New Street Research Forecasts Strong Price Appreciation for KLA (NASDAQ:KLAC) Stock

KLA (NASDAQ:KLAC) had its target price lifted by stock analysts at New Street Research from $1,230.00 to $1,460.00 in a research report issued to clients and investors on Tuesday,MarketScreener reports. The firm presently has a “neutral” rating on the semiconductor company’s stock. New Street Research’s price objective suggests a potential downside of 3.94% from the stock’s previous close.

Several other equities analysts have also recently weighed in on KLAC. Wells Fargo & Company increased their price target on KLA from $1,600.00 to $1,900.00 and gave the company an “overweight” rating in a report on Friday, January 30th. Rothschild & Co Redburn increased their target price on KLA from $1,300.00 to $1,400.00 and gave the company a “neutral” rating in a report on Friday, February 6th. Zacks Research downgraded KLA from a “strong-buy” rating to a “hold” rating in a research note on Monday, March 16th. Needham & Company LLC reiterated a “buy” rating and issued a $1,800.00 price objective on shares of KLA in a research note on Monday, March 16th. Finally, Sanford C. Bernstein set a $1,835.00 price objective on shares of KLA and gave the stock an “outperform” rating in a report on Friday, March 13th. Twenty equities research analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $1,607.64.

KLA Stock Performance

Shares of KLAC stock opened at $1,519.84 on Tuesday. The company has a quick ratio of 2.00, a current ratio of 2.83 and a debt-to-equity ratio of 1.08. The company has a 50 day moving average price of $1,474.00 and a 200-day moving average price of $1,294.06. KLA has a 52 week low of $551.33 and a 52 week high of $1,693.35. The firm has a market capitalization of $199.22 billion, a PE ratio of 44.22, a P/E/G ratio of 2.78 and a beta of 1.44.

KLA (NASDAQ:KLAC) last issued its earnings results on Thursday, January 29th. The semiconductor company reported $8.85 earnings per share (EPS) for the quarter, topping the consensus estimate of $8.75 by $0.10. KLA had a net margin of 35.76% and a return on equity of 98.18%. The company had revenue of $3.30 billion for the quarter, compared to analysts’ expectations of $3.25 billion. During the same quarter last year, the company posted $8.20 earnings per share. The firm’s quarterly revenue was up 7.1% on a year-over-year basis. As a group, equities research analysts expect that KLA will post 31.59 earnings per share for the current year.

KLA declared that its board has approved a stock repurchase program on Thursday, March 12th that authorizes the company to repurchase $7.00 billion in outstanding shares. This repurchase authorization authorizes the semiconductor company to buy up to 3.7% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s leadership believes its shares are undervalued.

Institutional Investors Weigh In On KLA

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Close Asset Management Ltd purchased a new position in KLA during the 3rd quarter worth approximately $133,209,000. Winslow Capital Management LLC purchased a new stake in shares of KLA in the 2nd quarter valued at $95,217,000. PFA Pension Forsikringsaktieselskab acquired a new stake in shares of KLA in the fourth quarter worth $119,618,000. BNP PARIBAS ASSET MANAGEMENT Holding S.A. increased its stake in shares of KLA by 69.1% in the third quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 87,547 shares of the semiconductor company’s stock worth $94,422,000 after acquiring an additional 35,770 shares during the period. Finally, Pinebridge Investments LLC purchased a new position in shares of KLA during the fourth quarter worth $32,812,000. 86.65% of the stock is owned by hedge funds and other institutional investors.

KLA News Roundup

Here are the key news stories impacting KLA this week:

• Positive Sentiment: Cantor Fitzgerald raised its price target on KLAC to $2,000 and reiterated an Overweight (top-pick) stance — a bullish, high-conviction upgrade that supports further upside. Cantor Fitzgerald Raises Price Target on KLA to $2,000 Street Insider Coverage
• Positive Sentiment: KLA announced an additional $7 billion share-repurchase program and raised its quarterly dividend by 21% — a capital-return move that reduces float and boosts EPS accretion, a clear shareholder-friendly catalyst. KLA Announces Additional $7 Billion Share Buyback and Dividend Increase
• Positive Sentiment: Analyst and earnings commentary point to continued outperformance — KLA has a history of beating estimates and recent results showed revenue and EPS beats, supporting bullish expectations for upcoming quarters. Why KLA Could Beat Earnings Estimates Again
• Neutral Sentiment: New Street Research raised its price target from $1,230 to $1,460 but kept a Neutral rating — a moderate target lift that is less bullish than some peers and signals varied analyst views on valuation upside. New Street Adjusts Price Target on KLA to $1,460
• Neutral Sentiment: Broader market tailwinds — equities rallied on signs of easing geopolitical risk (U.S./Iran) which helped semiconductor names rebound, a macro factor that likely lifted KLAC alongside the sector. Stocks Surge on Signs the US and Iran Seek to End War
• Neutral Sentiment: Peer strength: Applied Materials’ strong YTD performance and AI-driven demand narrative are boosting sentiment across chip-equipment names, indirectly supporting KLAC. Applied Materials Stock Climbs 33% YTD
• Negative Sentiment: Insider selling and large institutional portfolio shifts are visible in recent data (executive stock sales and some big fund rebalances), which can add short-term supply pressure or signal profit-taking even amid positive headlines. $KLAC stock is up 5% today. Here’s what we see in our data.

KLA Company Profile

KLA is a provider of process control and yield management solutions for the semiconductor and related microelectronics industries. The company designs and manufactures equipment, software and services used by chipmakers to analyze and control manufacturing processes, detect defects, measure critical dimensions and improve yield across wafer fabrication, photomask and packaging operations. KLA’s offerings are aimed at enabling production of advanced logic, memory, and specialty devices at progressively smaller technology nodes and more complex package structures.

Its product portfolio includes optical and e-beam inspection systems, metrology tools for critical dimension and film measurement, mask and reticle inspection platforms, as well as enterprise software and data analytics that aggregate process data and drive automated process control.