Stock Analysis
KLA Corporation Common StockKLAC
P/E 46.36×· 5Y range 11.44–85.26×· top 11% of history
Sector: Technology · Industry: Optical Instruments & Lenses
AnalystsBuy35 analystsP/E 46.4× sits at the 89th percentile of its 5.086926762491444-year history.
Cash covers 80% of debt · FY 2026.
PMP Verdict
High quality, but expensive
Strengths
- Profitability100
- Financial Health88
Risks
- Valuation10
Excellent business. Weak entry price.
Market context
-5.0% today· Z 2.1σ
Bull Case
- ✓Piotroski F-Score 8/9 — high earnings quality
- ✓Altman Z 13.9 — safe-zone balance sheet
- ✓ROE 73.6% — efficient capital deployment
- ✓Revenue CAGR 10.2% — durable top-line growth
- ✓Interest coverage 9.8× — debt well covered
What's happening with KLAC
Profile
Strong profitability, moat, financial health, earnings quality and growth; valuation lags behind.
How is each axis scored?
- Valuation10/100 · Weak
- P/E vs own history (89th pct)0/25
- FCF yield (1.9%)5/25
- P/S (16.5x)5/25
- EV/EBIT (40.4x)0/25
- Growth77/100 · Strong
- Revenue CAGR (10.2%)20/25
- Net income CAGR (9.8%)12/25
- EPS CAGR 5Y (13.7%)20/25
- Fwd implied growth (41.9%)25/25
- Profitability100/100 · Strong
- ROIC (56.0%)25/25
- ROE (73.6%)25/25
- Net margin (35.7%)25/25
- Operating margin (41.1%)25/25
- Financial Health88/100 · Strong
- Altman Z (13.94)25/25
- Current ratio (2.88)25/25
- Interest coverage (9.8x)18/25
- Net cash / debt (D/A 7%)20/25
- Quality84/100 · Strong
- Piotroski F (8/9)25/25
- Beneish M (-2.19)12/25
- FCF conversion (86%)22/25
- Margin stability (σ 3.9%)25/25
- Moat100/100 · Strong
- ROIC >12% years (8/8 yrs)25/25
- Median gross margin (60.4%)25/25
- FCF-positive years (10/10 yrs)25/25
- Worst-year net margin (worst 19.9%)25/25
Risk Flags
- ⚠P/E 46.4× at top 11% of 5-year history
About KLA Corporation Common Stock
KLA is one of the largest semiconductor wafer fabrication equipment, or WFE, manufacturers in the world. Show more
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.
Headquarters: MILPITAS, CA · Employees: 17,200 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
10EP/E (TTM)46.4xD
Grade D: ExpensivePrice / TTM EPS (own statements) — vs own 5Y history: 11.4x–85.3x · 89th pct
P/FCF60.4xD
Grade D: ExpensivePrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield1.9%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 1.0%–8.4% · 10th pct
P/S (TTM)16.51xD
Grade D: ExpensivePrice / TTM Revenue (own statements) — vs own 5Y history: 3.8x–30.4x · 89th pct
EV/EBIT40.4xD
Grade D: ExpensiveEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 11.1x–74.2x · 89th pct
EV/Sales17.1xD
Grade D: Very expensiveEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E32.7xC
Grade C: ExpensivePrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio34.06xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio1.80B
Grade B: FairFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield0.46%A
Grade A: PaysTTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio21.9%A
Grade A: SafeDividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
100A+ROIC56.0%A
Grade A: MoatNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE73.6%A
Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks
ROA28.5%A
Grade A: StrongReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin35.7%A
Grade A: HighNet Income / Revenue
Operating Margin41.1%A
Grade A: HighTTM EBIT / TTM Revenue
Gross Margin61.4%A
Grade A: PremiumGross Profit / Revenue
FCF Margin30.7%A
Grade A: HighFCF / Revenue
True FCF Margin28.4%A
Grade A: HighTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
77B+Revenue CAGR10.2%C
Grade C: OkCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR9.8%C
Grade C: OkCompound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)13.7%C
Grade C: OkCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth41.9%A
Grade A: HighAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)-15.9%A
Grade A: BuybacksShare count change over 5Y
SBC / Net Income6.4%A
Grade A: LowStock-based comp/Net income. >30% = dilution risk
SBC / Revenue2.3%A
Grade A: LowTTM stock-based comp / TTM Revenue
Financial Health
88AAltman Z-Score13.94A
Grade A: SafeBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio2.88xA
Grade A: HighCurrent Assets/Liabilities
Quick Ratio2.03xA
Grade A: High(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage9.8xC
Grade C: OkEBIT/Interest. >10 Strong
Debt Repayment0.3yA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBIT0.2xA
Grade A: LowLeverage. <2x Low, >4x High
Debt/Equity0.97xA
Grade A: LowDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt0.80xC
Grade C: PartialCash covers how much of total debt. >1 = could repay all debt from cash
Quality
84APiotroski F-Score8/9A
Grade A: StrongFinancial strength 0–9. >7 Strong
Beneish M-Score-2.19C
Grade C: Gray zoneEarnings manipulation risk. < -2.22 Safe
FCF Conversion86.0%A
Grade A: StrongFCF / Net Income
Margin Stability3.9%A
Grade A: StableEBIT margin std deviation. Lower = stable
Capex / Revenue3.0%A
Grade A: Asset-lightTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover0.80xC
Grade C: AverageRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
WALLACE RICHARD P Filed | WALLACE RICHARD P | SellOpen market sale | -72019 | |
Lorig Brian Filed | Lorig Brian | SellOpen market sale | -59586 | |
Higgins Bren D. Filed | Higgins Bren D. | SellOpen market sale | -31500 | |
Khan Ahmad A. Filed | Khan Ahmad A. | SellOpen market sale | -33180 | |
WALLACE RICHARD P Filed | WALLACE RICHARD P | SellOpen market sale | -87568 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Wilkinson Mary Beth Filed | Wilkinson Mary Beth | SellOpen market sale | -1661 | |
Kirloskar Virendra A Filed | Kirloskar Virendra A | SellOpen market sale | -529 | |
Lorig Brian Filed | Lorig Brian | Tax withholding | -2876 |
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
100A+ROIC >12% Years8/8 yrsA
Grade A: DurableShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)60.4%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years10/10 yrsA
Grade A: DurableShare of completed fiscal years with positive free cash flow
Net Margin Floor19.9%A
Grade A: DurableWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$3.57
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$3.75
Cash & short-term investments per share (Finnhub)
Book Value / Share$4.86
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$6.15B
Total debt obligations (short + long term)
Cash & Equiv.$4.90B
Cash and short-term investments
Net Debt$1.25B
Total Debt minus Cash. Negative = Net Cash position
Total Equity$6.35B
Shareholders' equity (book value)
Asset / Liability1.55xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$216.29B
Current Market Capitalization
Beta1.45C
Grade C: VolatilePrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Jun 2026 · Ratio snapshot Oct 17, 2026
Key Insights: KLA Corporation Common Stock (KLAC)
KLAC is down 5.00% at the last close. KLA Corporation Common Stock meets 8 of 9 Piotroski F-Score criteria, placing its fundamental strength in the top tier of US-listed stocks. Altman Z-Score of 13.94 sits comfortably in the safe zone (≥ 2.99), indicating low bankruptcy risk. KLA Corporation Common Stock converts about 31% of revenue into free cash flow — strong cash generation.
- Takes ~0.3 years to repay net debt from free cash flow.
- At a valuation score of 10/100, KLAC trades at a premium to its historical multiples (P/E 46.4).
- Return on equity of 73.6% is well above the market average.
See how KLAC ranks on the Capex Tracker — top 50 capital spenders compared.
Recent Market Moves
See all KLAC moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 16 | After-hours | 165.74 | -5.00% | -2.12 |
Frequently Asked Questions about KLAC
What is the current KLA Corporation Common Stock (KLAC) stock price?
KLAC is trading at $165.74 at the last market close, down 5.00% on the session. PreMarketPrice tracks KLAC pre-market, intraday and after-hours prices.
Is KLAC stock a buy right now?
PreMarketPrice's quantitative model rates KLA Corporation Common Stock's financial health at 88/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is KLAC stock overvalued?
KLA Corporation Common Stock trades at a trailing P/E of 46.4 and our valuation score rates it 10/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does KLA Corporation Common Stock report earnings?
No confirmed earnings date is currently scheduled for KLAC. The Earnings section lists recent reports and updates as dates are announced.
What sector does KLA Corporation Common Stock operate in?
KLA Corporation Common Stock operates in the Technology sector, within the Optical Instruments & Lenses industry. The Related Stocks section lists sector peers for comparison.
What does KLA Corporation Common Stock do?
KLA is one of the largest semiconductor wafer fabrication equipment, or WFE, manufacturers in the world.
About KLA Corporation Common Stock (KLAC) Stock
KLA Corporation Common Stock (KLAC) is a US-listed stock operating in the Technology sector, specifically the Optical Instruments & Lenses industry. As of the latest update, KLA Corporation Common Stock is trading at $165.74, down 5.00% on the day with a market capitalization of $216.3 billion. The financial health score for KLAC is 88/100, which indicates excellent financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for KLAC stock.
KLAC Stock Analysis & Key Metrics
On PreMarketPrice, you can track KLA Corporation Common Stock (KLAC) across multiple dimensions:
- Pre-market price & movement: Real-time KLAC stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for KLAC with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for KLA Corporation Common Stock across multiple reporting periods.
- Financial health score: A composite score of 88/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for KLAC.
- Sector peers: Compare KLAC against 5 other technology stocks on key financial metrics.
Is KLAC a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate KLA Corporation Common Stock (KLAC) as an investment. The financial health score of 88/100 suggests excellent financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.KLA Corporation Common Stock (KLAC) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.