KLA Corporation demonstrates strong business quality through robust revenue growth, profitability, and market leadership, despite facing challenges from export controls. Future prospects appear positive, driven by demand in AI and advanced technologies, although service growth may face short-term pressures.
Analysis Date: January 30, 2025 Last Updated: May 29, 2025
+1337%
+30.5% per year
Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.
CountryUS
ExchangeNASDAQ
IndustrySemiconductors
SectorTechnology
Market Cap$92.33B
CEOMr. Richard P. Wallace
KLA Corporation is a company that helps make the tiny computer chips found in many electronic devices. They create tools and software that check and improve the quality of these chips during the manufacturing process. This ensures that the chips work well and meet high standards. Think of KLA as a quality control expert for the tech industry, making sure devices like smartphones and computers function properly.
Streams of revenue
Defect Inspection:48%
Service:23%
Patterning:20%
Specialty Semiconductor Process:4%
PCB And Component Inspection:3%
Other Revenue:2%
Geographic Distribution
CHINA:42%
North America:18%
TAIWAN, PROVINCE OF CHINA:16%
KOREA, REPUBLIC OF:8%
JAPAN:7%
Europe and Israel:5%
Rest of Asia:4%
Core Products
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Data AnalyticsManufacturing insights
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Metrology SystemsPrecision measurement
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Process Control SystemsWafer inspection
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Yield Management SoftwareOptimize production
Business Type
Business to Business
Competitive Advantages
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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Graham Value Metrics
Benjamin Graham's value investing approach focuses on finding stocks with a significant margin of safety between their intrinsic value and market price.
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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Income Statement Flow
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About Profitability Metrics
Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.
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KLAC (KLA Corporation) is a Technology company listed on NASDAQ Global Select. The stock has generated 30.5% annual returns with an overall investment score of None/100.
KLA Corporation demonstrates strong business quality through robust revenue growth, profitability, and market leadership, despite facing challenges from export controls. Future prospects appear positive, driven by demand in AI and advanced technologies, although service growth may face short-term pressures.
KLAC Key Financial Metrics
KLAC financial analysis includes comprehensive valuation ratios, profitability metrics, and financial health indicators. The company has a valuation score of 2.6268264407258446/100 and profitability score of 8.75/100 with financial health rated 7.3/100.
About KLA Corporation
KLA Corporation is a company that helps make the tiny computer chips found in many electronic devices. They create tools and software that check and improve the quality of these chips during the manufacturing process. This ensures that the chips work well and meet high standards. Think of KLA as a quality control expert for the tech industry, making sure devices like smartphones and computers function properly.
KLAC Investment Recommendation
Based on our comprehensive analysis of KLAC, investors should consider the company's strong performance track record, earnings consistency (10/10 quarters beat expectations), and current valuation metrics when making investment decisions.
Technology Sector Analysis
KLAC operates in the Semiconductors industry within the Technology sector. This analysis compares KLA Corporation performance against industry and sector benchmarks to provide context for investment decisions.
Frequently Asked Questions about KLAC Stock
Is KLAC a good investment?
KLAC (KLA Corporation) has generated 30.5% annual returns with an overall score of None/100. KLA Corporation demonstrates strong business quality through robust revenue growth, profitability, and market leadership, despite facing challenges from export controls. Future prospects appear positive, driven by demand in AI and … Investors should consider their risk tolerance and investment goals when evaluating KLAC.
What is KLAC P/E ratio and valuation?
KLAC valuation metrics including P/E ratio, price-to-book ratio, and price-to-sales ratio are analyzed on this page with comparisons to Semiconductors industry and Technology sector benchmarks. The company currently has a valuation score of 2.6268264407258446/100.
Should I buy KLAC stock now?
The decision to buy KLAC stock should be based on comprehensive analysis of financial metrics, market conditions, and individual investment goals. Our analysis provides profitability score of 8.75/100, financial health score of 7.3/100, and detailed performance metrics to help inform your investment decision.
What are KLAC financial health indicators?
KLAC financial health analysis includes liquidity ratios, debt levels, cash flow metrics, and profitability indicators. The company has a financial health score of 7.3/100 based on comprehensive analysis of balance sheet strength and operational efficiency.
How does KLAC compare to competitors?
KLAC performance is benchmarked against Semiconductors industry peers and Technology sector averages. Our analysis includes comparative valuation ratios, profitability metrics, and growth indicators to provide context for KLA Corporation's market position.
What are KLAC historical returns?
KLAC has generated 30.5% annual returns over the 10Y. Historical performance analysis includes price appreciation, dividend yields, and total shareholder returns compared to market benchmarks.
KLAC Key Investment Metrics Summary
Annual Return: 30.5%
Valuation Score: 2.6268264407258446/100
Profitability Score: 8.75/100
Financial Health Score: 7.3/100
Growth Score: 3.7664504831808236/100
Earnings Beat Rate: 10/10 quarters
Sector: Technology
Industry: Semiconductors
Exchange: NASDAQ Global Select
Market Cap: 92334527310
KLAC Investment Thesis
KLA Corporation (KLAC) represents an excellent investment opportunity in the Technology sector. With an overall score of None/100, the company demonstrates areas for financial improvement.
Investment Strengths
Strong Price-to-Earnings Ratio
High Gross Profit Margin
Robust Net Profit Margin
High Return on Equity
Strong Liquidity Ratios
High Interest Coverage
Strong Revenue Growth and Profitability
Market Leadership and Competitive Position
Consistent Capital Return to Shareholders
Strong Demand Driven by AI and Advanced Technologies
Positive Industry Outlook
Investment Risks
High Price-to-Sales Ratio
Elevated EV/EBITDA Ratio
Operating Profit Margin Variation
High Debt Levels
Exposure to Export Controls
Potential Weakness in Service Growth
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