KLA Corporation (KLAC) fair value: what the stock is really worth
As of Oct 5, 2026: fair value of KLA Corporation $136, price $207, upside -34.2%, quality 59 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
- Fair value above price? No
- Good quality? Yes
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KLA Corporation
KLAC · USOvervalued / MonitorQuality growthQuality is not strong enough to offset the price risk.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Oct 4, 2026.
How to read this chart
60‑month range $25.37 – $301.37 · fair‑value band $73.24 – $180.34 · the $206.85 price screens above the $136.10 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Oct 4, 2026.
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Company profile
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.
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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.
Stock analysis
KLA Corporation (KLAC) currently trades at $206.85, while our model-based Fair Value estimate is $136.10, 34.2% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the DCF Models group reads highest at a median of $90.84 per share, and 0 of the 26 models we run sit above the $206.85 price.
Bear case: the Dividend Discount group reads lowest at $13.94, and 26 of the 26 models stay below the price. Evidence for this calculation is high.
Scenario range: $73.24 (bear) to $180.34 (bull), the price of $206.85 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 59/100 (solid quality), in the Technology sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
KLA Corporation reported revenue of $13.6B in FY2026 versus $9.2B in FY2022, a compound +10.2%/yr. Reported net income was $4.8B in FY2026, compounding +9.8%/yr from FY2022.
Key figures
Market cap $273B · P/E ratio 56.5 · P/S ratio 20.1 · EPS (TTM) $3.66 · Dividend yield 0.4% · Net margin 35.6% · Return on equity 87.5% · Return on assets (EBIT) 29.0%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 62 out of 100 (medium confidence).
What moves the price
The share trades about 31% below its 52-week high and 112% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at −39% fair-value upside, at −34%, KLAC screens cheaper than that median.
Fair Value models
All 26 models by family
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Set up alert →Quality Score breakdown
Of which business quality 60 · Market factors (momentum, volatility) 57
Revenue & earnings trend
Growth Forecast
KLAC screens overvalued: fair value 34% below the price. Compare with ASML Holding →
Compare KLA Corporation with another stock
Price, fair value, quality and upside side by side.
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Semiconductor Equipment & Materials · 218 stocks
Valuation Multiplesvs Semiconductor Equipment & Materials median · lower = cheaper
Strength profile in five axes (Snowflake)
VALUE 0: the price sits above our fair-value range.
Context: sector, industry, market
- Is the Information Technology sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- Undervalued stocks: US Stocks
- Valuation of the USA market
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Semiconductor Equipment & Materials stocks, each showing price versus our Fair Value estimate.
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| ASML Holding ASML | €1,597 | €1,350 | −15% |
| Lam Research Corporation LRCX | $347.49 | $250.94 | −28% |
| Applied Materials, Inc AMAT | $511.38 | $368.52 | −28% |
| Teradyne, Inc TER | $415.79 | $65.79 | −84% |
| Advanced Micro-Fabrication Equipment Inc 688012 | ¥339.30 | ¥110.10 | −68% |
| Hon. Precision, Inc 7769 | 5,670 TWD | 4,864 TWD | −14% |
| Piotech Inc 688072 | ¥700.90 | ¥320.60 | −54% |
| Qnity Electronics, Inc Q | $124.69 | $70.44 | −44% |
| Entegris, Inc ENTG | $151.89 | $92.64 | −39% |
| Hwatsing Technology Co 688120 | ¥247.17 | ¥92.46 | −63% |
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