Why chip stocks are extending their gains ahead of Nvidia's CES speech
The semiconductor trade was mostly riding high on Monday as enthusiasm for the artificial-intelligence boom carried into the new year.
Fiscal Year: July - June
KLA Corporation (KLAC), listed on the NASDAQ, has a market capitalization of $. As of Jan 06, 2026, the stock is trading at $1,352.45 per share, offering investors a clear view of its current market value. KLA Corporation is a prominent player in the industry sector, attracting both institutional and retail investors due to its performance and potential.
With a P/E ratio of 42.49, investors can assess the stock's valuation in comparison to its earnings. A P/E ratio is a crucial indicator for value investors, showing whether the stock is over or undervalued relative to its current earnings. KLA Corporation also offers a dividend yield of 0.6%, making it an attractive option for income-focused investors who seek regular dividends.
Our Discounted Cash Flow (DCF) analysis reveals that KLA Corporation (KLAC) may be overvalued compared to its intrinsic worth. However, to see the exact DCF fair value, please Login or Upgrade for access.
The proprietary SS Score for KLA Corporation is a unique metric that analyzes the company's financial health and growth potential. The score takes into account critical factors such as revenue growth, net income, free cash flow (FCF) compound annual growth rate (CAGR), the trend of shares outstanding, and the debt-to-FCF ratio. This helps investors to make a more informed decision, as an undervalued stock might still have poor financial fundamentals.
To view the detailed SS Score for KLA Corporation, Login or Upgrade for access.
The Price to Free Cash Flow (P/FCF) ratio for KLA Corporation is 45.89, offering insights into how much investors are paying for the company's free cash flow. A lower P/FCF ratio typically suggests that the stock is undervalued, while a higher ratio may indicate overvaluation.
In summary, KLA Corporation (KLAC) has shown consistent financial performance, as illustrated by the financial charts above, which track its revenue growth, net income, free cash flow, and shares outstanding over the past several years. These metrics provide investors with key insights into the company's past and projected future performance. Investors should use the SS Score alongside the DCF Fair Value to make better-informed decisions about whether to buy or hold the stock.
*This analysis is for informational purposes only and does not constitute investment advice. Always read the company's 10-K filings and do your own research before making any investment decisions.
Whether KLA Corporation (KLAC) is a good stock to buy depends on various factors, including its financial health, market conditions, and your investment strategy. Our analysis indicates that the stock may be overvalued compared to its intrinsic value. However, it is important to assess the SS Score and review the company's fundamentals before making any investment decisions.
The fair value of KLA Corporation (KLAC) is determined through our Discounted Cash Flow (DCF) analysis. This value represents the intrinsic worth of the stock based on its expected future cash flows. To view the specific fair value, consider subscribing to our service for complete access.
The SS Score is a proprietary financial quality metric that assesses factors such as revenue growth, net income, free cash flow growth, and debt levels. It helps investors evaluate the overall financial health of KLA Corporation. To access the full SS Score, consider upgrading your subscription.
KLA Corporation is a significant player in the industry sector, with a market capitalization of $ and a competitive P/E ratio of 42.49. Investors should compare these metrics with industry peers to gauge whether KLA Corporation is outperforming or underperforming within its sector.
KLA (KLAC) stock has reached a 6-day winning streak, with total gains during this time equating to 9.2%. The company's market capitalization has increased by approximately $14 billion over the past 6 ...
Bank of America handed investors a bullish roadmap for semiconductor spending in 2026. Analyst Vivek Arya forecasts that global chip sales will surge roughly 30% to reach $1 trillion, a milestone the ...
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KLA Corporation (KLAC) Presents at UBS Global Technology and AI Conference 2025 Transcript
We believe KLA (KLAC) stock could be a promising investment opportunity. Why? Because it offers strong margins, a low-debt capital structure, and strong momentum – with potential for growth as, the st...
The Touchstone Dividend Equity Fund (Class A Shares, Load Waived) outperformed its benchmark, the Russell 1000 Value Index for the quarter ended September 30, 2025. Selection within Information Techno...
MILPITAS, Calif. , Nov. 6, 2025 /PRNewswire/ -- The KLA Corporation (NASDAQ: KLAC) Board of Directors today declared a quarterly cash dividend of $1.90 per share on its common stock, payable on Dec. 2...
I track a universe of 50 high-quality dividend growth stocks to identify attractive investment opportunities based on valuation and future return potential. Recent performance diverged from the S&P 50...
KLA stands at the core of the AI-driven semiconductor cycle, enabling precision manufacturing through advanced inspection and metrology systems. Consistent gross margins above 60% and operating margin...
KLA Corporation (KLAC) shares up 21,716% since 1994 after 115 Big Money outlier inflows.
KLA Corporation ( KLAC) Q1 2026 Earnings Call October 29, 2025 5:00 PM EDT Company Participants Kevin Kessel - Vice President of Investor Relations Richard Wallace - President, CEO & Executive Direct...
KLA Corp forecast second-quarter revenue above Wall Street estimates on Wednesday, banking on strong AI-linked demand for its chipmaking tools, while flagging significant risks to its China business a...
Total revenues were $3.21 billion, above the midpoint of the guidance range of $3.15 billion +/- $150 million; GAAP diluted EPS was $8.47 and non-GAAP diluted EPS was $8.81, both above the midpoints o...
KLA (KLAC)'s stock soared by nearly 80%, driven by substantial revenue growth and increasing margins, as investors place significant bets on its momentum in AI and semiconductor capabilities. The reas...
KLA Corporation (KLAC) remains a Hold as strong execution and process control are offset by a stretched valuation above 30x forward EPS. Q4 FY25 delivered a clean beat, with robust cash generation, ad...
A fresh wave of trade tension between the U.S. and China rocked Wall Street on midday Wednesday after President Donald Trump hinted at sweeping restrictions on technology exports powered by American s...
KLAC is Lam Research's counterpart in the Semiconductor Materials & Equipment sector that offers:
Barclays has named KLA Corporation (NASDAQ: KLAC) as its top pick among semiconductor equipment makers, arguing that the company is emerging as a clear leader in the wafer fabrication equipment (WFE) ...
China's latest move to tighten control over rare earth metals' exports has sent ripples through the semiconductor industry. With new licensing requirements for foreign entities using Chinese-sourced r...
U.S. lawmakers seek broader restrictions on chipmaking equipment sales to China, spotlighting AMAT, LRCX, and KLAC after a major increase in Chinese purchases. A bipartisan report reveals Chinese semi...
I track a universe of 50 high-quality dividend growth stocks to identify opportune investments based on valuation and future return potential. As of October 2, 2025, 22 stocks offer attractive future ...
Applied Materials stock has been on a strong run but new export restrictions threaten its Chinese business.
Below estimates were sourced from SimplyWallSt and are intended for educational purposes only as a baseline for the analysis.
| Year | FCF Estimate | % | # Analysts |
|---|---|---|---|
| 2026 | 4.69B | Analyst x10 | |
| 2027 | 4.96B | 5.77% | Analyst x8 |
| 2028 | 5.39B | 8.59% | Analyst x5 |
| 2029 | 5.90B | 9.47% | Analyst x3 |
| 2030 | 6.65B | 12.76% | Analyst x2 |
| 2031 | 7.04B | 5.85% | Est @5.9% |
| 2032 | 7.38B | 4.83% | Est @4.8% |
| 2033 | 7.68B | 4.11% | Est @4.1% |
| 2034 | 7.94B | 3.37% | Est @3.4% |
| 2035 | 8.19B | 3.05% | Est @3.0% |
Below are the FCF estimates with the discount factor and the calculated present value with the terminal value that led the results above.
| Year | FCF | Discount Factor | PV of Future FCF |
|---|---|---|---|
| 2024A | 3.03B | 1.00 | 3.03B |
| 2025A | 3.74B | 1.00 | 3.74B |
| 2026E | 4.69B | 1.10 | 4.27B |
| 2027E | 4.96B | 1.21 | 4.11B |
| 2028E | 5.39B | 1.33 | 4.06B |
| 2029E | 5.90B | 1.46 | 4.04B |
| 2030E | 6.65B | 1.60 | 4.15B |
| 2031E | 7.04B | 1.76 | 3.99B |
| 2032E | 7.38B | 1.94 | 3.81B |
| 2033E | 7.68B | 2.13 | 3.61B |
| 2034E | 7.94B | 2.34 | 3.39B |
| 2035E | 8.19B | 2.57 | 3.18B |
| Terminal | 113.13B | 2.57 | 43.95B |
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