KLAC
KLA Corporation

KLA CorporationKLAC

Technology · Semiconductor Equipment & Materials
138.49USD
+6.69%
Nov 09, 2026
KLAC overview ready
Critical process-control and inspection equipment supplier to semiconductor fabs
KLA is a critical process-control and yield-management equipment supplier to semiconductor fabs.
Primary theme is lagging
Wafer Fab Equipment is lagging (-27.1pp vs SPY over 21 sessions; 0 of 7 members ahead of SPY).
Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of distribution pressure.
The tactical setup reads distribution pressure, but the weekly structure is broken.
Demanding valuation
The price embeds expectations that run ahead of what comparable businesses command.
Fundamentals under pressure
Ev / sales is weak.
Primary risk
Cyclicality of semiconductor capital spending.
Market Nov 6Filing Sep 30Price action Nov 8Research Jul 29

Conviction Level

PriceAction5.4BusinessPerformance9.0BusinessQuality8.8Valuation1.4ThemeMomentum1.0Accelerating — Revenue growth has accelerated across 4 consecutive quarters, rising from +7.2% to +29% year over year. Diluted EPS growth has strengthened to +39% year over year ($1.18), up from +12%. — Accelerating describes growth momentum measured in recent filed quarters. It is not proof that the acceleration will continue.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
vs SPY
−27.1pp
Theme return
−32.1%
Beating SPY
0 of 7
21 sessions to Nov 6, 2026 · Theme Leadership V2
Price
Loading price history…

Price Action

Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of distribution pressure.
The tactical setup reads distribution pressure, but the weekly structure is broken.
EntryConstructive

Structure is constructive, but price remains well extended from the long-term weekly base and the earlier reset has already been partly recovered — a workable rather than ideal entry location.

Key Financials

Market Cap
$180.4B
Avg Volume (60D)
11.5M
60 sessions
Revenue Growth YoY
+11.7%
FY2026 vs FY2025
Gross Margin
+61.5%
Operating Margin
+42.7%
Trailing twelve months
Free Cash Flow Yield
+2.2%
Distance from 200DMA
-23.8%
Next Earnings
2027-01-28
P/E
34.3x
EV / Sales
12.7x
Market metrics as of Nov 6, 2026
Financial results for the period ended Sep 30, 2026
Filed balance-sheet data as of Sep 30, 2026

Business Performance

Accelerating

Revenue growth has accelerated across 4 consecutive quarters, rising from +7.2% to +29% year over year. Diluted EPS growth has strengthened to +39% year over year ($1.18), up from +12%.

Latest reported: Q1 FY2027, ended Sep 30
Revenue growthAccelerating
+29%
$4.14B in Q1 FY2027 · YoY
YoY growth, last 4 quarters
  1. +7.2%
  2. +12%
  3. +15%
  4. +29%
Earnings growthAccelerating
+39%
Diluted EPS $1.18 vs $0.85 a year earlier · GAAP
Diluted EPS YoY (GAAP), last 4 quarters
  1. +41%
  2. +12%
  3. +14%
  4. +39%
Operating marginNot enough data
—
No year-ago comparison

Business Quality

8.8 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

Only one valuation perspective could be built for this company, and it reads expensive.
KLA Corporation has an Expensive valuation stance because the price embeds expectations that run ahead of what comparable businesses command. It trades at a 2.2% free-cash-flow yield and 12.7x revenue, which require sustained delivery to be justified.

What changed

  • KLA CORP — 8-K (items 5.07, 8.01, 9.01)
    Reported on 8-K, dated 2026-11-06. KLAC closed +6.7% while the broad market was close to flat (+0.3%). KLAC closed +6.7% while the broad market was close to flat (+0.3%).
    2026-11-06 · source
  • KLAC fell 13.3% in one session
    KLAC closed -13.3% against a broad market that moved -4.4%.
    2026-11-05
  • KLA CORP — 8-K (items 2.02, 9.01)
    Reported on 8-K, dated 2026-10-28.
    2026-10-28 · source
  • KLAC fell 9.6% in one session
    KLAC closed -9.6% while the broad market was close to flat (-1.2%).
    2026-10-22

Company Research

Thesis
KLA is a critical process-control and yield-management equipment supplier to semiconductor fabs. Its inspection, metrology, analytics, and related service offerings help manufacturers detect defects, control nanometer-scale process variation, accelerate production ramps, and improve die yield.
Opportunity
Moderate opportunity
US semiconductor-capacity investment requiring process equipment, process control, inspection, metrology, and specialty manufacturing capability for advanced-node, memory, and packaging production ramps.
Key risk
Cyclicality of semiconductor capital spending.

Economic classification

Loading the economic classification…

Business & Markets

Technology · Semiconductor Equipment & Materials
What they do

KLA Corporation designs, manufactures, and sells process control and process-enabling equipment used in semiconductor and electronics manufacturing, operating through segments focused on semiconductor process control, specialty semiconductor processes, and PCB/component inspection.

How it earns

Primarily transactional sales of equipment and related services, including inspection, metrology, and analytics tools.

Products & services
Semiconductor process control equipment
Inspection and review tools for wafers and masks
Chemical process control equipment
PCB and component inspection systems
Customers & end markets
Semiconductor manufacturers (fabs)
Electronics packaging and PCB manufacturers
Market position

Market leader in semiconductor process control and yield management equipment.

Demand drivers
High cyclicality

Semiconductor capital equipment demand is closely tied to semiconductor industry cycles and capital expenditure patterns.

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