Bahl & Gaynor Inc. has decreased its holdings in KLA Corporation (NASDAQ: KLAC) by 1.7% during the second quarter of 2023, as revealed in a recent filing with the Securities and Exchange Commission (SEC). The institutional investor now owns 53,534 shares of KLA, having sold 913 shares in the period, bringing the total value of its holdings to approximately $47.95 million.
The adjustments in Bahl & Gaynor’s portfolio mirror broader activities among institutional investors. For instance, Strs Ohio acquired a new stake in KLA valued at $26.47 million during the first quarter. Acadian Asset Management LLC increased its stake by an impressive 37.7%, now holding 41,784 shares worth around $28.4 million after purchasing an additional 11,442 shares. Other investors, including Inspire Investing LLC and Integrated Wealth Concepts LLC, have also adjusted their positions, showing a growing interest in KLA. Overall, institutional investors now own approximately 86.65% of KLA’s stock.
Analysts’ Perspectives and Stock Performance
In light of recent market activities, several financial analysts have weighed in on KLA’s stock performance. A notable report from Raymond James Financial reaffirmed an “outperform” rating, increasing the price target from $850.00 to $950.00. Meanwhile, Barclays raised its target price from $1,200.00 to $1,300.00 and assigned an “overweight” rating. Bank of America similarly adjusted its price target to $1,300.00, assigning a “buy” rating.
As of October 30, 2023, KLA’s stock opened at $1,097.12, giving the company a market capitalization of $144.15 billion. It has demonstrated a price-to-earnings (P/E) ratio of 34.45 and a price-to-earnings-growth (PEG) ratio of 3.56. The company’s performance has been solid, with a net margin of 33.83% and a return on equity of 113.10%.
On October 29, KLA announced its quarterly earnings, reporting earnings per share (EPS) of $8.81, exceeding the consensus estimate of $8.47 by $0.34. Revenue for the quarter reached $3.21 billion, surpassing analyst expectations of $3.17 billion. Year-over-year revenue growth was reported at 13.0%, indicating strong business performance.
Dividend Announcements and Insider Activity
KLA also disclosed plans for a quarterly dividend of $1.90 per share, to be paid on December 2, 2023. Shareholders on record as of November 17, 2023, will receive this dividend, which translates to an annualized dividend of $7.60 and a yield of 0.7%. The company’s dividend payout ratio stands at 23.86%.
In insider trading news, CEO Richard P. Wallace sold 10,803 shares of KLA on November 11, worth approximately $12.99 million. After the sale, Wallace retained 81,211 shares valued at around $97.70 million, marking an 11.74% reduction in his ownership. Additionally, insider Ahmad A. Khan sold 13,716 shares on August 29, valued at $12.09 million, resulting in a 33.38% decrease in his holdings.
KLA Corporation, based in Milpitas, California, specializes in the design, manufacture, and marketing of process control and yield management solutions for the semiconductor sector. As the semiconductor industry continues to evolve, KLA remains a key player, evidenced by its robust financial performance and significant institutional backing.
