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KLACKLA CorporationSell5.4·$237.50-7.38%
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KLA Corporation (KLAC) Stock Analysis

Breakout setup

SellModerate Confidence

Technology · Semiconductor Equipment & Materials

Sell if holding. Analyst target reached at $237.50 — A.R:R is negative (-1.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: Taiwan Semiconductor Manufacturing Company Limited.

KLA Corporation supplies process control and process-enabling equipment for semiconductor, PCB, and advanced packaging manufacturing across three segments: Semiconductor Process Control, Specialty Semiconductor Process, and PCB and Component Inspection. International revenues... Read more

$237.50+10.3% A.UpsideScore 5.4/10#13 of 25 Semiconductor Equipment & Materials
QualityF-score7 / 9FCF yield0.86%
IncomeYield0.36%(5y avg 0.95%)Payout21.52%sustainable
Stop $220.72Target $261.83(resistance)A.R:R -1.8:1
Analyst target$192.62-18.9%29 analysts
$261.83our TP
$237.50price
$192.62mean
$150
$262

Sell if holding. Analyst target reached at $237.50 — A.R:R is negative (-1.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: Taiwan Semiconductor Manufacturing Company Limited. Chart setup: Golden cross, above all MAs, RSI 66, MACD bullish. Score 5.4/10, moderate confidence.

Passes 6/7 gates (positive momentum, clean insider activity, no SEC red flags, earnings proximity 44d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: aggressive.

10-K grounded · weekly refresh

About KLA Corporation

About KLA Corporation

KLA Corporation reported 89% of fiscal 2025 and fiscal 2024 revenues from international markets, with China representing 33% of total in fiscal 2025 — down from 43% in fiscal 2024. Taiwan Semiconductor Manufacturing Company Limited was named as a >10% customer for all three fiscal years from 2023 to 2025. Services accounted for approximately 22% of fiscal 2025 revenue, and backlog stood at $7.86 billion at June 30, 2025, versus $9.83 billion at June 30, 2024.

KLA earns revenue through direct sales of equipment and service contracts across three segments. The Semiconductor Process Control segment sells inspection, metrology, chemistry process control, and software products to IC, wafer, reticle, and packaging manufacturers to help improve production yields; Samsung Electronics was also a >10% customer in fiscal 2023 but not in fiscal 2025 or 2024. The Specialty Semiconductor Process segment sells vacuum deposition and etching tools to MEMS, RF chip, and automotive power semiconductor manufacturers. The PCB and Component Inspection segment serves electronic device manufacturers with inspection, direct imaging, and circuit-patterning systems. Revenue flows primarily through a direct sales force in Asia, the U.S., and Europe, with service contracts layered on top of capital equipment sales. R&D centers operate across the U.S., U.K., India, China, Singapore, and Israel.

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Export controls have become the most quantified risk in KLA's disclosures. Commerce issued the 2022 BIS Rules, 2023 BIS Rules, and incremental rules in December 2024 and January 2025 that restricted equipment for China-based advanced semiconductor fabs, including those producing advanced DRAM. The direct effect: China revenue fell from 43% of total in fiscal 2024 to 33% in fiscal 2025. If pending export license applications are denied or additional restrictions imposed, the 10-K states KLA may face customer deposit refunds, backlog cancellations, and inability to service installed equipment in China.

See also: Technology · Semiconductor Equipment & Materials

From KLA Corporation's most recent 10-K filing, extracted June 11, 2026.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-06-17
TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Thu, Jul 30, 202644d to earnings· next earnings call

Thesis

Rewards
Strong earnings beat streak (4/4)
High-quality business
Positive momentum
Risks
Concentration risk — Customer: Taiwan Semiconductor Manufacturing Company Limited
Analyst target reached - limited upside remaining
Leverage penalty (D/E 1.1): -0.5

Key Metrics

P/E (TTM)72.4
P/E (Fwd)50.8
Mkt Cap$335.0B
EV/EBITDA57.5
Profit Mgn35.7%
ROE95.0%
Rev Growth11.5%
Beta1.50
Dividend0.36%
Rating analysts36

Quality Signals

Piotroski F7/9MoatWideCompounder

Options Flow

P/C1.22bearish
IV80%elevated

Concentration Risks(10-K Item 1A)

  • HIGHCustomerTaiwan Semiconductor Manufacturing Company Limited
    10-K Item 1: 'Taiwan Semiconductor Manufacturing Company Limited' accounted for more than 10% of total revenues in fiscal years 2025, 2024 and 2023
  • MEDIUMGeographicChina33%
    10-K Item 1A: 'Our revenue from sales of products and provision of services to customers in China was 33%, 43% and 27% for fiscal years 2025, 2024 and 2023, respectively'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.

Conflicts and positions. The TrendMatrix editorial team frequently holds personal long-term positions in securities discussed. We disclose positions held at the time of publication on each piece. We maintain a trading-window policy: we do not initiate or close positions in the same direction as a TrendMatrix publication within 24 hours before or 72 hours after publication.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

1 floor-breaker·1 ceiling hit

Priced at a premium — multiples above sector norms. Needs delivery on growth + margins to justify.static

Ps
0.0
Pe
1.4
Forward Pe
2.3
Analyst Target
3.0
Peg Ratio
3.9
Forward P/E: 50.8xPEG: 2.69Expensive valuation
GatesA.R:R -1.8=NEGATIVEMomentum 7.7>=5.5Insider activity: OKNo SEC red flagsEARNINGS PROXIMITY 44d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARBreakoutSuitability: Aggressive
RSI
66 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $169.03Resistance $267.17

Price Targets

$221
$262
A.Upside+10.2%
A.R:R-1.8:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-27.0% upside)
! Negative risk/reward — downside exceeds upside

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-07-30 (44d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is KLAC stock a buy right now?

Sell if holding. Analyst target reached at $237.50 — A.R:R is negative (-1.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Customer: Taiwan Semiconductor Manufacturing Company Limited. Chart setup: Golden cross, above all MAs, RSI 66, MACD bullish. Prior stop was $220.72. Score 5.4/10, moderate confidence.

What is the KLAC stock price target?

Take-profit target: $261.83 (+10.3% upside). Prior stop was $220.72. Stop-loss: $220.72.

What are the risks of investing in KLAC?

Concentration risk — Customer: Taiwan Semiconductor Manufacturing Company Limited; Analyst target reached - limited upside remaining; Leverage penalty (D/E 1.1): -0.5.

Is KLAC overvalued or undervalued?

KLA Corporation trades at a P/E of 72.4 (forward 50.8). TrendMatrix value score: 2.1/10. Verdict: Sell.

What do analysts say about KLAC?

36 analysts cover KLAC with a consensus score of 4.0/5. Average price target: $193.

What does KLA Corporation do?KLA Corporation supplies process control and process-enabling equipment for semiconductor, PCB, and advanced packaging...

KLA Corporation supplies process control and process-enabling equipment for semiconductor, PCB, and advanced packaging manufacturing across three segments: Semiconductor Process Control, Specialty Semiconductor Process, and PCB and Component Inspection. International revenues accounted for approximately 89% of total revenues in fiscal 2025, with China representing 33% of revenues that year.

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