KLA Corporation (KLAC) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-63.7%

$57.29

vs $157.99 price

Levered DCF

$55.92

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

13.13

Safe zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	81.99×	29.34×	40.56×	19.98×	14.46×	24.03×	25.06×	16.16×
P/B	62.32×	25.39×	33.26×	23.17×	34.27×	14.79×	11.44×	7.14×
P/S	29.14×	9.8×	11.42×	6.45×	5.21×	7.22×	5.25×	4.16×
EV / EBITDA	66.1×	23.06×	29.95×	15.95×	13.26×	18.26×	17.99×	12.94×
Gross margin	61.3%	60.9%	60.0%	59.8%	61.0%	59.9%	57.8%	59.1%
Operating margin	41.7%	41.2%	37.1%	38.1%	39.7%	36.0%	30.3%	30.4%
Net margin	35.6%	33.4%	28.1%	32.3%	36.1%	30.0%	21.0%	25.7%
Current ratio	2.88×	2.62×	2.15×	2.24×	2.5×	2.71×	2.78×	2.44×
Debt / equity	0.97×	1.3×	2.02×	2.08×	4.83×	1.05×	1.34×	1.29×
Interest coverage	19.9×	16.59×	11.68×	13.45×	22.79×	15.82×	10.97×	11.15×
Dividend yield	0.3%	0.8%	0.7%	1.1%	1.3%	1.1%	1.7%	2.5%
Payout ratio	21.9%	22.3%	28.0%	21.6%	19.2%	26.9%	42.9%	40.2%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	76.1%	86.6%	82.0%	116.0%	237.0%	61.5%	45.7%	44.2%
Return on invested capital	35.6%	36.5%	27.2%	34.5%	35.7%	26.6%	21.3%	16.8%
Return on assets	26.9%	25.3%	17.9%	24.1%	26.4%	20.2%	13.1%	13.1%
Free cash flow yield	1.0%	3.1%	2.7%	4.9%	6.3%	3.9%	5.3%	5.4%
Earnings yield	1.2%	3.4%	2.5%	5.0%	6.9%	4.2%	4.0%	6.2%
Enterprise value	$400.2B	$123.2B	$116.9B	$71.8B	$53.2B	$52.1B	$32.8B	$21.4B
Net debt / EBITDA	0.74×	0.75×	1.24×	0.92×	1.29×	0.74×	1.28×	1.46×
Cash conversion cycle (days)	296	285	323	284	253	240	235	294