Back to top

Image: Bigstock

What Analyst Projections for Key Metrics Reveal About KLA (KLAC) Q3 Earnings

Read MoreHide Full Article

Analysts on Wall Street project that KLA (KLAC - Free Report) will announce quarterly earnings of $4.94 per share in its forthcoming report, representing a decline of 10% year over year. Revenues are projected to reach $2.3 billion, declining 5.4% from the same quarter last year.

The current level reflects a downward revision of 0.1% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.

Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.

While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.

Given this perspective, it's time to examine the average forecasts of specific KLA metrics that are routinely monitored and predicted by Wall Street analysts.

The consensus estimate for 'Revenues- Semiconductor Process Control' stands at $2.06 billion. The estimate points to a change of -5% from the year-ago quarter.

The collective assessment of analysts points to an estimated 'Revenues- Specialty Semiconductor Process' of $132.53 million. The estimate points to a change of +3.2% from the year-ago quarter.

Based on the collective assessment of analysts, 'Revenues- Service' should arrive at $593.72 million. The estimate indicates a year-over-year change of +12.2%.

According to the collective judgment of analysts, 'Revenues- Product' should come in at $1.71 billion. The estimate indicates a year-over-year change of -10.1%.

Analysts' assessment points toward 'Revenues- PCB, Display and Component Inspection' reaching $133.66 million. The estimate suggests a change of +1.3% year over year.

View all Key Company Metrics for KLA here>>>

Over the past month, shares of KLA have returned -11.6% versus the Zacks S&P 500 composite's -4% change. Currently, KLAC carries a Zacks Rank #4 (Sell), suggesting that it may underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


KLA Corporation (KLAC) - free report >>

Published in