Rothschild & Co Redburn Forecasts Strong Price Appreciation for KLA (NASDAQ:KLAC) Stock

KLA (NASDAQ:KLAC) had its price objective raised by stock analysts at Rothschild & Co Redburn from $1,400.00 to $1,865.00 in a report released on Tuesday,MarketScreener reports. The firm currently has a “neutral” rating on the semiconductor company’s stock. Rothschild & Co Redburn’s target price would indicate a potential upside of 1.07% from the stock’s previous close.

A number of other research firms have also weighed in on KLAC. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $1,750.00 price target on shares of KLA in a report on Thursday, April 30th. Susquehanna upped their price objective on shares of KLA from $1,600.00 to $1,700.00 and gave the company a “neutral” rating in a research report on Thursday, April 30th. Citic Securities lifted their target price on KLA from $1,350.00 to $1,970.00 in a research report on Wednesday, May 6th. Morgan Stanley reiterated an “overweight” rating and issued a $1,900.00 price target on shares of KLA in a research note on Thursday, April 30th. Finally, UBS Group raised their price objective on KLA from $1,575.00 to $1,835.00 and gave the company a “neutral” rating in a research note on Tuesday, April 21st. Twenty analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $1,838.48.

KLA Stock Performance

Shares of NASDAQ:KLAC opened at $1,845.19 on Tuesday. The business’s 50-day simple moving average is $1,615.67 and its 200 day simple moving average is $1,420.64. The company has a market cap of $241.04 billion, a P/E ratio of 52.23, a PEG ratio of 2.77 and a beta of 1.50. The company has a debt-to-equity ratio of 1.01, a quick ratio of 2.11 and a current ratio of 3.03. KLA has a one year low of $740.44 and a one year high of $1,939.36.

KLA shares are going to split before the market opens on Friday, June 12th. The 10-1 split was announced on Thursday, May 7th. The newly created shares will be payable to shareholders after the closing bell on Thursday, June 11th.

KLA (NASDAQ:KLAC) last issued its quarterly earnings data on Wednesday, April 29th. The semiconductor company reported $9.40 earnings per share (EPS) for the quarter, beating the consensus estimate of $9.17 by $0.23. The company had revenue of $3.42 billion during the quarter, compared to the consensus estimate of $3.37 billion. KLA had a net margin of 35.66% and a return on equity of 91.89%. KLA’s revenue for the quarter was up 11.5% on a year-over-year basis. During the same quarter last year, the company earned $8.41 earnings per share. KLA has set its Q4 2026 guidance at 8.870-10.870 EPS. On average, sell-side analysts forecast that KLA will post 37.06 earnings per share for the current fiscal year.

KLA announced that its Board of Directors has approved a stock repurchase plan on Thursday, March 12th that permits the company to repurchase $7.00 billion in outstanding shares. This repurchase authorization permits the semiconductor company to reacquire up to 3.7% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s management believes its shares are undervalued.

Hedge Funds Weigh In On KLA

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Basepoint Wealth LLC acquired a new position in shares of KLA in the 4th quarter valued at $32,000. Arlington Trust Co LLC raised its holdings in KLA by 125.0% during the 3rd quarter. Arlington Trust Co LLC now owns 36 shares of the semiconductor company’s stock worth $39,000 after buying an additional 20 shares during the period. Triumph Capital Management purchased a new stake in KLA during the third quarter valued at about $40,000. Hilton Head Capital Partners LLC purchased a new stake in KLA during the fourth quarter valued at about $41,000. Finally, Cornerstone Planning Group LLC boosted its holdings in shares of KLA by 28.6% in the third quarter. Cornerstone Planning Group LLC now owns 45 shares of the semiconductor company’s stock worth $49,000 after buying an additional 10 shares during the period. 86.65% of the stock is owned by institutional investors.

About KLA

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.