KLA Corporation is the critical process control layer for the semiconductor industry, specializing in yield management, wafer inspection, and metrology systems. Its equipment ensures the complex manufacturing steps required for advanced logic and memory nodes are defect-free, solidifying its essential role in the technology stack (S-P6).
KLAC is positioned as a primary operational beneficiary of the escalating AI CapEx cycle (C2). As hyperscalers demand increasing density and complexity in AI silicon, the corresponding tightening of manufacturing tolerances makes KLA's high-fidelity metrology solutions indispensable for achieving acceptable yields. The company operates with a high structural moat, validating the premium multiple through exceptional capital efficiency, notably an annualized ROA of 27.48% and robust TTM FCF Margin of 30.92%. While the equipment sector is inherently cyclical (C1), 1.1% sequential revenue growth indicates early stabilization in demand for critical process tools.
| Market Cap | 157.2B |
| PE Ratio (TTM) | 37.45 |
| Revenue (TTM) | 12.5B |
| Profit Margin | 0.3383 |
| 52 Week High | 1.3K |
| 52 Week Low | 551.33 |
| Price | 1.2K |
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Growth vs Discount Rate
| 12% | 9% | 7% | |
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| High | -- | -- | -- |
| Base | -- | -- | -- |
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β Undervalued β Overvalued
| Year | Revenue | Margin | FCF | PV of FCF |
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| Terminal Value (PV) | -- | |||
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| Equity Value (EV + Cash - Debt) | -- | |||