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With a market cap of $240.4 billion, KLA Corporation (KLAC) develops advanced equipment and services that enable innovation across the global electronics industry. Its process control and process-enabling solutions support the manufacturing of wafers, reticles, integrated circuits, advanced packaging and printed circuit boards, helping leading customers improve semiconductor manufacturing.
Shares of the Milpitas, California-based company have surpassed the broader market over the past 52 weeks. KLAC stock has surged 110.9% over this time frame, while the broader S&P 500 Index ($SPX) has gained 20.5%. Moreover, shares of the company have increased 51.4% on a YTD basis, compared to SPX's 12.1% rise.
Looking closer, shares of the semiconductor equipment manufacturer have also outperformed the State Street Technology Select Sector SPDR ETF's (XLK) return of 41.6% over the past 52 weeks and a 27.3% YTD gain.
KLA Corporation reported strong Q4 2026 results on Jul. 28, with revenue rising 15.1% to $3.66 billion and adjusted EPS of $1.05, both beating the estimates. The company’s Q1 2027 revenue guidance of $4 billion ± $200 million and adjusted EPS guidance of $1.16 ± $0.10, both above the consensus. KLA also said business momentum would accelerate in the second half of 2026 and continue through 2027, supported by AI infrastructure demand and growth opportunities in advanced packaging.
For the fiscal year ending in June 2027, analysts expect KLA Corporation's adjusted EPS to grow 44.2% year-over-year to $5.42. The company's earnings surprise history is promising. It beat or met the consensus estimates in each of the last four quarters.
Among the 28 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 16 “Strong Buys,” three “Moderate Buys,” and nine “Holds.”
This configuration is slightly more bullish than three months ago, with 15 “Strong Buy” ratings on the stock.
On Jul. 29, Wells Fargo cut its price target for KLA Corporation to $245 while maintaining an “Overweight” rating.
The mean price target of $237.81 represents a 29.3% premium to KLAC’s current price levels. The Street-high price target of $325 suggests a 76.6% potential upside.
On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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