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KLA (KLAC) Suffers a Larger Drop Than the General Market: Key Insights
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The latest trading session saw KLA (KLAC - Free Report) ending at $556.34, denoting a -1.07% adjustment from its last day's close. This move lagged the S&P 500's daily loss of 0.15%. On the other hand, the Dow registered a loss of 0.42%, and the technology-centric Nasdaq increased by 0.09%.
Heading into today, shares of the maker of equipment for manufacturing semiconductors had gained 0.56% over the past month, lagging the Computer and Technology sector's gain of 1.19% and the S&P 500's gain of 3.5% in that time.
The investment community will be paying close attention to the earnings performance of KLA in its upcoming release. The company is slated to reveal its earnings on January 25, 2024. In that report, analysts expect KLA to post earnings of $5.87 per share. This would mark a year-over-year decline of 20.46%. Our most recent consensus estimate is calling for quarterly revenue of $2.46 billion, down 17.72% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $23.34 per share and revenue of $9.72 billion, indicating changes of -8% and -7.42%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for KLA. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.01% increase. Right now, KLA possesses a Zacks Rank of #3 (Hold).
Investors should also note KLA's current valuation metrics, including its Forward P/E ratio of 24.09. This expresses a premium compared to the average Forward P/E of 19.03 of its industry.
It's also important to note that KLAC currently trades at a PEG ratio of 3.55. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Electronics - Miscellaneous Products stocks are, on average, holding a PEG ratio of 2.01 based on yesterday's closing prices.
The Electronics - Miscellaneous Products industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 205, which puts it in the bottom 19% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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KLA (KLAC) Suffers a Larger Drop Than the General Market: Key Insights
The latest trading session saw KLA (KLAC - Free Report) ending at $556.34, denoting a -1.07% adjustment from its last day's close. This move lagged the S&P 500's daily loss of 0.15%. On the other hand, the Dow registered a loss of 0.42%, and the technology-centric Nasdaq increased by 0.09%.
Heading into today, shares of the maker of equipment for manufacturing semiconductors had gained 0.56% over the past month, lagging the Computer and Technology sector's gain of 1.19% and the S&P 500's gain of 3.5% in that time.
The investment community will be paying close attention to the earnings performance of KLA in its upcoming release. The company is slated to reveal its earnings on January 25, 2024. In that report, analysts expect KLA to post earnings of $5.87 per share. This would mark a year-over-year decline of 20.46%. Our most recent consensus estimate is calling for quarterly revenue of $2.46 billion, down 17.72% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $23.34 per share and revenue of $9.72 billion, indicating changes of -8% and -7.42%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for KLA. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.01% increase. Right now, KLA possesses a Zacks Rank of #3 (Hold).
Investors should also note KLA's current valuation metrics, including its Forward P/E ratio of 24.09. This expresses a premium compared to the average Forward P/E of 19.03 of its industry.
It's also important to note that KLAC currently trades at a PEG ratio of 3.55. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Electronics - Miscellaneous Products stocks are, on average, holding a PEG ratio of 2.01 based on yesterday's closing prices.
The Electronics - Miscellaneous Products industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 205, which puts it in the bottom 19% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.