
KLA-Tencor (KLAC) Stock Forecast & Price Target
KLA-Tencor (KLAC) Analyst Ratings
Bulls say
KLA is positioned for positive financial performance as it prepares for robust growth in the semiconductor market, particularly with expectations of strengthened demand in DRAM and NAND sectors projected to increase by approximately $1-2 billion year over year. The company's strategic focus on advanced packaging is underscored by an increased revenue forecast, with this sector anticipated to reach $925 million, representing a 70% year-over-year growth, and highlighting KLA's dominant share in process control. Furthermore, KLA is set to benefit from an expanding addressable market in advanced packaging, projected to grow at around 20% in the upcoming years, thereby supporting its overall revenue growth outlook significantly.
Bears say
KLA's outlook is negatively impacted by anticipated declines in revenue from its China operations, which are projected to drop by 10-20% next year and from approximately 31% of sales in CY25 to 25% in CY26. Additionally, adjusted wafer fabrication equipment (WFE) market values are expected to fall below $107 billion in 2025 and $110 billion in 2026, contributing to a potential decrease in KLA's market share in the process control segment to 6-7% during this period. The introduction of the recent BIS 50% rule is also expected to further reduce KLA's revenue by approximately $300 million from Q4 2025 to Q4 2026, compounding the challenges faced by the company amid a declining domestic spending climate in China.
This aggregate rating is based on analysts' research of KLA-Tencor and is not a guaranteed prediction by Public.com or investment advice.
KLA-Tencor (KLAC) Analyst Forecast & Price Prediction
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