KLA (NASDAQ:KLAC) Issues Q1 2027 Earnings Guidance

KLA (NASDAQ:KLAC) updated its first quarter 2027 earnings guidance on Tuesday morning. The company provided earnings per share guidance of 1.060-1.260 for the period, compared to the consensus EPS estimate of 1.130. The company issued revenue guidance of $3.8 billion-$4.2 billion, compared to the consensus revenue estimate of $3.9 billion.

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on KLAC. JPMorgan Chase & Co. lifted their price objective on shares of KLA from $195.00 to $200.00 and gave the stock an “overweight” rating in a research note on Thursday, April 30th. BNP Paribas Exane upped their target price on shares of KLA from $155.00 to $170.00 and gave the company a “neutral” rating in a research note on Thursday, April 30th. Susquehanna reiterated a “neutral” rating and issued a $275.00 target price on shares of KLA in a report on Tuesday, June 30th. Berenberg Bank lifted their price target on shares of KLA from $177.00 to $200.00 and gave the stock a “buy” rating in a research report on Thursday, April 30th. Finally, UBS Group set a $240.00 price target on shares of KLA and gave the company a “neutral” rating in a report on Monday, July 20th. Twenty analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the company’s stock. According to data from MarketBeat, KLA presently has an average rating of “Moderate Buy” and a consensus target price of $218.41.

KLA Stock Down 6.2%

Shares of NASDAQ KLAC traded down $12.56 during mid-day trading on Tuesday, reaching $190.80. 16,943,898 shares of the company’s stock were exchanged, compared to its average volume of 11,562,541. KLA has a twelve month low of $83.22 and a twelve month high of $307.37. The company has a current ratio of 3.03, a quick ratio of 2.11 and a debt-to-equity ratio of 1.01. The firm has a market capitalization of $249.24 billion, a price-to-earnings ratio of 54.01, a PEG ratio of 2.00 and a beta of 1.41. The business has a fifty day simple moving average of $223.91 and a 200 day simple moving average of $180.56.

KLA (NASDAQ:KLAC) last issued its quarterly earnings data on Tuesday, July 28th. The semiconductor company reported $1.05 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.00 by $0.05. KLA had a return on equity of 91.89% and a net margin of 35.66%.The business had revenue of $3.66 billion during the quarter, compared to analyst estimates of $3.61 billion. KLA has set its Q1 2027 guidance at 1.060-1.260 EPS. As a group, equities analysts expect that KLA will post 3.71 EPS for the current fiscal year.

KLA Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 2nd. Stockholders of record on Monday, May 18th were issued a $0.23 dividend. This represents a $0.92 annualized dividend and a dividend yield of 0.5%. The ex-dividend date was Monday, May 18th. KLA’s dividend payout ratio is 26.06%.

Insider Transactions at KLA

In related news, EVP Mary Beth Wilkinson sold 14,392 shares of the business’s stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $285.30, for a total value of $4,106,037.60. Following the sale, the executive vice president directly owned 53,367 shares of the company’s stock, valued at approximately $15,225,605.10. The trade was a 21.24% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Richard P. Wallace sold 45,120 shares of the company’s stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $221.34, for a total transaction of $9,986,725.44. Following the completion of the transaction, the chief executive officer directly owned 713,830 shares of the company’s stock, valued at approximately $157,996,990.71. The trade was a 5.95% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 132,333 shares of company stock valued at $29,547,170 over the last quarter. Corporate insiders own 91.48% of the company’s stock.

More KLA News

Here are the key news stories impacting KLA this week:

• Positive Sentiment: KLA reported fiscal fourth-quarter revenue of $3.66 billion, above the midpoint of its forecast. GAAP diluted EPS of $1.04 and non-GAAP diluted EPS of $1.05 both reached the upper end of guidance. Full-year operating cash flow was $4.14 billion, free cash flow was $3.77 billion, and the company returned $3.35 billion to shareholders. KLA Corporation Reports Fiscal 2026 Fourth Quarter and Full Year Results
• Positive Sentiment: For fiscal first-quarter 2027, KLA forecast revenue of $3.8 billion to $4.2 billion, with a midpoint above the $3.9 billion analyst consensus. EPS guidance of $1.06 to $1.26 also has a midpoint slightly above consensus, suggesting continued demand for process-control equipment despite a wide range.
• Neutral Sentiment: Brokerages maintain an average “Moderate Buy” rating, while investor commentary highlights KLA’s strong results and exposure to semiconductor process-control demand. However, valuation remains a key consideration after the stock’s substantial advance over the past year. KLA Given Average Recommendation of Moderate Buy
• Negative Sentiment: Chip-equipment stocks broadly declined after reports that China is mass-producing domestic DUV lithography tools. The development raises concern about longer-term competition and reduced equipment demand in China, weighing on KLA alongside ASML, Applied Materials, and Lam Research. ASML Stock Plunges as China Announces Domestic DUV Lithography Production
• Negative Sentiment: Put-option purchases rose approximately 64% above average, signaling increased demand for downside protection or bearish speculation around the earnings release.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the company. Triumph Capital Management acquired a new stake in KLA in the 3rd quarter valued at approximately $40,000. WFA of San Diego LLC acquired a new position in KLA during the 2nd quarter worth approximately $90,000. Guardian Wealth Management Inc. acquired a new position in KLA during the 4th quarter worth approximately $209,000. Martingale Asset Management L P bought a new position in shares of KLA during the 4th quarter worth approximately $208,000. Finally, Abound Financial LLC acquired a new stake in shares of KLA in the fourth quarter valued at approximately $241,000. 86.65% of the stock is currently owned by institutional investors.

KLA Company Profile

KLA is a provider of process control and yield management solutions for the semiconductor and related microelectronics industries. The company designs and manufactures equipment, software and services used by chipmakers to analyze and control manufacturing processes, detect defects, measure critical dimensions and improve yield across wafer fabrication, photomask and packaging operations. KLA’s offerings are aimed at enabling production of advanced logic, memory, and specialty devices at progressively smaller technology nodes and more complex package structures.

Its product portfolio includes optical and e-beam inspection systems, metrology tools for critical dimension and film measurement, mask and reticle inspection platforms, as well as enterprise software and data analytics that aggregate process data and drive automated process control.