KLA CorporationKLAC
NasdaqGS•Technology•Semiconductor Equipment & Materials
KLA Corporation, together with its subsidiaries, designs, manufactures, and markets process control, process-enabling, and yield management solutions for the semiconductor and related electronics industries worldwide. The company operates through three segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB and Component Inspection. It offers inspection and review tools to identify, locate, characterize, review, and analyze defects on various surfaces of patterned and unpatterned wafers; metrology systems to measure pattern dimensions, film thickness, film stress, layer-to-layer alignment, pattern placement, surface topography, and electro-optical properties for wafers; chemical process control equipment; wired and wireless sensor wafers and reticles; wafer defect inspection, review, and metrology systems; reticle inspection and metrology systems; wafer inspection and metrology systems; and semiconductor software solutions that provide run-time process control, defect excursion identification, process corrections, and defect classification to accelerate yield learning rates and reduce production risk. The company also provides etch, plasma dicing, deposition, and other wafer processing technologies and solutions for the semiconductor and microelectronics industry. In addition, it offers direct imaging, inspection, optical shaping, inkjet and additive printing, and computer-aided manufacturing and engineering solutions for the PCB market and inspection and metrology systems for quality control and yield improvement in advanced and traditional semiconductor packaging markets. The company was formerly known as KLA-Tencor Corporation and changed its name to KLA Corporation in July 2019. KLA Corporation was incorporated in 1975 and is headquartered in Milpitas, California.
KLA Corporation (KLAC) reported trailing twelve months revenue of $13.10B as of March 2026, a 13.4% increase year-over-year. Quarterly revenue reached $3.42B, reflecting continued top-line momentum.
KLA Corporation generated $4.67B in TTM net income, with quarterly EBITDA of $1.44B. The operating margin contracted from 40.1% to 39.2%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (39.2%) and net margin (35.2%) indicates tight cost control with minimal non-operating drag. Net margin has narrowed from 35.5% a year ago, reflecting increased costs or interest expense.
KLAC trades at a P/E of 38.8x (a premium multiple) and a P/S of 13.8x. The price-to-book ratio of 31.0x indicates a significant premium over book value.
The company generated $622.26M in free cash flow over the trailing twelve months, a 37.1% decrease year-over-year, indicating cash generation ability. The balance sheet shows $16.87B in total assets with $5.89B in long-term debt against $5.83B in stockholders equity for a debt-to-equity ratio of 1.0. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are expanding at ~37.5%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 85.3% suggests a durable competitive advantage and efficient capital allocation.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
TTM revenue has grown consistently (7 of 7 quarters up), with ~33.5% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~39.5% — no sign of cost or pricing stress.
FCF covers net income by 0.9x on average — earnings are well-supported by cash generation.
D/E ratio is 1.0 — conservative capital structure with low financial risk.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Shares decreased 2.7% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation