Do Wall Street Analysts Like Keysight Technologies Stock?

Santa Rosa, California-based Keysight Technologies, Inc. (KEYS) provides electronic design and test solutions to commercial communications, networking, aerospace, defense and government, automotive, energy, semiconductor, electronic, and education industries. Valued at $54.7 billion by market cap, the company offers electronic measurement services using wireless, modular, and software solutions.

Shares of this communications testing giant have notably outperformed the broader market over the past year. KEYS has gained 94.7% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 18.7%. In 2026, KEYS stock is up 57.5%, surpassing the SPX’s 12.2% gains on a YTD basis. 

Zooming in further, KEYS’ outperformance is also apparent compared to the State Street Technology Select Sector SPDR ETF (XLK). The exchange-traded fund has gained about 37.1% over the past year. Moreover, the stock’s gains on a YTD basis outshine the ETF’s 25.2% returns over the same time frame.

KEYS outperformed on broad-based demand for AI infrastructure, next-gen semis, and defense modernization, with wireline outpacing wireless for the first time on AI data center scaling. In addition, growth was driven by silicon and interconnect validation, early 6G and AI-RAN wins, double-digit growth in aero and defense, and record results in Electronic Industrial Solutions on semi capacity expansion, while software and services grew double-digits. Moreover, management raised guidance on sustained AI/6G cycles and innovation momentum.

On Aug. 18, KEYS shares fell 5.6% after reporting its Q3 results. Its adjusted EPS of $3.07 beat Wall Street expectations of $2.46. The company’s revenue stood at $1.9 billion. For Q4, KEYS expects its adjusted EPS to range from $3.34 to $3.40, and revenue in the range of $1.9 billion to $2 billion.

For the current fiscal year, ending in October, analysts expect KEYS’ EPS to grow 47.1% to $9.03 on a diluted basis. The company’s earnings surprise history is mixed. It beat the consensus estimate in three of the last four quarters while missing the forecast on another occasion.

Among the 12 analysts covering KEYS stock, the consensus is a “Strong Buy.” That’s based on 10 “Strong Buy” ratings, one “Moderate Buy,” and one “Hold.”

This configuration is less bullish than two months ago, with 11 analysts suggesting a “Strong Buy.” 

On Jul. 30, Morgan Stanley (MS) kept an “Overweight” rating on KEYS and raised the price target to $425, implying a potential upside of 32.8% from current levels.

The mean price target of $418.42 represents a 30.7% premium to KEYS’ current price levels. The Street-high price target of $452 suggests a notable upside potential of 41.2%.