Analysts Set Expectations for KLA FY2026 Earnings

KLA Co. (NASDAQ:KLAC) – Equities researchers at Cantor Fitzgerald issued their FY2026 EPS estimates for KLA in a research note issued to investors on Monday, June 9th. Cantor Fitzgerald analyst C. Muse forecasts that the semiconductor company will earn $34.78 per share for the year. Cantor Fitzgerald currently has a “Neutral” rating and a $800.00 target price on the stock. The consensus estimate for KLA’s current full-year earnings is $31.59 per share.

KLA (NASDAQ:KLAC) last issued its earnings results on Wednesday, April 30th. The semiconductor company reported $8.41 earnings per share for the quarter, topping the consensus estimate of $8.08 by $0.33. KLA had a return on equity of 108.60% and a net margin of 29.58%. The company had revenue of $3.06 billion for the quarter, compared to analyst estimates of $3.01 billion. During the same period in the prior year, the firm posted $5.26 EPS. The business’s revenue was up 35.5% compared to the same quarter last year.

Other analysts have also recently issued reports about the stock. Stifel Nicolaus lifted their target price on shares of KLA from $750.00 to $770.00 and gave the company a “buy” rating in a research note on Thursday, May 1st. TD Cowen lifted their price objective on shares of KLA from $770.00 to $800.00 and gave the company a “hold” rating in a research note on Thursday, May 1st. Needham & Company LLC reiterated a “buy” rating and issued a $830.00 price objective on shares of KLA in a report on Thursday, May 1st. Barclays lowered their target price on shares of KLA from $760.00 to $590.00 and set an “equal weight” rating on the stock in a research report on Tuesday, April 22nd. Finally, Wall Street Zen cut KLA from a “buy” rating to a “hold” rating in a research report on Friday, May 30th. Ten equities research analysts have rated the stock with a hold rating and ten have issued a buy rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $795.39.

KLA Trading Up 2.6%

NASDAQ:KLAC opened at $829.29 on Tuesday. The stock’s 50 day moving average price is $713.14 and its 200 day moving average price is $702.72. KLA has a 52 week low of $551.33 and a 52 week high of $896.32. The company has a market capitalization of $109.67 billion, a P/E ratio of 34.87, a P/E/G ratio of 1.57 and a beta of 1.40. The company has a debt-to-equity ratio of 1.64, a quick ratio of 1.63 and a current ratio of 2.36.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. First Hawaiian Bank boosted its stake in KLA by 24.0% during the first quarter. First Hawaiian Bank now owns 1,554 shares of the semiconductor company’s stock worth $1,056,000 after buying an additional 301 shares in the last quarter. Inspire Investing LLC lifted its holdings in shares of KLA by 9.3% during the 1st quarter. Inspire Investing LLC now owns 16,370 shares of the semiconductor company’s stock worth $11,128,000 after acquiring an additional 1,389 shares during the period. Modern Wealth Management LLC lifted its holdings in shares of KLA by 22.3% during the 1st quarter. Modern Wealth Management LLC now owns 400 shares of the semiconductor company’s stock worth $272,000 after acquiring an additional 73 shares during the period. Strs Ohio acquired a new stake in shares of KLA during the 1st quarter valued at about $26,473,000. Finally, Advisors Capital Management LLC increased its stake in KLA by 2.5% in the first quarter. Advisors Capital Management LLC now owns 3,819 shares of the semiconductor company’s stock valued at $2,597,000 after acquiring an additional 92 shares during the period. 86.65% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling at KLA

In related news, CFO Bren D. Higgins sold 1,019 shares of the business’s stock in a transaction on Thursday, May 22nd. The shares were sold at an average price of $766.46, for a total transaction of $781,022.74. Following the transaction, the chief financial officer now owns 27,779 shares of the company’s stock, valued at approximately $21,291,492.34. The trade was a 3.54% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CEO Richard P. Wallace sold 10,802 shares of the company’s stock in a transaction on Tuesday, May 6th. The shares were sold at an average price of $683.30, for a total transaction of $7,381,006.60. Following the transaction, the chief executive officer now owns 78,740 shares of the company’s stock, valued at approximately $53,803,042. The trade was a 12.06% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 18,829 shares of company stock valued at $13,240,166 in the last 90 days. 0.12% of the stock is currently owned by insiders.

KLA Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 3rd. Shareholders of record on Monday, May 19th were issued a $1.90 dividend. The ex-dividend date was Monday, May 19th. This represents a $7.60 dividend on an annualized basis and a yield of 0.92%. This is a positive change from KLA’s previous quarterly dividend of $1.70. KLA’s dividend payout ratio (DPR) is 27.63%.

KLA announced that its board has authorized a share repurchase plan on Wednesday, April 30th that authorizes the company to buyback $5.00 billion in outstanding shares. This buyback authorization authorizes the semiconductor company to purchase up to 5.4% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its shares are undervalued.

About KLA

KLA Corporation, together with its subsidiaries, engages in the design, manufacture, and marketing of process control, process-enabling, and yield management solutions for the semiconductor and related electronics industries worldwide. It operates through three segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB and Component Inspection.