KLA (KLAC) Outperforms Broader Market: What You Need to Know

Company Performance - KLA's stock closed at $830.03, reflecting a +0.27% change from the previous day, outperforming the S&P 500's gain of 0.23% [1] - Over the past month, KLA shares have increased by 8.96%, while the Computer and Technology sector has decreased by 2.01% [3] - The upcoming earnings disclosure is anticipated, with projected earnings per share (EPS) of $6.08, indicating a 12.59% increase year-over-year, and revenue forecasted at $2.5 billion, representing a 6.34% growth [4] Analyst Estimates - The consensus EPS projection for KLA has remained stagnant over the past 30 days, with a current Zacks Rank of 3 (Hold) [2] - Changes in analyst estimates are crucial as they reflect the evolving business landscape, with positive adjustments indicating a favorable outlook on the company's health and profitability [5] Valuation Metrics - KLA's Forward P/E ratio stands at 35.53, significantly higher than the industry average of 21.6, suggesting that KLA is trading at a premium [6] - The PEG ratio for KLA is 3.96, compared to the industry average of 2.73, indicating a higher valuation relative to expected earnings growth [6] Industry Context - KLA operates within the Electronics - Miscellaneous Products industry, which is part of the Computer and Technology sector, currently ranked 175 in the Zacks Industry Rank, placing it in the bottom 31% of all industries [7] - For the full year, analysts expect KLA to report earnings of $23.30 per share and revenue of $9.75 billion, reflecting declines of -8.16% and -7.13% from the previous year [8]