--- title: KLA (KLAC) — intrinsic value and fair price canonical: https://sweetvaluelab.com/stocks/klac ticker: KLAC as_of: 2026-10-17 sector: Technology industry: Semiconductors --- # KLA (KLAC) KLA (KLAC) closed at $165.74 on Oct 16, 2026, overvalued by 103% vs its model value of $81.57 (from a five-year discounted cash flow). ## Key figures | Figure | Value | | --- | ---: | | Last close | $165.74 (Oct 16, 2026) | | Model value (from a five-year discounted cash flow) | $81.57 | | Price vs model | overvalued by 103% vs model | | Range of that model | $58.90 – $132.39 | | Market value | $216.3B | | P/E (fiscal 2026) | 45.3 | | Net margin (fiscal 2026) | 35.6% | | Free cash flow (fiscal 2026) | $3.8B | | Dividend yield (trailing twelve months) | 0.51% | | Beta | 1.45 | | Cost of capital (WACC) | 10.31% | | Business classification | Cyclical (Moderate growth (~18% recent), High profitability (36% net margin), Moderately volatile earnings) | ## Dividends | Figure | Value | | --- | ---: | | Trailing dividend yield | 0.51% | | Dividends per share, last 12 months | $0.84 | | Dividends / free cash flow (fiscal 2026) | 28.1% | | Raised | 16 years in a row | | Growth over 5 years | 17.5% a year | | Latest payment | $0.23, ex-date Aug 17, 2026, paid Sep 1, 2026 | | Year of payments | Dividends per share | | --- | ---: | | To Aug 13, 2021 | $0.38 | | To Aug 12, 2022 | $0.45 | | To Aug 14, 2023 | $0.52 | | To Aug 15, 2024 | $0.58 | | To Aug 18, 2025 | $0.72 | | Trailing twelve months (to Aug 17, 2026) | $0.84 | ## Valuation models Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026. | Model | Role | Value per share | Low | High | | --- | --- | ---: | ---: | ---: | | DCF · Perpetuity growth · 5y | primary | $81.57 | $58.90 | $132.39 | | DCF · Perpetuity growth · 10y | cross check | $108.30 | $78.38 | $174.77 | | DCF · EBITDA exit · 5y | cross check | $259.48 | $214.60 | $311.43 | | DCF · EBITDA exit · 10y | cross check | $288.47 | $222.52 | $373.31 | | P/E · peers | cross check | $171.58 | $147.75 | $239.95 | | P/E · own history | cross check | $137.29 | $95.92 | $175.15 | | PEG | sanity check | $127.60 | $127.60 | $127.60 | | EV/EBITDA · peers | cross check | $180.20 | $147.18 | $192.31 | | EV/Revenue · peers | cross check | $117.20 | $92.42 | $125.13 | | Earnings power value | cross check | $25.93 | $22.23 | $30.89 | | Dividend discount | cross check | $17.10 | $12.48 | $23.18 | ## Insider activity (SEC Form 4) Past 90 days: 0 open-market buys ($0) and 9 open-market sales ($60.7M); 10b5-1 plan sales included. | Date | Insider | Relationship | Transaction | Shares | Value | | --- | --- | --- | --- | ---: | ---: | | Sep 15, 2026 | WALLACE RICHARD P | President and CEO | Open-market sell (10b5-1 plan) | 72,019 | $12.4M | | Aug 13, 2026 | Lorig Brian | EVP, KLA Global Services | Open-market sell (10b5-1 plan) | 59,586 | $12.4M | | Aug 12, 2026 | Higgins Bren D. | EVP & Chief Financial Officer | Open-market sell (10b5-1 plan) | 31,500 | $6.6M | | Aug 11, 2026 | Khan Ahmad A. | President, Semi. Prod. & Cust. | Open-market sell (10b5-1 plan) | 33,180 | $6.6M | | Aug 11, 2026 | WALLACE RICHARD P | President and CEO | Open-market sell (10b5-1 plan) | 87,568 | $17.4M | ## Recent SEC filings | Filed | Form | What | Filing | | --- | --- | --- | --- | | Sep 22, 2026 | ARS | Annual report to shareholders | https://www.sec.gov/Archives/edgar/data/319201/000119312526397978/d311668dars.pdf | | Sep 22, 2026 | DEFA14A | Additional proxy materials | https://www.sec.gov/Archives/edgar/data/319201/000119312526397940/d108333ddefa14a.htm | | Sep 22, 2026 | DEF 14A | Proxy statement | https://www.sec.gov/Archives/edgar/data/319201/000119312526397898/d83268ddef14a.htm | | Aug 6, 2026 | 8-K | 8.01 Other Events; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/319201/000119312526338242/d165938d8k.htm | | Aug 6, 2026 | 10-K | Annual report | https://www.sec.gov/Archives/edgar/data/319201/000031920126000027/klac-20260630.htm | ## Superinvestors holding it (latest 13F) | Manager | Quarter | Shares | Value | | --- | --- | ---: | ---: | | Jensen | 2026-06-30 | 790,391 | $238.5M | | Bridgewater | 2026-06-30 | 328,070 | $99.0M | | Torray | 2026-06-30 | 36,890 | $11.1M | | Lee Ainslie | 2026-06-30 | 5,599 | $1.7M | 4 tracked managers in all. ## About KLA Corporation specializes in creating, manufacturing, and distributing advanced solutions vital for process control, process optimization, and yield enhancement throughout the global semiconductor and broader electronics industries. The company organizes its business into four main segments: Semiconductor Process Control, Specialty Semiconductor Process, PCB, Display and Component Inspection, and an 'Other' category. For integrated circuit (IC) fabrication, KLA offers a comprehensive range of products. These include systems for wafer inspection, review, and metrology; defect inspection and metrology for both wafers/substrates and reticles; chemical and materials quality analysis tools; and real-time process management and wafer handling diagnostics essential for IC and original equipment manufacturer (OEM) production. Furthermore, the company develops software for live process control,… --- Source: https://sweetvaluelab.com/stocks/klac (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.