Pictet Asset Management Holding SA Acquires 256,716 Shares of KLA Corporation $KLAC

Key Points

• Pictet Asset Management increased its KLA stake by 5.3%, buying 256,716 shares in the third quarter and bringing its holdings to about 5.11 million shares, valued at roughly $997 million.
• Other institutional investors also expanded positions, and institutional investors collectively own 86.65% of KLA. Analysts’ consensus rating is “Moderate Buy,” with an average price target of $220.35.
• KLA beat quarterly earnings and revenue estimates, reporting $1.22 in earnings per share and $4.14 billion in revenue; it also declared a $0.23-per-share quarterly dividend.

Pictet Asset Management Holding SA grew its holdings in KLA Corporation (NASDAQ:KLAC - Free Report) by 5.3% in the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 5,113,870 shares of the semiconductor company's stock after acquiring an additional 256,716 shares during the quarter. KLA accounts for 1.0% of Pictet Asset Management Holding SA's portfolio, making the stock its 14th largest holding. Pictet Asset Management Holding SA owned approximately 0.39% of KLA worth $997,000,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also modified their holdings of KLAC. Wellington Management Group LLP increased its position in KLA by 928.9% during the second quarter. Wellington Management Group LLP now owns 14,821,622 shares of the semiconductor company's stock worth $4,471,832,000 after acquiring an additional 13,381,153 shares during the period. Bank of New York Mellon Corp acquired a new position in KLA during the 2nd quarter valued at $2,522,430,000. National Pension Service boosted its holdings in KLA by 899.4% in the 2nd quarter. National Pension Service now owns 3,634,859 shares of the semiconductor company's stock valued at $1,096,673,000 after purchasing an additional 3,271,158 shares during the period. Assenagon Asset Management S.A. boosted its holdings in KLA by 239.3% in the 3rd quarter. Assenagon Asset Management S.A. now owns 5,614,990 shares of the semiconductor company's stock valued at $1,094,530,000 after purchasing an additional 3,959,927 shares during the period. Finally, PineStone Asset Management Inc. grew its position in KLA by 11.5% in the 3rd quarter. PineStone Asset Management Inc. now owns 2,418,400 shares of the semiconductor company's stock worth $471,419,000 after purchasing an additional 248,700 shares during the last quarter. Institutional investors and hedge funds own 86.65% of the company's stock.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the stock. Sanford C. Bernstein restated an "outperform" rating and set a $225.00 price objective on shares of KLA in a report on Wednesday, July 29th. Susquehanna decreased their target price on KLA from $215.00 to $190.00 and set a "neutral" rating on the stock in a research report on Thursday, October 29th. Zacks Research upgraded KLA from a "hold" rating to a "strong-buy" rating in a research note on Friday, October 30th. JPMorgan Chase & Co. upped their price target on KLA from $238.00 to $240.00 and gave the company an "overweight" rating in a report on Thursday, October 29th. Finally, Needham & Company LLC reiterated a "buy" rating and issued a $200.00 price objective (down from $270.00) on shares of KLA in a research report on Thursday, October 29th. One investment analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and nine have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average price target of $220.35.

KLA News Roundup

Here are the key news stories impacting KLA this week:

• Positive Sentiment: KLA declared a quarterly cash dividend of $0.23 per share, payable December 1 to shareholders of record November 16. The dividend provides a modest return to shareholders. KLA Declares Regular Cash Dividend
• Positive Sentiment: A bullish analysis highlights KLA’s strong quarterly results, AI-related demand, expanding margins, and upbeat guidance, including projected year-over-year revenue growth of 43% and EPS growth above 60% in the next quarter. KLA: Unfairly Caught Up In The Tech Carnage
• Positive Sentiment: Exchange-traded funds bought $52.3 million of KLAC shares on November 3, indicating institutional fund demand. ETFs Bought $52.3 Million of KLAC
• Neutral Sentiment: A report on a $17 billion hedge fund returning cash after a poor month discusses ownership and positioning in AI-chip stocks, including KLA. It may contribute to volatility, but does not by itself establish a change in KLA’s business outlook. Hedge Fund Returns Cash After Worst Month Since 2020
• Negative Sentiment: Unusually high put-option buying suggests some investors are hedging against, or betting on, downside in KLAC, a potentially bearish near-term signal. KLA Stock Sees Unusually High Put Option Buying

Insider Buying and Selling

In other news, CEO Richard P. Wallace sold 72,019 shares of the stock in a transaction that occurred on Tuesday, September 15th. The stock was sold at an average price of $171.88, for a total value of $12,378,625.72. Following the completion of the transaction, the chief executive officer directly owned 706,925 shares of the company's stock, valued at approximately $121,506,269. This represents a 9.25% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, EVP Brian Lorig sold 59,586 shares of the firm's stock in a transaction that occurred on Thursday, August 13th. The stock was sold at an average price of $208.13, for a total value of $12,401,634.18. Following the transaction, the executive vice president owned 77,681 shares of the company's stock, valued at $16,167,746.53. This trade represents a 43.41% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 219,173 shares of company stock worth $42,201,914 over the last ninety days. Company insiders own 79.39% of the company's stock.

KLA Trading Up 6.7%

Shares of KLAC stock opened at $138.49 on Friday. The firm has a fifty day moving average of $174.83 and a 200-day moving average of $181.68. The stock has a market cap of $180.45 billion, a price-to-earnings ratio of 34.62, a P/E/G ratio of 1.13 and a beta of 1.49. KLA Corporation has a 52-week low of $107.20 and a 52-week high of $307.37. The company has a debt-to-equity ratio of 0.88, a quick ratio of 1.86 and a current ratio of 2.76.

KLA (NASDAQ:KLAC - Get Free Report) last issued its earnings results on Wednesday, October 28th. The semiconductor company reported $1.22 earnings per share for the quarter, beating the consensus estimate of $1.18 by $0.04. The business had revenue of $4.14 billion for the quarter, compared to analyst estimates of $4.04 billion. KLA had a net margin of 36.25% and a return on equity of 89.30%. The firm's revenue was up 28.9% on a year-over-year basis. During the same period in the previous year, the business earned $8.47 EPS. On average, equities research analysts forecast that KLA Corporation will post 5.73 earnings per share for the current fiscal year.

KLA Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, December 1st. Shareholders of record on Monday, November 16th will be paid a dividend of $0.23 per share. The ex-dividend date is Monday, November 16th. This represents a $0.92 dividend on an annualized basis and a yield of 0.7%. KLA's dividend payout ratio (DPR) is currently 23.00%.

KLA Company Profile

KLA Corporation develops process-control and yield-management technologies used in the manufacture of semiconductors and other electronic products. Its systems help manufacturers detect defects, measure features and monitor production processes as they make increasingly complex devices.

The company's products include inspection and metrology equipment, as well as software and related services. Its technologies support multiple stages of semiconductor production, from work on wafers and reticles to advanced packaging.

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