Westpac Banking Corp Lowers Stock Holdings in KLA Corporation $KLAC

Key Points

• Westpac Banking Corp has reduced its stake in KLA Corporation by 19.7%, now holding 1,085 shares worth approximately $738,000.
• KLA reported earnings of $9.38 per share, surpassing estimates, with revenue rising 23.6% year-over-year to $3.17 billion.
• The company announced a quarterly dividend of $1.90 per share and has initiated a $5 billion stock repurchase plan.

Westpac Banking Corp decreased its stake in KLA Corporation (NASDAQ:KLAC - Free Report) by 19.7% during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 1,085 shares of the semiconductor company's stock after selling 266 shares during the period. Westpac Banking Corp's holdings in KLA were worth $738,000 at the end of the most recent quarter.

Several other hedge funds have also added to or reduced their stakes in the business. Townsquare Capital LLC lifted its holdings in shares of KLA by 22.6% in the 4th quarter. Townsquare Capital LLC now owns 3,317 shares of the semiconductor company's stock worth $2,090,000 after acquiring an additional 612 shares during the last quarter. SageView Advisory Group LLC purchased a new stake in KLA in the 4th quarter worth $276,000. Anchor Investment Management LLC lifted its stake in shares of KLA by 12.0% in the fourth quarter. Anchor Investment Management LLC now owns 140 shares of the semiconductor company's stock worth $88,000 after buying an additional 15 shares in the last quarter. Stenger Family Office LLC purchased a new position in shares of KLA in the fourth quarter worth about $692,000. Finally, Farringdon Capital Ltd. purchased a new position in shares of KLA in the fourth quarter worth about $202,000. 86.65% of the stock is owned by institutional investors.

KLA Stock Performance

KLAC traded up $6.27 during midday trading on Monday, reaching $881.21. The company had a trading volume of 364,434 shares, compared to its average volume of 1,158,099. The company has a quick ratio of 1.83, a current ratio of 2.62 and a debt-to-equity ratio of 1.25. The business has a 50-day moving average of $902.52 and a two-hundred day moving average of $781.30. The company has a market cap of $116.28 billion, a P/E ratio of 29.00, a P/E/G 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.

KLA (NASDAQ:KLAC - Get Free Report) last released its quarterly earnings data 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 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%. The business's quarterly revenue was up 23.6% compared to the same quarter last year. During the same quarter in the prior year, the company posted $6.60 earnings per share. As a group, equities research analysts predict that KLA Corporation will post 31.59 earnings per share for the current fiscal year.

KLA Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 3rd. Investors of record on Monday, August 18th will be paid 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 (DPR) is currently 25.01%.

KLA declared that its Board of Directors has initiated a share buyback plan on Wednesday, April 30th that authorizes the company to buyback $5.00 billion in outstanding shares. This buyback authorization authorizes 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 management believes its stock is undervalued.

Analysts Set New Price Targets

Several analysts have recently issued reports on KLAC shares. UBS Group increased their price target on shares of KLA from $775.00 to $960.00 and gave the stock a "neutral" rating in a research report on Monday, July 21st. Wall Street Zen cut KLA from a "buy" rating to a "hold" rating in a report on Saturday, July 5th. TD Cowen lifted their price objective on KLA from $800.00 to $900.00 and gave the company a "hold" rating in a research note on Friday, August 1st. Barclays boosted their price target on KLA from $590.00 to $750.00 and gave the stock an "equal weight" rating in a research report on Monday, July 28th. Finally, Citigroup lifted their price objective on KLA from $1,035.00 to $1,060.00 and gave the stock a "buy" rating in a report on Friday, August 1st. Eleven investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and an average target price of $890.59.

Insiders Place Their Bets

In other news, CEO Richard P. Wallace sold 10,801 shares of the business'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 transaction, the chief executive officer directly owned 92,818 shares of the company's stock, valued at approximately $84,805,950.24. The trade was a 10.42% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Brian Lorig sold 8,049 shares of the business'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 transaction, the executive vice president directly owned 11,479 shares of the company's stock, valued at approximately $10,488,132.72. The trade was a 41.22% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 19,908 shares of company stock valued at $18,038,659 over the last quarter. 0.12% of the stock is currently owned by insiders.

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.