KLA (NASDAQ:KLAC) Hits New 52-Week High - Here's Why

KLA Corporation (NASDAQ:KLAC - Get Free Report) shares reached a new 52-week high on Tuesday . The stock traded as high as $942.34 and last traded at $936.53, with a volume of 746177 shares trading hands. The stock had previously closed at $921.84.

Wall Street Analyst Weigh In

Several research firms recently weighed in on KLAC. Morgan Stanley raised their target price on shares of KLA from $868.00 to $916.00 and gave the company an "overweight" rating in a research note on Tuesday, July 1st. Wells Fargo & Company reiterated an "equal weight" rating and set a $920.00 price objective (up previously from $870.00) on shares of KLA in a research report on Tuesday, July 8th. Citigroup reiterated a "buy" rating and set a $1,035.00 price objective (up previously from $835.00) on shares of KLA in a research report on Monday, July 7th. Stifel Nicolaus increased their price objective on shares of KLA from $750.00 to $770.00 and gave the company a "buy" rating in a research report on Thursday, May 1st. Finally, TD Securities increased their price objective on shares of KLA from $770.00 to $800.00 and gave the company a "hold" rating in a research report on Thursday, May 1st. Eleven equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $840.33.

KLA Stock Down 0.7%

The company's fifty day moving average price is $846.00 and its 200-day moving average price is $750.77. The stock has a market cap of $123.11 billion, a P/E ratio of 33.86, a price-to-earnings-growth ratio of 1.74 and a beta of 1.42. The company has a debt-to-equity ratio of 1.47, a quick ratio of 1.74 and a current ratio of 2.54.

KLA (NASDAQ:KLAC - Get Free Report) last posted its quarterly earnings results on Wednesday, April 30th. The semiconductor company reported $8.41 EPS for the quarter, topping the consensus estimate of $8.08 by $0.33. The company had revenue of $3.06 billion for the quarter, compared to the consensus estimate of $3.01 billion. KLA had a net margin of 31.99% and a return on equity of 112.97%. The firm's revenue was up 35.5% compared to the same quarter last year. During the same quarter last year, the firm posted $5.26 EPS. Equities analysts forecast that KLA Corporation will post 31.59 EPS for the current year.

KLA Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 3rd. Shareholders of record on Monday, May 19th were given a dividend of $1.90 per share. This is an increase from KLA's previous quarterly dividend of $1.70. The ex-dividend date was Monday, May 19th. This represents a $7.60 dividend on an annualized basis and a yield of 0.82%. KLA's dividend payout ratio (DPR) is 27.63%.

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

Insider Buying and Selling at KLA

In other KLA news, CFO Bren D. Higgins sold 1,019 shares of the firm's stock in a transaction dated Thursday, May 22nd. The shares were sold at an average price of $766.46, for a total transaction of $781,022.74. Following the transaction, 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 transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CAO Virendra A. Kirloskar sold 39 shares of the firm's stock in a transaction dated Wednesday, July 2nd. The shares were sold at an average price of $891.50, for a total transaction of $34,768.50. Following the transaction, 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. In the last quarter, insiders have sold 11,860 shares of company stock valued at $8,196,798. Company insiders own 0.12% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the business. Activest Wealth Management grew its position in shares of KLA by 4,100.0% in the 1st quarter. Activest Wealth Management now owns 42 shares of the semiconductor company's stock worth $29,000 after buying an additional 41 shares during the last quarter. Alpine Bank Wealth Management purchased a new position in shares of KLA in the 1st quarter worth approximately $35,000. Olde Wealth Management LLC purchased a new position in shares of KLA in the 1st quarter worth approximately $36,000. Saudi Central Bank purchased a new position in shares of KLA in the 1st quarter worth approximately $36,000. Finally, MJT & Associates Financial Advisory Group Inc. purchased a new position in shares of KLA in the 1st quarter worth approximately $37,000. Hedge funds and other institutional investors own 86.65% of the company's stock.

KLA Company 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.