Neuberger Berman Group LLC Has $39.94 Million Stock Position in KLA Corporation (NASDAQ:KLAC)

Key Points

• Neuberger Berman Group LLC increased its stake in KLA Corporation (NASDAQ: KLAC) by 18.9%, acquiring an additional 9,332 shares, with total holdings now valued at approximately $39.94 million.
• In recent analyst updates, TD Securities raised its price target on KLA from $770 to $800, while both Citigroup and JPMorgan increased their price goals significantly, reflecting positive sentiment on the stock.
• KLA Corporation reported a strong earnings quarter with earnings per share of $9.38, exceeding estimates, alongside a declared quarterly dividend of $1.90 per share.

Neuberger Berman Group LLC boosted its position in KLA Corporation (NASDAQ:KLAC - Free Report) by 18.9% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 58,713 shares of the semiconductor company's stock after acquiring an additional 9,332 shares during the quarter. Neuberger Berman Group LLC's holdings in KLA were worth $39,937,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. GAMMA Investing LLC lifted its stake in shares of KLA by 95,141.6% during the first quarter. GAMMA Investing LLC now owns 1,674,347 shares of the semiconductor company's stock worth $1,138,221,000 after purchasing an additional 1,672,589 shares in the last quarter. Nuveen LLC acquired a new position in shares of KLA during the first quarter worth about $348,822,000. Goldman Sachs Group Inc. lifted its stake in shares of KLA by 27.9% during the first quarter. Goldman Sachs Group Inc. now owns 1,852,814 shares of the semiconductor company's stock worth $1,259,543,000 after purchasing an additional 404,634 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its stake in shares of KLA by 33.7% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 1,191,262 shares of the semiconductor company's stock worth $750,638,000 after purchasing an additional 300,015 shares in the last quarter. Finally, Capital Research Global Investors acquired a new position in shares of KLA during the fourth quarter worth about $187,212,000. Institutional investors and hedge funds own 86.65% of the company's stock.

Analysts Set New Price Targets

A number of research analysts have commented on KLAC shares. Deutsche Bank Aktiengesellschaft cut KLA from a "buy" rating to a "hold" rating and set a $790.00 price objective on the stock. in a research note on Tuesday, May 20th. Wells Fargo & Company reiterated an "equal weight" rating and issued a $920.00 price target (up previously from $870.00) on shares of KLA in a research note on Tuesday, July 8th. The Goldman Sachs Group assumed coverage on KLA in a research note on Thursday, July 10th. They issued a "neutral" rating and a $980.00 price target on the stock. Barclays boosted their price target on KLA from $590.00 to $750.00 and gave the stock an "equal weight" rating in a research note on Monday, July 28th. Finally, Citigroup boosted their price target on KLA from $1,035.00 to $1,060.00 and gave the stock a "buy" rating in a research note on Friday, August 1st. Eleven equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus price target of $890.59.

KLA Price Performance

KLAC traded down $80.47 during trading on Friday, reaching $874.94. The stock had a trading volume of 2,063,166 shares, compared to its average volume of 1,029,476. The firm has a market capitalization of $115.46 billion, a price-to-earnings ratio of 28.79, a price-to-earnings-growth ratio of 2.98 and a beta of 1.44. 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 Corporation has a 1-year low of $551.33 and a 1-year high of $959.26. The stock has a 50 day moving average of $902.52 and a two-hundred day moving average of $781.03.

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

KLA Dividend Announcement

The firm also recently declared 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. This represents a $7.60 annualized dividend 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 approved a stock repurchase program on Wednesday, April 30th that allows the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization allows the semiconductor company to repurchase up to 5.4% of its shares through open market purchases. Shares repurchase programs are often a sign that the company's board of directors believes its shares are undervalued.

Insiders Place Their Bets

In related news, CAO Virendra A. Kirloskar sold 39 shares of KLA stock in a transaction dated Wednesday, July 2nd. The stock was sold at an average price of $891.50, for a total transaction of $34,768.50. Following the sale, the chief accounting officer directly owned 2,616 shares of the company's stock, valued at $2,332,164. This trade represents a 1.47% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Bren D. Higgins sold 1,019 shares of KLA stock in a transaction dated Thursday, May 22nd. The stock was sold at an average price of $766.46, for a total value of $781,022.74. Following the sale, the chief financial officer directly owned 27,779 shares in the company, valued at approximately $21,291,492.34. This trade represents a 3.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 19,908 shares of company stock valued at $18,038,659. 0.12% of the stock is owned by company 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.