With a market cap of $282.8 billion, KLA Corporation (KLAC) is a global leader in advanced process control and process-enabling solutions for the electronics and semiconductor manufacturing industry. Working closely with customers worldwide, KLA's teams of scientists, engineers, and data experts develop innovative equipment and services that drive advancements in wafer, reticle, integrated circuit, packaging, and printed circuit board manufacturing.
The Milpitas, California-based company is slated to announce its fiscal Q4 2026 results soon. Ahead of this event, analysts expect KLAC to report an adjusted EPS of $1, a 6.4% rise from $0.94 in the year-ago quarter. It has exceeded or met Wall Street's earnings expectations in the past four quarters.
For fiscal 2026, analysts project the semiconductor equipment manufacturer to post adjusted EPS of $3.71, up 11.4% from $3.33 in fiscal 2025. Moreover, adjusted EPS is anticipated to grow 34.2% year-over-year to $4.98 in fiscal 2027.
Shares of KLA Corporation have surged 137.2% over the past 52 weeks, surpassing the broader S&P 500 Index's ($SPX) 20.5% return and the State Street Technology Select Sector SPDR ETF's (XLK) 40.6% increase over the same period.
KLA reported strong Q3 2026 results on Apr. 29, with revenue increasing 11.8% year-over-year to $3.42 billion and adjusted EPS of $9.40, both surpassing the consensus estimates. The company provided a strong Q4 outlook, forecasting revenue of $3.58 billion and adjusted EPS of $9.87, both slightly above analysts' expectations. KLA also announced its 17th consecutive annual dividend increase to $2.30 per share and authorized an additional $7 billion share repurchase program. However, the stock fell 3.6% the next day.
Analysts' consensus view on KLAC stock remains cautiously optimistic, with an overall "Moderate Buy" rating. Out of 28 analysts covering the stock, 15 recommend a "Strong Buy," three "Moderate Buys," and 10 "Holds." The average analyst price target is $224.28, indicating a potential upside of 3.6% from the current levels.
