KLA (NASDAQ:KLAC – Free Report) had its price objective upped by JPMorgan Chase & Co. from $200.00 to $238.00 in a research note released on Wednesday,Benzinga reports. The firm currently has an overweight rating on the semiconductor company’s stock.
KLAC has been the subject of several other research reports. Scotiabank set a $200.00 price objective on shares of KLA in a report on Wednesday, June 10th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $195.00 target price (down from $220.00) on shares of KLA in a report on Wednesday. Citic Securities boosted their target price on KLA from $135.00 to $197.00 in a research report on Wednesday, May 6th. Bank of America raised their price target on KLA from $210.00 to $317.00 and gave the company a “buy” rating in a report on Tuesday, June 23rd. Finally, Wolfe Research lifted their price objective on KLA from $180.00 to $200.00 and gave the stock an “outperform” rating in a research note on Friday, April 10th. Nineteen investment analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company’s stock. According to MarketBeat.com, KLA has an average rating of “Moderate Buy” and an average target price of $223.70.
Check Out Our Latest Report on KLAC
KLA Trading Up 1.4%
KLA (NASDAQ:KLAC – Get Free Report) last released its earnings results on Tuesday, July 28th. The semiconductor company reported $1.05 EPS for the quarter, topping the consensus estimate of $1.00 by $0.05. The firm had revenue of $3.66 billion for the quarter, compared to the consensus estimate of $3.61 billion. KLA had a net margin of 35.57% and a return on equity of 87.66%. The company’s quarterly revenue was up 15.2% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.94 earnings per share. KLA has set its Q1 2027 guidance at 1.060-1.260 EPS. On average, equities analysts expect that KLA will post 5.37 earnings per share for the current fiscal year.
KLA Cuts Dividend
The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 2nd. Stockholders of record on Monday, May 18th were issued a $0.23 dividend. The ex-dividend date was Monday, May 18th. This represents a $0.92 dividend on an annualized basis and a dividend yield of 0.5%. KLA’s payout ratio is 25.07%.
Insider Activity
In related news, EVP Mary Beth Wilkinson sold 14,392 shares of KLA stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $285.30, for a total value of $4,106,037.60. Following the completion of the transaction, the executive vice president owned 53,367 shares in the company, valued at approximately $15,225,605.10. This trade represents a 21.24% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Richard P. Wallace sold 45,120 shares of the business’s stock in a transaction that occurred on Thursday, June 11th. The stock was sold at an average price of $221.34, for a total value of $9,986,725.44. Following the sale, the chief executive officer directly owned 713,830 shares in the company, valued at $157,996,990.71. The trade was a 5.95% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 132,333 shares of company stock worth $29,547,170. 91.48% of the stock is currently owned by corporate insiders.
Hedge Funds Weigh In On KLA
Institutional investors and hedge funds have recently modified their holdings of the stock. Regent Peak Wealth Advisors LLC increased its position in shares of KLA by 900.0% during the 2nd quarter. Regent Peak Wealth Advisors LLC now owns 2,280 shares of the semiconductor company’s stock valued at $688,000 after purchasing an additional 2,052 shares during the last quarter. Wedge Capital Management L L P NC lifted its position in KLA by 781.5% in the second quarter. Wedge Capital Management L L P NC now owns 359,277 shares of the semiconductor company’s stock worth $108,397,000 after buying an additional 318,520 shares during the last quarter. Butensky & Cohen Financial Security Inc. lifted its position in KLA by 600.7% in the second quarter. Butensky & Cohen Financial Security Inc. now owns 31,561 shares of the semiconductor company’s stock worth $9,522,000 after buying an additional 27,057 shares during the last quarter. Rise Advisors LLC purchased a new position in KLA during the second quarter worth $262,000. Finally, Kentucky Trust Co boosted its stake in KLA by 900.0% during the second quarter. Kentucky Trust Co now owns 210 shares of the semiconductor company’s stock worth $63,000 after buying an additional 189 shares during the period. Hedge funds and other institutional investors own 86.65% of the company’s stock.
Key Stories Impacting KLA
Here are the key news stories impacting KLA this week:
- Positive Sentiment: Upgraded to Strong Buy: Zacks raised KLA to a Rank #1 (Strong Buy), citing improving earnings prospects. KLAC was also included on Zacks’ momentum and new Strong Buy lists. KLA upgraded to Strong Buy
- Positive Sentiment: Analyst support strengthened: JPMorgan lifted its price target to $238, while Needham reaffirmed its Buy rating and Cantor Fitzgerald assigned an Overweight rating. TD Cowen also maintained a $260 Buy-rated target, supported by accelerating growth and advanced packaging opportunities. JPMorgan raises KLA price target
- Positive Sentiment: AI and advanced packaging demand: KLA expects advanced-packaging revenue to rise more than 70% in 2026 as increasingly complex AI chips drive demand for inspection, metrology and yield-management equipment. Its latest quarter also exceeded consensus estimates for earnings and revenue, with revenue up 15.2% year over year. KLA advanced packaging growth
- Positive Sentiment: Favorable sector flows: Semiconductor ETFs attracted substantial new investor money this week as strong technology earnings fueled a chip-stock rally, creating a supportive backdrop for KLAC. Semiconductor ETFs draw cash
- Neutral Sentiment: Industry analysts argue semiconductor oversupply is unlikely before 2028 because the infrastructure required for excess capacity is not yet in place, supporting long-term equipment demand but not providing a company-specific catalyst. Semiconductor oversupply outlook
- Negative Sentiment: Despite the earnings beat and higher guidance, KLAC faced pressure after results as investors focused on uncertainty around the outlook. Its roughly 50 forward earnings multiple also leaves the stock vulnerable if AI-related growth expectations moderate. KLA earnings and stock reaction
About KLA
KLA is a provider of process control and yield management solutions for the semiconductor and related microelectronics industries. The company designs and manufactures equipment, software and services used by chipmakers to analyze and control manufacturing processes, detect defects, measure critical dimensions and improve yield across wafer fabrication, photomask and packaging operations. KLA’s offerings are aimed at enabling production of advanced logic, memory, and specialty devices at progressively smaller technology nodes and more complex package structures.
Its product portfolio includes optical and e-beam inspection systems, metrology tools for critical dimension and film measurement, mask and reticle inspection platforms, as well as enterprise software and data analytics that aggregate process data and drive automated process control.
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