Ethic Inc. Boosts Stock Position in KLA Corporation $KLAC

Key Points

• Ethic Inc. increased its holdings in KLA Corporation by 8.2%, acquiring 1,187 additional shares during the first quarter, bringing its total ownership to 15,660 shares valued at approximately $10.7 million.
• KLA's CEO, Richard P. Wallace, sold 10,801 shares at an average price of $913.68, resulting in a 10.42% reduction in his ownership, while insiders have sold nearly 20,000 shares in the last three months.
• KLA Corporation recently reported a quarterly earnings per share of $9.38, exceeding analyst estimates and indicating a substantial 23.6% year-over-year revenue increase.

Ethic Inc. grew its stake in shares of KLA Corporation (NASDAQ:KLAC - Free Report) by 8.2% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 15,660 shares of the semiconductor company's stock after buying an additional 1,187 shares during the period. Ethic Inc.'s holdings in KLA were worth $10,688,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently modified their holdings of KLAC. Townsquare Capital LLC increased its position in shares of KLA by 22.6% during the fourth quarter. Townsquare Capital LLC now owns 3,317 shares of the semiconductor company's stock valued at $2,090,000 after buying an additional 612 shares during the period. Anchor Investment Management LLC grew its holdings in shares of KLA by 12.0% during the fourth quarter. Anchor Investment Management LLC now owns 140 shares of the semiconductor company's stock worth $88,000 after purchasing an additional 15 shares in the last quarter. Farringdon Capital Ltd. purchased a new position in shares of KLA during the fourth quarter worth about $202,000. First Commonwealth Financial Corp PA purchased a new position in shares of KLA during the fourth quarter worth about $235,000. Finally, GKV Capital Management Co. Inc. purchased a new position in shares of KLA during the fourth quarter worth about $945,000. 86.65% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Several research analysts have recently commented on the company. Deutsche Bank Aktiengesellschaft lowered KLA from a "buy" rating to a "hold" rating and set a $790.00 price objective for the company. in a report on Tuesday, May 20th. Wall Street Zen lowered KLA from a "buy" rating to a "hold" rating in a research note on Saturday, July 5th. Wells Fargo & Company reiterated an "equal weight" rating and issued a $920.00 price objective (up previously from $870.00) on shares of KLA in a research report on Tuesday, July 8th. Needham & Company LLC reiterated a "buy" rating and issued a $830.00 price objective on shares of KLA in a research report on Thursday, May 1st. Finally, JPMorgan Chase & Co. boosted their price objective on KLA from $900.00 to $1,070.00 and gave the company an "overweight" rating in a research report on Friday, August 1st. Eight research analysts have rated the stock with a Buy rating and ten have given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $890.59.

KLA Stock Down 0.7%

Shares of NASDAQ KLAC traded down $5.9560 during trading on Wednesday, reaching $870.1240. The company had a trading volume of 277,367 shares, compared to its average volume of 1,154,579. KLA Corporation has a 12-month low of $551.33 and a 12-month high of $959.26. The stock has a market cap of $114.82 billion, a PE ratio of 28.64, a P/E/G ratio of 3.01 and a beta of 1.44. The business's 50-day moving average is $903.99 and its 200 day moving average is $782.96. The company has a quick ratio of 1.83, a current ratio of 2.62 and a debt-to-equity ratio of 1.25.

KLA (NASDAQ:KLAC - Get Free Report) last released its quarterly earnings data on Thursday, July 31st. The semiconductor company reported $9.38 EPS for the quarter, beating the consensus estimate of $8.53 by $0.85. KLA had a return on equity of 112.41% and a net margin of 33.41%.The company had revenue of $3.17 billion for the quarter, compared to analysts' expectations of $3.08 billion. During the same period last year, the firm posted $6.60 earnings per share. KLA's revenue was up 23.6% compared to the same quarter last year. KLA has set its Q1 2026 guidance at 7.760-9.300 EPS. As a group, equities analysts forecast that KLA Corporation will post 31.59 earnings per share for the current fiscal year.

KLA Announces Dividend

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

KLA declared that its board has authorized a stock repurchase plan on Wednesday, April 30th that permits the company to buyback $5.00 billion in shares. This buyback authorization permits the semiconductor company to buy up to 5.4% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's board of directors believes its stock is undervalued.

Insider Buying and Selling

In related news, CFO Bren D. Higgins sold 1,019 shares of KLA stock in a transaction that occurred on Thursday, May 22nd. The stock was sold at an average price of $766.46, for a total transaction of $781,022.74. Following the sale, the chief financial officer owned 27,779 shares of the company's stock, valued at approximately $21,291,492.34. This trade represents a 3.54% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CAO Virendra A. Kirloskar sold 39 shares of KLA stock in a transaction that occurred on Wednesday, July 2nd. The shares were sold at an average price of $891.50, for a total value of $34,768.50. Following the sale, the chief accounting officer directly owned 2,616 shares in the company, valued at $2,332,164. This trade represents a 1.47% 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 ninety days. 0.12% of the stock is owned by corporate insiders.

KLA Profile

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.