The Analyst Verdict: KLA In The Eyes Of 23 Experts
23 analysts have expressed a variety of opinions on KLA (NASDAQ:KLAC) over the past quarter, offering a diverse set of opinions from bullish to bearish.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 9 | 9 | 5 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 4 | 4 | 1 | 0 | 0 |
| 2M Ago | 4 | 3 | 3 | 0 | 0 |
| 3M Ago | 1 | 1 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $1681.22, a high estimate of $1900.00, and a low estimate of $1214.00. This upward trend is apparent, with the current average reflecting a 16.83% increase from the previous average price target of $1439.05.
Understanding Analyst Ratings: A Comprehensive Breakdown
A clear picture of KLA's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Shane Brett | Morgan Stanley | Raises | Overweight | $1809.00 | $1751.00 |
| Atif Malik | Citigroup | Raises | Buy | $1800.00 | $1450.00 |
| Blayne Curtis | Jefferies | Raises | Buy | $1850.00 | $1500.00 |
| Srini Pajjuri | RBC Capital | Raises | Sector Perform | $1600.00 | $1550.00 |
| Edward Yang | Oppenheimer | Raises | Outperform | $1800.00 | $1400.00 |
| Tom O'Malley | Barclays | Raises | Overweight | $1700.00 | $1595.00 |
| Joseph Quatrochi | Wells Fargo | Raises | Overweight | $1900.00 | $1600.00 |
| C.J. Muse | Cantor Fitzgerald | Raises | Overweight | $1850.00 | $1750.00 |
| Brian Chin | Stifel | Raises | Buy | $1700.00 | $1600.00 |
| Charles Shi | Needham | Maintains | Buy | $1800.00 | $1800.00 |
| Melissa Weathers | Deutsche Bank | Raises | Hold | $1560.00 | $1250.00 |
| Timothy Arcuri | UBS | Raises | Neutral | $1635.00 | $1260.00 |
| Charles Shi | Needham | Raises | Buy | $1800.00 | $1350.00 |
| Joseph Quatrochi | Wells Fargo | Raises | Overweight | $1600.00 | $1250.00 |
| Srini Pajjuri | RBC Capital | Announces | Sector Perform | $1550.00 | - |
| Brian Chin | Stifel | Raises | Buy | $1600.00 | $1260.00 |
| Stacy Rasgon | Bernstein | Announces | Outperform | $1700.00 | - |
| Krish Sankar | TD Cowen | Raises | Buy | $1800.00 | $1300.00 |
| Vivek Arya | B of A Securities | Raises | Buy | $1650.00 | $1450.00 |
| C.J. Muse | Cantor Fitzgerald | Raises | Overweight | $1750.00 | $1500.00 |
| C.J. Muse | Cantor Fitzgerald | Raises | Overweight | $1500.00 | $1350.00 |
| Blayne Curtis | Jefferies | Raises | Buy | $1500.00 | $1100.00 |
| Shane Brett | Morgan Stanley | Raises | Equal-Weight | $1214.00 | $1154.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to KLA. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of KLA compared to the broader market.
- Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of KLA's stock. This comparison reveals trends in analysts' expectations over time.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of KLA's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on KLA analyst ratings.
Unveiling the Story Behind KLA
KLA is one of the largest semiconductor wafer fabrication equipment, or WFE, manufacturers in the world. It specializes in the market segment of semiconductor process control, wherein machines inspect semiconductor wafers during research and development and manufacturing for defects and verify precise measurements. In this section of the market, KLA holds a majority share. It also has a small exposure to the etch and deposition segments of the WFE market. It counts as top customers the largest chipmakers in the world, including TSMC and Samsung.
Understanding the Numbers: KLA's Finances
Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.
Revenue Growth: KLA's revenue growth over a period of 3M has been noteworthy. As of 31 December, 2025, the company achieved a revenue growth rate of approximately 7.16%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Information Technology sector.
Net Margin: KLA's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 34.75% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 21.93%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 6.94%, the company showcases effective utilization of assets.
Debt Management: With a high debt-to-equity ratio of 1.12, KLA faces challenges in effectively managing its debt levels, indicating potential financial strain.
The Basics of Analyst Ratings
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.