Strategic Global Advisors LLC Boosts Stock Holdings in KLA Co. (NASDAQ:KLAC)

Strategic Global Advisors LLC raised its stake in KLA Co. (NASDAQ:KLAC) by 4.1% during the fourth quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 7,760 shares of the semiconductor company’s stock after purchasing an additional 309 shares during the quarter. Strategic Global Advisors LLC’s holdings in KLA were worth $4,890,000 at the end of the most recent quarter.

Several other institutional investors also recently made changes to their positions in KLAC. Vanguard Group Inc. grew its position in KLA by 0.6% during the fourth quarter. Vanguard Group Inc. now owns 13,484,468 shares of the semiconductor company’s stock valued at $8,496,833,000 after acquiring an additional 85,370 shares during the period. Capital International Investors lifted its stake in shares of KLA by 0.4% in the 4th quarter. Capital International Investors now owns 3,606,838 shares of the semiconductor company’s stock valued at $2,273,118,000 after purchasing an additional 14,397 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of KLA by 1.0% during the 4th quarter. Geode Capital Management LLC now owns 3,253,302 shares of the semiconductor company’s stock worth $2,046,472,000 after purchasing an additional 31,608 shares during the period. Norges Bank purchased a new stake in shares of KLA during the 4th quarter worth about $1,175,756,000. Finally, Northern Trust Corp increased its position in KLA by 13.8% during the 4th quarter. Northern Trust Corp now owns 1,685,200 shares of the semiconductor company’s stock worth $1,061,878,000 after purchasing an additional 204,330 shares in the last quarter. 86.65% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

KLAC has been the topic of a number of recent research reports. Jefferies Financial Group reaffirmed a “hold” rating and set a $725.00 price target (down from $875.00) on shares of KLA in a research report on Friday, March 28th. Cantor Fitzgerald reissued a “neutral” rating and issued a $800.00 target price on shares of KLA in a research note on Thursday, May 1st. The Goldman Sachs Group upped their price target on shares of KLA from $759.00 to $864.00 and gave the stock a “buy” rating in a research report on Friday, January 31st. Stifel Nicolaus increased their price target on KLA from $750.00 to $770.00 and gave the company a “buy” rating in a report on Thursday, May 1st. Finally, Oppenheimer raised their price objective on KLA from $700.00 to $740.00 and gave the company an “outperform” rating in a research report on Thursday, May 1st. Nine investment analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company’s stock. According to data from MarketBeat, KLA currently has a consensus rating of “Moderate Buy” and an average price target of $802.74.

Insider Buying and Selling at KLA

In related news, CEO Richard P. Wallace sold 10,802 shares of the firm’s stock in a transaction on Tuesday, May 6th. The stock was sold at an average price of $683.30, for a total transaction of $7,381,006.60. Following the transaction, the chief executive officer now directly owns 78,740 shares in the company, valued at $53,803,042. This trade represents a 12.06% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, 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 transaction of $5,078,136.96. Following the sale, the chief financial officer now owns 28,798 shares of the company’s stock, valued at approximately $20,867,606.76. The trade was a 19.57% decrease in their position. The disclosure for this sale can be found here. 0.12% of the stock is currently owned by insiders.

KLA Price Performance

KLAC stock opened at $791.17 on Friday. The stock’s 50 day moving average is $688.05 and its two-hundred day moving average is $688.07. KLA Co. has a 52-week low of $551.33 and a 52-week high of $896.32. The company has a market capitalization of $104.63 billion, a PE ratio of 33.27, a P/E/G ratio of 1.57 and a beta of 1.40. The company has a quick ratio of 1.63, a current ratio of 2.36 and a debt-to-equity ratio of 1.64.

KLA (NASDAQ:KLAC) last issued its quarterly earnings results on Wednesday, April 30th. The semiconductor company reported $8.41 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $8.08 by $0.33. The business had revenue of $3.06 billion during 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%. The business’s revenue was up 35.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $5.26 earnings per share. Analysts predict that KLA Co. will post 31.59 earnings per share for the current fiscal year.

KLA Increases Dividend

The company also recently disclosed 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 positive change from KLA’s previous quarterly dividend of $1.70. This represents a $7.60 annualized dividend and a yield of 0.96%. The ex-dividend date of this dividend is Monday, May 19th. KLA’s payout ratio is currently 27.63%.

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

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.