KLA (NASDAQ:KLAC) Cut to “Hold” at Deutsche Bank Aktiengesellschaft

Deutsche Bank Aktiengesellschaft cut shares of KLA (NASDAQ:KLAC) from a buy rating to a hold rating in a research note issued to investors on Tuesday, MarketBeat reports. The firm currently has $790.00 price target on the semiconductor company’s stock.

A number of other equities research analysts also recently commented on KLAC. Cowen restated a “hold” rating on shares of KLA in a research report on Thursday, May 1st. Needham & Company LLC restated a “buy” rating and issued a $830.00 price objective on shares of KLA in a report on Thursday, May 1st. Cantor Fitzgerald reiterated a “neutral” rating and issued a $800.00 target price on shares of KLA in a report on Thursday, May 1st. Wells Fargo & Company boosted their target price on KLA from $795.00 to $870.00 and gave the company an “overweight” rating in a research report on Friday, January 31st. Finally, JPMorgan Chase & Co. lowered their price target on KLA from $950.00 to $900.00 and set an “overweight” rating for the company in a research report on Thursday, May 1st. Ten analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $799.58.

KLA Trading Down 1.5%

Shares of KLAC stock opened at $767.51 on Tuesday. KLA has a twelve month low of $551.33 and a twelve month high of $896.32. The stock has a market cap of $101.50 billion, a price-to-earnings ratio of 32.28, a PEG ratio of 1.57 and a beta of 1.40. The company’s 50-day moving average price is $694.66 and its 200-day moving average price is $691.08. The company has a current ratio of 2.36, a quick ratio of 1.63 and a debt-to-equity ratio of 1.64.

KLA (NASDAQ:KLAC) last posted its earnings results on Wednesday, April 30th. The semiconductor company reported $8.41 earnings per share for the quarter, beating the consensus estimate of $8.08 by $0.33. The company had revenue of $3.06 billion for the quarter, compared to analyst estimates of $3.01 billion. KLA had a net margin of 29.58% and a return on equity of 108.60%. KLA’s revenue was up 35.5% on a year-over-year basis. During the same period in the previous year, the business posted $5.26 EPS. As a group, equities analysts predict that KLA will post 31.59 earnings per share for the current year.

KLA Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 3rd. Investors of record on Monday, May 19th will be issued a $1.90 dividend. This is a boost from KLA’s previous quarterly dividend of $1.70. The ex-dividend date is Monday, May 19th. This represents a $7.60 annualized dividend and a yield of 0.99%. KLA’s dividend payout ratio (DPR) is 27.63%.

KLA announced that its board has initiated a stock buyback program on Wednesday, April 30th that permits the company to buyback $5.00 billion in shares. This buyback authorization permits the semiconductor company to repurchase up to 5.4% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s management believes its shares are undervalued.

Insider Transactions at KLA

In related news, CFO Bren D. Higgins sold 7,008 shares of the business’s stock in a transaction on Tuesday, March 25th. The shares were sold at an average price of $724.62, for a total value of $5,078,136.96. Following the completion of the sale, the chief financial officer now directly owns 28,798 shares of the company’s stock, valued at $20,867,606.76. The trade was a 19.57% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Richard P. Wallace sold 10,802 shares of the firm’s stock in a transaction dated Tuesday, May 6th. The stock was sold at an average price of $683.30, for a total value of $7,381,006.60. Following the transaction, the chief executive officer now directly owns 78,740 shares in the company, valued at approximately $53,803,042. The trade was a 12.06% decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 0.12% of the company’s stock.

Institutional Trading of KLA

Large investors have recently made changes to their positions in the company. Activest Wealth Management increased its holdings in shares of KLA by 4,100.0% in the 1st quarter. Activest Wealth Management now owns 42 shares of the semiconductor company’s stock valued at $29,000 after acquiring an additional 41 shares during the period. Tortoise Investment Management LLC raised its holdings in KLA by 300.0% during the fourth quarter. Tortoise Investment Management LLC now owns 48 shares of the semiconductor company’s stock worth $30,000 after purchasing an additional 36 shares in the last quarter. TCTC Holdings LLC purchased a new stake in KLA in the 4th quarter valued at approximately $31,000. Kohmann Bosshard Financial Services LLC acquired a new stake in shares of KLA in the 4th quarter valued at approximately $32,000. Finally, Alpine Bank Wealth Management acquired a new position in KLA during the first quarter worth $35,000. 86.65% of the stock is owned by institutional investors and hedge funds.

About KLA

KLA Corporation, together with its subsidiaries, engages in the design, manufacture, and marketing of process control, process-enabling, and yield management solutions for the semiconductor and related electronics industries worldwide. It operates through three segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB and Component Inspection.