KLA Corporation (NASDAQ:KLAC) Receives New Price Target from Oppenheimer

• Ed Yang from Oppenheimer sets a new price target of $850 for KLA Corporation (NASDAQ:KLAC), indicating a potential upside of 22.87%.
• KLA reports strong quarterly earnings with an EPS of $7.33, surpassing estimates and highlighting the company's robust financial health.
• The company's commitment to shareholder value is evident through significant capital returns totaling $2.64 billion over the past year.

On October 30, 2024, Ed Yang from Oppenheimer set a price target of $850 for KLA Corporation (NASDAQ:KLAC). At the time, KLAC's stock price was $691.80, suggesting a potential upside of about 22.87%. KLA, a key player in the chipmaking equipment industry, is experiencing a surge in demand due to the growing importance of artificial intelligence (AI).

KLA's recent quarterly earnings report shows a strong performance, with earnings per share (EPS) of $7.33, surpassing the Zacks Consensus Estimate of $7.03. This is a notable improvement from the $5.74 EPS reported in the same quarter last year. The company's robust financial results are driven by the increasing demand for chips, essential for AI workloads.

KLA's fiscal 2025 first-quarter results highlight its strong financial health. The company reported total revenues of $2.84 billion, exceeding the midpoint of its guidance range by $150 million. The GAAP diluted EPS was $7.01, while the non-GAAP diluted EPS was $7.33, both near the upper end of their guidance ranges.

KLA's cash flow from operating activities for the quarter was $995.2 million, with a twelve-month total of $3.42 billion. The free cash flow for the quarter was $934.8 million, and $3.15 billion over the past year. The company returned $765.5 million in capital to shareholders during the quarter, and $2.64 billion over the past year, reflecting its commitment to shareholder value.

Currently, KLAC's stock price on the NASDAQ is $691.80, a decrease of $4.43 or approximately -0.64%. The stock has fluctuated between $680.50 and $695.19 during the trading day. Over the past year, KLAC has reached a high of $896.32 and a low of $484.33. The company's market capitalization is approximately $92.68 billion, with a trading volume of 1,607,178 shares.