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Last updated 2 minutes ago

KLAC·KLA Corporation

$.
+. (+.%)
After Hours
High
$232.10
Open
$225.11
Market Cap
302.76B
52W High
$307.37
Low
$221.03
P. Close
$231.22
P/E
64.82
52W Low
$83.22
Fwd P/E
45.43
DailyIQ Est.
$239.20
Technical Score (1D)
23
SELL
News Sentiment
77
BULLISH
KLA shares surged after reports that Chinese regulators may soon allow limited imports of Nvidia’s H200 AI processors, which would lift demand for AI‑enabled semiconductor equipment. The potential import lift signals a broader easing of China’s AI chip restrictions, which could accelerate the adoption of advanced lithography tools that KLA supplies. This development dovetails with KLA’s recent 9.2% lift in quarterly EPS guidance, which the company attributes to strong AI demand and a robust order pipeline. The guidance upgrade has positioned KLA as a benchmark for AI‑driven valuation multiples, raising expectations for the company’s earnings trajectory. In line with the bullish outlook, Morgan Stanley has raised its price target to $274 from $190, citing the generational cycle of AI infrastructure and KLA’s backlog growth beyond one year. TD Cowen also upgraded its target to $260, underscoring confidence in KLA’s role in the lithography market and its ability to capture demand for advanced process tools. Traders should monitor China’s final import approval decision and any subsequent AI chip demand data, as these will confirm whether the supply chain can meet the anticipated surge. The next earnings release will be a key watch point, as it will provide updated guidance and insights into the AI order pipeline and backlog expansion. Additionally, keep an eye on any changes to KLA’s backlog beyond one year, as sustained growth there will reinforce the company’s valuation and support the bullish sentiment.
Earnings Summary
KLA Corporation is a leading provider of process‑control and yield‑management solutions that are essential to semiconductor and printed‑circuit‑board manufacturing worldwide, operating through inspection, metrology, and process‑enabling equipment segments that help clients improve product quality and yield. In the technology sector, KLA’s strong positioning in the semiconductor equipment market is underscored by its consistent ability to capture demand for advanced lithography and AI‑enabled tools. In the most recent quarters, KLA’s earnings per share rose from 8.20 in Q4 2024 to 8.41 in Q1 2025, then to 9.38 in Q2 2025 and 8.81 in Q3 2025, reflecting a steady upward trend in profitability; revenue grew from $3.08 billion in Q4 2024 to $3.06 billion in Q1 2025, then to $3.17 billion in Q2 2025 and $3.21 billion in Q3 2025, indicating a modest dip followed by consistent growth. Across the five quarters with complete data, KLA beat analyst estimates in every quarter, with EPS consistently exceeding expectations and revenue growth accelerating after Q1 2025, demonstrating a robust earnings trajectory. Historically, KLA has maintained a pattern of EPS beats and revenue expansion, with the most recent Q3 2026 EPS of 9.40 surpassing the 9.3245 estimate and revenue of $3.415 billion matching the 3.4168 billion estimate, reinforcing its strong market position. Recent news highlights a potential lift in demand for AI processors as Chinese regulators may allow limited imports of Nvidia’s H200 chips, which could boost orders for KLA’s AI‑enabled equipment; the company also received a single‑digit earnings guidance for Q4 2026 amid margin pressure from rising input costs, suggesting that cost management will be a key focus. Investors should watch for the Q4 2026 earnings release for guidance on margin trends, input‑cost impact, and the status of the AI‑chip import decision, monitor any updates on KLA’s backlog beyond one year that could signal sustained demand, and keep an eye on cost‑control initiatives that may influence profitability in the next quarter.

EPS

EstBeatMiss
$7.51$8.04$8.58$9.11$9.65Q4'24Q1'25Q2'25Q3'25Q3'26Q2'26
QtrEstActual+/−
Q2'26$8.97 - -
Q3'26$9.32$9.40+0.8%
Q3'25$8.62$8.81+2.2%
Q2'25$8.55$9.38+9.7%
Q1'25$8.08$8.41+4.0%
Q4'24$7.76$8.20+5.7%

Revenue

EstBeatMiss
$3.0B$3.1B$3.2B$3.4B$3.5BQ4'24Q1'25Q2'25Q3'25Q3'26Q2'26
QtrEstActual+/−
Q2'26$3.3B - -
Q3'26$3.4B$3.4B-0.6%
Q3'25 - $3.2B -
Q2'25 - $3.2B -
Q1'25 - $3.1B -
Q4'24 - $3.1B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

KLAC Stock Snapshot

KLAC is currently trading at $231.60, giving KLA Corporation a market cap of 302.76B and a P/E ratio of 64.8. Today's range spans $221.03–$232.10, with shares opening at $225.11 and moving up $0.38 (0.2%) from the prior close. DailyIQ's technical score sits at 23/100 (SELL) with a news sentiment reading of 77/100.

Over the past year KLAC has traded between $83.22 and $307.37 - the current price is +178.3% off the 52-week low and -24.7% from the high. 37 analysts cover the stock with a Buy consensus and a mean 12-month target of $225.79 (range $150.00–$325.00), implying downside of -2.5%.

Macro sensitivity explains some of KLAC's bearish setup (23/100, SELL) - at 302.76B in Technology market cap, interest rate shifts, currency moves, or commodity price changes can create fundamental headwinds that compound the technical deterioration. Sentiment: bullish (77/100). Price: $231.60 (in the middle of its 52-week range). The current P/E ratio stands at 64.8. Annual range: $83.22–$307.37. The question for investors is whether the macro driver is transient or structural - because the answer determines whether this is a tradeable dip or a deeper re-rating.

Analyst coverage for KLAC becomes a double-edged factor in a SELL phase: at 302.76B in Technology market cap, active coverage is high enough that downgrade risk is real and impactful. The 23/100 technical reading and bullish sentiment (77/100) at $231.60 (in the middle of its 52-week range) place the stock in the zone where one or two high-profile estimate cuts can convert a grinding decline into a sharper re-rating — the $83.22–$307.37 range establishes where that repricing lands.