In the latest market close, KLA (KLAC) reached $774.41, with a -1.02% movement compared to the previous day. The stock fell short of the S&P 500, which registered a gain of 0.42% for the day. Meanwhile, the Dow experienced a rise of 0.04%, and the technology-dominated Nasdaq saw an increase of 0.38%. The the stock of maker of equipment for manufacturing semiconductors has fallen by 4.52% in the past month, lagging the Computer and Technology sector's gain of 1.78% and the S&P 500's gain of 2.06%. The invest ...

KLA Corp (NASDAQ: KLAC ) benefits from new technology that requires more powerful, power-efficient, and complex chips, driving increased demand for process control solutions. The company's two most important products are defect inspection and review systems, which identify flaws I have been a Merchant Seaman that has traveled the world for over 30 years. Within the last 15 years, I developed a very intense interest in investing. I learned a lot of what I know about investing from The MF. Also because I have ...

KLA Corporation (NASDAQ:KLAC) Goldman Sachs Communacopia + Technology Conference 2024 September 11, 2024 12:30 PM ET Company Participants Bren Higgins - EVP and CFO Ahmad Khan - EVP and President, Semiconductor Process Control Conference Call Participants Toshiya Hari - Goldman Sachs Toshiya Hari Great. We'd like to get started. Good morning, everyone. Thank you so much for coming. My name is Toshiya Hari, I cover the semiconductor space as well as the semi cap equipment space. Very honored to have the team ...

Here's why I'm not as bullish on this company as on other chip stocks, despite its higher raise. 'Tis the season. The weather gets cooler, kids go back to school, and many technology companies raise their dividends for the year ahead. While artificial intelligence (AI) technology stocks aren't necessarily known for high dividend payouts, they are known for growth. So if you can find a winning AI name that also pays a dividend, a small payout today could look much, much bigger in five, 10, or 20 or more year ...

In the latest market close, KLA (KLAC) reached $745.11, with a +0.5% movement compared to the previous day. This move outpaced the S&P 500's daily loss of 0.16%. Elsewhere, the Dow gained 0.09%, while the techheavy Nasdaq lost 0.3%. The maker of equipment for manufacturing semiconductors's stock has climbed by 3.52% in the past month, exceeding the Computer and Technology sector's gain of 1.63% and lagging the S&P 500's gain of 3.64%. Investors will be eagerly watching for the performance of KLA in its upco ...

KLA Corporation Conference Call Summary Company Overview - **Company**: KLA Corporation (NASDAQ: KLAC) - **Event**: Citi's 2024 Global TMT Conference - **Date**: September 4, 2024 Key Points Industry and Market Dynamics - **Transition Year**: 2024 is characterized as a transition year with wafer fabrication equipment (WFE) levels expected in the mid-$90 million range, slightly up from the previous year [6] - **End Market Performance**: The semiconductor industry is primarily driven by foundry logic, accounting for 70% to 75% of the market, with expectations of memory growth in the following year [7][14] - **China Market Stability**: China remains a stable market for KLA, with expectations of flat performance half-to-half, but growth is anticipated from non-China customers [7][36] Company Performance and Strategy - **Service Business Growth**: KLA's service business is projected to grow at the high end of the target range of 12% to 14%, marking 48 consecutive quarters of year-over-year growth [8] - **Profitability Metrics**: Gross margins are in the mid-60s, with operating margins expected to align with consensus views for the fourth quarter [10] - **Dividend Increase**: KLA announced a 17% increase in its quarterly dividend to $1.70 per share, marking the 15th consecutive annual dividend increase, reflecting confidence in business performance [10] Advanced Packaging and Technology - **Growth in Advanced Packaging**: KLA's expectations for advanced packaging revenue have increased from $300 million to $500 million, driven by the complexity of packaging technologies [17][24] - **Focus on Leading Edge Technology**: The company is seeing strength in leading-edge investments, particularly from major customers like Intel and TSMC, with expectations for increased investment in N2 technology [13][15] - **Hybrid Bonding Opportunities**: KLA is focusing on hybrid bonding and advanced inspection capabilities, which are critical for the next generation of semiconductor packaging [29][32] Competitive Positioning - **Diversification Advantage**: KLA's diverse exposure to various inflections in the semiconductor industry, such as lithography and transistor architecture changes, positions it uniquely compared to competitors [22] - **Market Leadership in Inspection**: KLA is leveraging its expertise in wafer inspection and metrology to capture market share in advanced packaging and process control [17][52] Future Outlook - **Memory Market Recovery**: Expectations for NAND recovery are low but anticipated to improve next year, with a more significant focus on DRAM investments [35] - **China's Investment Trends**: While China accounted for over 40% of revenue earlier in the year, this is expected to decrease as non-China customer investments grow [36][38] - **Sustainable Growth Drivers**: The company anticipates continued growth in its service business due to improved utilization rates and longer tool lifespans, with a focus on delivering value to customers [58][61] Additional Insights - **Long-term Growth Strategy**: KLA is committed to capital allocation that supports business execution and growth, regardless of potential tax rate changes [42] - **Market Trends in Metrology**: The company is observing a shift in demand for higher-end metrology systems as semiconductor designs become more complex [53][55] This summary encapsulates the key insights and strategic directions discussed during the conference call, highlighting KLA Corporation's positioning within the semiconductor industry and its growth prospects moving forward.

MILPITAS, Calif., Sept. 3, 2024 /PRNewswire/ -- KLA Corporation (NASDAQ: KLAC) is announcing a 17% increase in the quarterly dividend level to $1.70 per share from $1.45 per share beginning with the quarterly dividend expected to be declared in November 2024, the fifteenth consecutive annual increase in the quarterly dividend level for KLA. The declaration and payment of future dividends is subject to the Board's discretion and will depend on financial and legal requirements and other considerations. "This ...

Core Insights - KLA's Q4 fiscal 2024 non-GAAP earnings were $6.60 per share, exceeding estimates by 8.55% and reflecting a 25.5% year-over-year increase [2] - Revenues for the same quarter reached $2.57 billion, surpassing estimates by 2.57% and showing a 9.1% year-over-year growth [2] Revenue Breakdown - Semiconductor Process Control revenues, which constitute 89.8% of total revenues, increased by 10% year-over-year to $2.31 billion [3] - Specialty Semiconductor Process revenues accounted for 4.7% of total revenues, totaling $121.3 million, down 6% year-over-year [4] - PCB, Display, and Component Inspection revenues rose 8.6% year-over-year to $140 million, representing 5.5% of total revenues [4] Product and Service Performance - Product revenues, making up 76.1% of total revenues, increased by 7.6% year-over-year to $1.96 billion, while service revenues rose 14% year-over-year to $613.9 million [5] - Wafer Inspection revenues increased 23% year-over-year to $1.17 billion, while Patterning revenues declined 7% year-over-year to $542 million [6] Operating Metrics - The non-GAAP gross margin for Q4 was 62.5%, exceeding guidance by 10 basis points [7] - Non-GAAP operating margin improved to 41%, up 50 basis points sequentially [8] Financial Position - As of June 30, 2024, KLA had cash, cash equivalents, and marketable securities totaling $4.5 billion, an increase from $4.3 billion in the previous quarter [9] - Long-term debt decreased to $5.88 billion from $6.7 billion in the prior quarter [9] Shareholder Returns - KLA paid out $197.5 million in dividends and repurchased $470.3 million worth of shares during the fiscal fourth quarter [10] Future Guidance - For Q1 fiscal 2025, KLA expects revenues of $2.75 billion, with non-GAAP earnings projected at $7 per share [11] - The company anticipates a non-GAAP gross margin of 61.5% and operating expenses between $559 million and $571 million [11] Market Sentiment - There has been a 9.07% upward shift in consensus estimates over the past month, indicating positive market sentiment [12] - KLA holds a Zacks Rank 3 (Hold), suggesting an expectation of in-line returns in the coming months [14]

Core Viewpoint - KLA Corp. is the leading supplier of process control and yield management solutions in the semiconductor industry, experiencing significant growth driven by EUV technology adoption and infrastructure investments in China, although future growth may face challenges [2][3]. Company Overview - KLA's Semiconductor Process Control segment generates over 90% of total revenue, with a diverse portfolio of inspection, metrology, and software products [3]. - In 2023, KLA reported revenues of $10.5 billion, up from $9.2 billion in 2022, with a gross profit of $6.46 billion compared to $5.79 billion the previous year [3][4]. Financial Performance - The Semiconductor Process Control segment's revenue increased to $9.32 billion in 2023 from $7.92 billion in 2022, with a gross profit of $5.96 billion [3]. - The wafer inspection revenue was $4.34 billion, showing a 41% increase from $4.01 billion in 2022, while patterning revenue rose to $2.79 billion, a 36% increase [4]. Competitive Position - KLA has consistently outperformed competitors like Applied Materials and Lam Research, with a 13% compound annual growth rate in process control systems revenue over the past decade [5][6]. - KLA's market share in process control has grown by over 500 basis points since 2018, reaching more than 56% in 2023 [6]. Growth Drivers - Key growth drivers include the adoption of extreme ultraviolet lithography, increased design starts, and strong growth in China until 2023 [6][8]. - The capital expenditure intensity for process control in logic is noted to be in the mid-teens percentage range, indicating robust demand for KLA's products [6]. Margin Profile - KLA enjoys higher gross margins compared to competitors, attributed to its strong market position, although its operating and net margins are less impressive due to higher selling, general, and administrative expenses [7][8]. Long-term Risks - Potential risks include leading-edge customers performing inspection in-house, competition from smaller companies in niche markets, and technological advancements in inspection and metrology [10][11]. - Geopolitical factors, particularly U.S. export restrictions, pose challenges to KLA's business in China, potentially impacting revenue from that market [12]. Conclusion - KLA exhibits characteristics of a strong business with significant shareholder returns over the past five years, but its current valuation appears high relative to industry standards and historical performance [13].

MILPITAS, Calif., Aug. 14, 2024 /PRNewswire/ -- KLA Corporation (NASDAQ: KLAC), a leading equipment and services company for the semiconductor industry, today announced that its near-term targets to reduce greenhouse gas (GHG) emissions by 2030 have been approved by the Science Based Targets initiative (SBTi), capping a two-year effort by KLA's product teams who modeled and measured efficiency metrics to reach this point. In collaboration with customers and suppliers, in 2022 KLA first announced its commitm ...