KLA Corporation $KLAC Shares Sold by Capital Fund Management S.A.

Key Points

• Capital Fund Management S.A. significantly reduced its position in KLA Corporation shares by 65%, now holding 21,064 shares valued at approximately $14.3 million.
• KLA reported strong earnings, with $9.38 earnings per share for the latest quarter, exceeding analysts' estimates of $8.53, and demonstrating a 23.6% revenue increase year-over-year.
• The company also announced a $5 billion share buyback plan, indicating management's belief that the stock is undervalued, alongside a planned quarterly dividend of $1.90 per share.

Capital Fund Management S.A. reduced its position in shares of KLA Corporation (NASDAQ:KLAC - Free Report) by 65.0% during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 21,064 shares of the semiconductor company's stock after selling 39,129 shares during the period. Capital Fund Management S.A.'s holdings in KLA were worth $14,319,000 as of its most recent SEC filing.

Other institutional investors have also made changes to their positions in the company. Alpine Bank Wealth Management acquired a new position in shares of KLA during the first quarter worth $35,000. Olde Wealth Management LLC acquired a new position in shares of KLA during the first quarter worth $36,000. MJT & Associates Financial Advisory Group Inc. acquired a new position in shares of KLA during the first quarter worth $37,000. Hazlett Burt & Watson Inc. acquired a new position in shares of KLA during the first quarter worth $45,000. Finally, E Fund Management Hong Kong Co. Ltd. lifted 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 worth $47,000 after purchasing an additional 58 shares in the last quarter. 86.65% of the stock is owned by institutional investors and hedge funds.

KLA Stock Up 0.3%

Shares of NASDAQ:KLAC opened at $878.44 on Thursday. The stock has a market capitalization of $115.92 billion, a price-to-earnings ratio of 28.91, a price-to-earnings-growth ratio of 2.98 and a beta of 1.44. KLA Corporation has a 1-year low of $551.33 and a 1-year high of $959.26. The company's fifty day moving average is $904.12 and its two-hundred day moving average is $783.62. The company has a debt-to-equity ratio of 1.25, a quick ratio of 1.83 and a current ratio of 2.62.

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

KLA announced that its board has approved a share 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 purchase up to 5.4% of its shares through open market purchases. Shares buyback plans are typically a sign that the company's management believes its shares are undervalued.

KLA Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 3rd. Shareholders of record on Monday, August 18th will be issued a dividend of $1.90 per share. This represents a $7.60 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Monday, August 18th. KLA's dividend payout ratio is 25.01%.

Insider Buying and Selling

In related news, EVP Brian Lorig sold 8,049 shares of the stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $913.68, for a total value of $7,354,210.32. Following the completion of the transaction, the executive vice president owned 11,479 shares in the company, valued at $10,488,132.72. This represents a 41.22% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO Richard P. Wallace sold 10,801 shares of the firm's stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $913.68, for a total transaction of $9,868,657.68. Following the transaction, the chief executive officer owned 92,818 shares of the company's stock, valued at approximately $84,805,950.24. This trade represents a 10.42% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 18,889 shares of company stock valued at $17,257,637 in the last quarter. Company insiders own 0.12% of the company's stock.

Analyst Ratings Changes

Several analysts recently issued reports on the stock. Stifel Nicolaus upped their price target on shares of KLA from $770.00 to $922.00 and gave the company a "buy" rating in a report on Friday, August 1st. TD Securities upped their price target on shares of KLA from $770.00 to $800.00 and gave the company a "hold" rating in a report on Thursday, May 1st. Citigroup upped their price target on shares of KLA from $1,035.00 to $1,060.00 and gave the company a "buy" rating in a report on Friday, August 1st. JPMorgan Chase & Co. upped their price target on shares of KLA from $900.00 to $1,070.00 and gave the company an "overweight" rating in a report on Friday, August 1st. Finally, The Goldman Sachs Group assumed coverage on shares of KLA in a report on Thursday, July 10th. They issued a "neutral" rating and a $980.00 price target on the stock. Eight equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $890.59.

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.

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