KLA Corporation (NASDAQ:KLAC) is one of the best forever stocks to buy according to hedge funds. On December 15, analysts at Jefferies upgraded KLA Corporation (NASDAQ:KLAC) to a Buy, buoyed by accelerating artificial intelligence driven spending. Additionally, the research firm echoed a strong outlook for demand for leading-edge and advanced packaging. Is KLA Corporation (KLAC) One of the Best Forever Stocks to Buy According to Hedge Funds? Photo by Umberto on Unsplash Jefferies expects the company to ...

Core Viewpoint - KLA Corporation is highlighted as a key player in the AI sector, with Jefferies upgrading its rating to "Buy" and increasing the price target to $1,500, indicating a strong outlook driven by AI accelerator demand and advanced packaging needs [1][4]. Group 1: Company Performance and Outlook - Jefferies believes KLA's growth is just beginning, driven by expanding use cases for AI accelerators and a robust demand for leading-edge and advanced packaging [1]. - The firm sees potential upside for KLA due to increasing chip complexity and rising process control intensity, which aligns with KLA's strengths [2]. - KLA's business model benefits from the rising complexity in packaging, which requires enhanced process control [3]. Group 2: Market Dynamics and Risks - While there are concerns regarding exposure to China, KLA's revenues from China are considered relatively derisked at 25% for C26, with historical data suggesting potential upside [4]. - The semiconductor industry continues to guide conservatively on China, yet demand remains strong, indicating resilience in the market [4].

Group 1 - The US stock market saw a collective rise on December 18, with major technology stocks performing well, particularly the Trump Media Technology Group, which surged by 41.93% after announcing a merger agreement with TAE Technology [1][2] - Tesla's stock increased by over 3%, adding approximately $53.6 billion (around 377.4 billion RMB) to its market capitalization [2] - The merger between Trump Media Technology Group and TAE Technology will be executed through an all-stock transaction, with both companies' shareholders expected to own about 50% of the combined entity post-merger [2] Group 2 - The latest data from the US Bureau of Labor Statistics indicated that the Consumer Price Index (CPI) for November rose by 2.7% year-on-year, which was lower than the market expectation of 3.1% [4] - The core CPI, excluding volatile food and energy prices, increased by 2.6%, marking the lowest level since early 2021 and also below the anticipated 3% [4] - Following the CPI report, there was a slight increase in the likelihood of the Federal Reserve lowering interest rates in January, with traders estimating a 28.8% chance of a 25 basis point cut, up from 26.6% prior to the inflation data release [4] Group 3 - Goldman Sachs' global co-head of fixed income and liquidity solutions, Kay Haigh, stated that the low inflation data would not impact the Federal Reserve's decision-making, as they are more focused on the December CPI data set to be released in mid-January [5]

KLA Corporation (KLAC) is in the limelight yet again after Jefferies identified the chip equipment supplier as one of the top picks in the chip space for the year 2026, alongside industry stalwarts Nvidia (NVDA) and Broadcom (AVGO). This recommendation comes at a juncture where investor interest is rotating away from those with cyclical demand in the chip industry towards those with sustainable demand in AI infrastructure development. KLAC stock's movement has been positive, breaking past the $1,220 leve ...

Group 1 - KLA has seen a bullish sentiment from large investors, with 37% of trades being bullish and 25% bearish, indicating a positive outlook on the stock [1] - The major market movers are focusing on a price range between $720.0 and $1340.0 for KLA over the last three months, suggesting significant trading activity within this band [2] - An analysis of the volume and open interest for KLA's options indicates strong liquidity and interest, particularly within the identified price range [3] Group 2 - The largest options trades for KLA include a bullish call trade with a total trade price of $94.5K at a strike price of $1220.00, reflecting investor confidence [7] - KLA is a leading manufacturer in the semiconductor wafer fabrication equipment market, specializing in semiconductor process control, and holds a majority market share [8] - Market experts have issued a consensus target price of $1214.0 for KLA, indicating a stable outlook from analysts [10][11]

Group 1: Company Overview - KLA Corporation (NASDAQ:KLAC) is recognized as one of the best nanotechnology stocks to buy currently [1] - KLA Corporation is a leading producer of semiconductor wafer fabrication equipment globally [6] Group 2: Financial Performance - KLA Corporation reported a record cash flow of $1.066 billion in the last quarter [5] - The company disclosed a total capital return of $799 million, which included $254 million in dividends and $545 million in share repurchases over the previous 12 months [5] Group 3: Market Position and Forecast - Morgan Stanley has maintained an Equal Weight rating on KLA Corporation and increased its price objective from $1,154 to $1,214 [2] - The semiconductor equipment industry's process diagnostic and control market is dominated by KLA Corporation, which has a wide economic moat and is well-positioned for future growth according to Morningstar analysts [4] - Morgan Stanley's 2026 wafer fab equipment (WFE) forecast remains at $129 billion, reflecting an 11% year-over-year increase, with a raised 2027 estimate of $145 billion, a 13% increase from the previous year, driven by demand from TSMC and DRAM [3]

摩根大通维持对科磊(KLAC.US)的"增持"评级，给出的目标价为1485美元。在与科磊的高管团队会面 后，小摩发现自公司发布财报以来，订单簿持续改善，预计2026年上半年营收将实现低至中单位数的增 长，此前预期是持平至小幅增长。这主要是由于公司近期订单加速增长，尤其是在DRAM/HBM领域， 且工具的交货期也在延长。 ...

Core Viewpoint - Morgan Stanley maintains an "Overweight" rating on KLA Corporation (KLAC.US) with a target price of $1485, citing improved order books and expected revenue growth in the first half of 2026 [1] Group 1: Orders and Revenue Growth - The order book for KLA has been continuously improving since the earnings report, with a notable acceleration in orders, particularly in the DRAM and HBM sectors [1] - Revenue is projected to achieve low to mid-single-digit growth in the first half of 2026, an upgrade from previous expectations of flat to slight growth [1] Group 2: Delivery Times - The delivery times for tools have been extended, indicating increased demand and potential supply chain challenges [1]

摩根大通维持对科磊(KLAC.US)的"增持"评级，给出的目标价为1485美元。在与科磊的高管团队会面 后，小摩发现自公司发布财报以来，订单簿持续改善，预计2026年上半年营收将实现低至中单位数的增 长，此前预期是持平至小幅增长。这主要是由于公司近期订单加速增长，尤其是在DRAM/HBM领域， 且工具的交货期也在延长。不过，团队仍预计2026年下半年的增速会高于上半年，且预计2026年全年整 体晶圆厂设备(WFE)将增长，小摩认为增幅在10%-12%左右。 在估值方面，小摩的目标价1485美元是基于科磊在2026年末实现每股收益45美元，且交易价格处于同行 区间(25-35倍)高端的假设。不过，科磊也面临着一些风险，其身处高度周期性和竞争激烈的半导体行 业，可能会出现严重的供需波动，且行业周期的时点、长度和严重程度难以预测，下行周期可能导致客 户的需求减弱。 除 DRAM/HBM领域表现出色外，科磊在先进制程晶圆代工/逻辑芯片领域也保持着强劲的支出态势， 主要来自台积电(2nm/3nm)以及客户群体的扩大(包括英特尔(INTC.US)、三星晶圆代工、Rapidus等)。科 磊公司对2026年其先进封装与HBM ...

Investment Rating - The report does not explicitly state an overall investment rating for the semiconductor industry or specific companies within it Core Insights - The semiconductor industry is experiencing a significant AI super cycle, with companies like AMD expecting substantial growth in AI workloads and custom ASICs capturing 20-25% of the total addressable market [2][15] - KLAC anticipates growth in its TSMC business and higher investment from INTC, indicating a positive outlook for memory and advanced packaging sectors [3][16] - CoreWeave reports an "insatiable" demand for compute resources, highlighting the shift in AI workloads from training to more compute-intensive inferencing [17] - ARM is making strides in data center CPU development, with expectations of increased revenue opportunities through its CSS model [5][18] - MCHP has raised guidance due to strong order flow and backlog, indicating robust demand across multiple sectors [6][19] - INTC is cautious about supply constraints peaking in 1Q26, while also seeing increased demand driven by AI applications [9][20] Summary by Company AMD - AMD is in a ten-year AI super cycle, expecting significant capital deployment from large companies [2] - The company anticipates multiple GW-scale customers beyond OpenAI, indicating strong market confidence [15] KLAC - KLAC expects low to mid-single-digit growth in C1H:26 due to memory pull-ins and reassured investors about N2 monetization continuing into C2026 [3][16] CoreWeave - CoreWeave's backlog is approximately 55 billion, indicating a strong demand for AI compute resources [17] ARM - ARM is progressing on a data center CPU chip for a major customer and sees significant revenue potential through its CSS model [5][18] MCHP - MCHP reported phenomenal orders in November and expects CQ1 to be significantly above normal seasonal levels [6][19] INTC - INTC reiterated that supply constraints are expected to peak in 1Q26, with a focus on AI-driven demand for CPUs [9][20] PI - PI sees growth from deeper apparel adoption and logistics deployments, with a focus on improving gross margins [10][21] AMBQ - AMBQ's customer base is stable, with expectations for diversified growth in 2027 [11][22] ENTG - ENTG is focused on improving gross margins and may consider consolidating capacity to enhance sentiment [12] SMTC - SMTC is optimistic about its CopperEdge ramp and the adoption of LPO technology among hyperscalers [13][23] Anthropic - Anthropic is constrained by compute capacity, indicating strong demand for AI resources [14] Impinj - Impinj is focused on expanding its RAIN market presence, with significant growth opportunities in logistics and food sectors [21] Semtech - Semtech is preparing for a ramp in its ACC technology to support major hyperscaler deployments [23]