Callan Family Office LLC Trims Stock Position in KLA Corporation (NASDAQ:KLAC)

Key Points

• Callan Family Office LLC reduced its stake in KLA Corporation (NASDAQ:KLAC) by 32.2%, selling 318 shares, and now holds 671 shares valued at approximately $456,000.
• KLA reported earnings of $9.38 per share, exceeding analyst estimates, with a revenue of $3.17 billion, marking a 23.6% year-over-year increase.
• The company's board has authorized a stock buyback plan of up to $5.00 billion, suggesting a belief that the stock is currently undervalued.

Callan Family Office LLC lowered its holdings in KLA Corporation (NASDAQ:KLAC - Free Report) by 32.2% in the 1st quarter, according to the company in its most recent filing with the SEC. The firm owned 671 shares of the semiconductor company's stock after selling 318 shares during the quarter. Callan Family Office LLC's holdings in KLA were worth $456,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also bought and sold shares of the company. Alpine Bank Wealth Management purchased a new stake in KLA in the 1st quarter worth approximately $35,000. Olde Wealth Management LLC purchased a new stake in KLA in the 1st quarter worth approximately $36,000. MJT & Associates Financial Advisory Group Inc. bought a new position in shares of KLA in the 1st quarter worth approximately $37,000. Hazlett Burt & Watson Inc. bought a new stake in shares of KLA during the first quarter valued at approximately $45,000. Finally, E Fund Management Hong Kong Co. Ltd. boosted its position in shares of KLA by 527.3% during the first quarter. E Fund Management Hong Kong Co. Ltd. now owns 69 shares of the semiconductor company's stock valued at $47,000 after purchasing an additional 58 shares in the last quarter. Hedge funds and other institutional investors own 86.65% of the company's stock.

KLA Trading Down 8.4%

Shares of KLAC traded down $80.47 during mid-day trading on Friday, reaching $874.94. 2,063,166 shares of the company's stock traded hands, compared to its average volume of 1,029,476. The stock has a market cap of $115.46 billion, a P/E ratio of 28.79, a P/E/G ratio of 2.98 and a beta of 1.44. The stock's 50-day moving average is $902.52 and its two-hundred day moving average is $781.03. KLA Corporation has a 12 month low of $551.33 and a 12 month high of $959.26. The company has a debt-to-equity ratio of 1.25, a current ratio of 2.62 and a quick ratio of 1.83.

KLA (NASDAQ:KLAC - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The semiconductor company reported $9.38 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $8.53 by $0.85. The firm had revenue of $3.17 billion during the quarter, compared to analyst estimates of $3.08 billion. KLA had a return on equity of 112.41% and a net margin of 33.41%. KLA's quarterly revenue was up 23.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $6.60 earnings per share. Research analysts forecast that KLA Corporation will post 31.59 earnings per share for the current fiscal year.

KLA Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 3rd. Stockholders of record on Monday, August 18th will be given a $1.90 dividend. The ex-dividend date of this dividend is Monday, August 18th. This represents a $7.60 dividend on an annualized basis and a dividend yield of 0.9%. KLA's dividend payout ratio (DPR) is presently 25.01%.

KLA declared that its Board of Directors has authorized a share repurchase plan on Wednesday, April 30th that permits the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization permits the semiconductor company to repurchase up to 5.4% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company's board believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on KLAC shares. Oppenheimer raised their price objective on KLA from $740.00 to $950.00 and gave the company an "outperform" rating in a research report on Tuesday, June 17th. Needham & Company LLC reiterated a "buy" rating and set a $830.00 target price on shares of KLA in a research note on Thursday, May 1st. TD Securities increased their target price on KLA from $770.00 to $800.00 and gave the company a "hold" rating in a research note on Thursday, May 1st. The Goldman Sachs Group began coverage on KLA in a report on Thursday, July 10th. They set a "neutral" rating and a $980.00 price target on the stock. Finally, Cantor Fitzgerald reaffirmed an "overweight" rating on shares of KLA in a report on Tuesday, June 24th. Eleven analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. Based on data from MarketBeat, KLA presently has an average rating of "Hold" and an average price target of $890.59.

Insiders Place Their Bets

In other news, EVP Brian Lorig sold 8,049 shares of the firm's stock in a transaction on Tuesday, August 12th. The stock was sold at an average price of $913.68, for a total value of $7,354,210.32. Following the completion of the sale, the executive vice president owned 11,479 shares of the company's stock, valued at $10,488,132.72. This trade represents a 41.22% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Richard P. Wallace sold 10,801 shares of the firm's stock in a transaction on Tuesday, August 12th. The stock was sold at an average price of $913.68, for a total value of $9,868,657.68. Following the completion of the sale, the chief executive officer directly owned 92,818 shares of the company's stock, valued at $84,805,950.24. The trade was a 10.42% decrease in their position. The disclosure for this sale can be found here. Insiders sold 19,908 shares of company stock worth $18,038,659 over the last quarter. Company insiders own 0.12% of the company's stock.

About KLA

KLA Corporation, together with its subsidiaries, engages in the design, manufacture, and marketing of process control, process-enabling, and yield management solutions for the semiconductor and related electronics industries worldwide. It operates through three segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB and Component Inspection.