30.79 |
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 67.26% of the companies listed in the same industry.
- 75.22% 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 | 43.28 | ||
| EV/EBITDA | 31.87 |
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)3.53
PEG (5Y)1.54
EPS Next 2Y18.55%
EPS Next 3Y16.77%
5. Dividend
5.1 Amount
- KLAC has a yearly dividend return of 0.57%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.51, KLAC pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.81, KLAC's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
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 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 21.58% of its income as dividend. This is a sustainable payout ratio.
- KLAC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP21.58%
EPS Next 2Y18.55%
EPS Next 3Y16.77%
NASDAQ:KLAC (2/9/2026, 3:01:49 PM)
1441.96
-0.99 (-0.07%)
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 Change-0.66%
Ins Owners0.05%
Ins Owner Change-12.38%
Market Cap189.46B
Revenue(TTM)12.74B
Net Income(TTM)4.56B
Analysts74.29
Price Target1669.04 (15.75%)
Short Float %2.32%
Short Ratio2.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
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)24.26%
PT rev (3m)55.35%
EPS NQ rev (1m)3.06%
EPS NQ rev (3m)3.09%
EPS NY rev (1m)1.84%
EPS NY rev (3m)2.24%
Revenue NQ rev (1m)2.91%
Revenue NQ rev (3m)2.91%
Revenue NY rev (1m)2.04%
Revenue NY rev (3m)2.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.68 | ||
| Fwd PE | 30.79 | ||
| P/S | 14.87 | ||
| P/FCF | 43.28 | ||
| P/OCF | 39.75 | ||
| P/B | 34.66 | ||
| P/tB | 56.94 | ||
| EV/EBITDA | 31.87 |
EPS(TTM)35.45
EY2.46%
EPS(NY)46.83
Fwd EY3.25%
FCF(TTM)33.32
FCFY2.31%
OCF(TTM)36.28
OCFY2.52%
SpS97
BVpS41.6
TBVpS25.32
PEG (NY)3.53
PEG (5Y)1.54
Graham Number182.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 27.26% | ||
| ROE | 83.39% | ||
| ROCE | 43.12% | ||
| ROIC | 37.52% | ||
| ROICexc | 63.47% | ||
| ROICexgc | 88.64% | ||
| OM | 43.09% | ||
| PM (TTM) | 35.76% | ||
| GM | 62.21% | ||
| 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 | ||
| Cap/Depr | 99.57% | ||
| Cap/Sales | 3.05% | ||
| Interest Coverage | 19.92 | ||
| Cash Conversion | 81.02% | ||
| Profit Quality | 96.04% | ||
| Current Ratio | 2.83 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 12.72 |
F-Score9
WACC11%
ROIC/WACC3.41
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 5Y12.51%
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 5Y8.56%
EBIT growth 1Y26.85%
EBIT growth 3Y9.45%
EBIT growth 5Y23.31%
EBIT Next Year15.2%
EBIT Next 3Y14.02%
EBIT Next 5Y11.09%
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.