KLA KLAC is gearing up to announce its quarterly earnings on Wednesday, 2025-04-30. Here’s a quick overview of what investors should know before the release.
Analysts are estimating that KLA will report an earnings per share (EPS) of $8.07.
The market awaits KLA’s announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It’s important for new investors to understand that guidance can be a significant driver of stock prices.
Earnings History Snapshot
During the last quarter, the company reported an EPS beat by $0.44, leading to a 0.56% drop in the share price on the subsequent day.
Here’s a look at KLA’s past performance and the resulting price change:
| Quarter | Q2 2025 | Q1 2025 | Q4 2024 | Q3 2024 |
|---|---|---|---|---|
| EPS Estimate | 7.76 | 7.05 | 6.15 | 5.01 |
| EPS Actual | 8.20 | 7.33 | 6.60 | 5.26 |
| Price Change % | -1.0% | -4.0% | 1.0% | 5.0% |
Tracking KLA’s Stock Performance
Shares of KLA were trading at $693.72 as of April 28. Over the last 52-week period, shares are up 4.08%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.
Insights Shared by Analysts on KLA
For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on KLA.
The consensus rating for KLA is Buy, based on 14 analyst ratings. With an average one-year price target of $789.79, there’s a potential 13.85% upside.
Comparing Ratings with Competitors
The following analysis focuses on the analyst ratings and average 1-year price targets of Lam Research, Applied Mat and Teradyne, three prominent industry players, providing insights into their relative performance expectations and market positioning.
- Analysts currently favor an Outperform trajectory for Lam Research, with an average 1-year price target of $92.0, suggesting a potential 86.74% downside.
- Analysts currently favor an Buy trajectory for Applied Mat, with an average 1-year price target of $192.44, suggesting a potential 72.26% downside.
- Analysts currently favor an Outperform trajectory for Teradyne, with an average 1-year price target of $121.5, suggesting a potential 82.49% downside.
Insights: Peer Analysis
The peer analysis summary presents essential metrics for Lam Research, Applied Mat and Teradyne, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| KLA | Buy | 23.73% | $1.86B | 23.08% |
| Lam Research | Outperform | 24.43% | $2.31B | 14.53% |
| Applied Mat | Buy | 6.84% | $3.50B | 6.30% |
| Teradyne | Outperform | 12.27% | $447.29M | 5.11% |
Key Takeaway:
KLA ranks first in revenue growth among its peers. It also leads in gross profit margin. However, it ranks second in consensus rating and third in return on equity.
All You Need to Know About KLA
KLA is one of the largest semiconductor wafer fabrication equipment, or WFE, manufacturers in the world. It specializes in the market segment of semiconductor process control, wherein machines inspect semiconductor wafers during research and development and manufacturing for defects and verify precise measurements. In this section of the market, KLA holds a majority share. It also has a small exposure to the etch and deposition segments of the WFE market. It counts as top customers the largest chipmakers in the world, including TSMC and Samsung.
Financial Milestones: KLA’s Journey
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Revenue Growth: KLA’s revenue growth over a period of 3 months has been noteworthy. As of 31 December, 2024, the company achieved a revenue growth rate of approximately 23.73%. This indicates a substantial increase in the company’s top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: KLA’s net margin surpasses industry standards, highlighting the company’s exceptional financial performance. With an impressive 26.8% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): KLA’s financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 23.08%, the company showcases efficient use of equity capital and strong financial health.
Return on Assets (ROA): KLA’s ROA excels beyond industry benchmarks, reaching 5.37%. This signifies efficient management of assets and strong financial health.
Debt Management: KLA’s debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.69, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.
To track all earnings releases for KLA visit their earnings calendar on our site.
This article was generated by Benzinga’s automated content engine and reviewed by an editor.
