KLA Tencor Revenue vs. Price To Earning
| KLAC Stock | USD 647.03 14.89 2.36% |
Total Revenue | First Reported 1985-09-30 | Previous Quarter 2.6 B | Current Value 2.8 B | Quarterly Volatility 687.6 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Gross Profit Margin | 0.42 | 0.5997 |
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| Net Profit Margin | 0.3 | 0.2815 |
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| Operating Profit Margin | 0.39 | 0.3705 |
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| Pretax Profit Margin | 0.34 | 0.3251 |
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| Return On Assets | 0.19 | 0.179 |
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| Return On Equity | 0.86 | 0.82 |
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For KLA Tencor profitability analysis, we use financial ratios and fundamental drivers that measure the ability of KLA Tencor to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well KLA Tencor utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between KLA Tencor's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of KLA Tencor over time as well as its relative position and ranking within its peers.
KLA |
KLA Tencor's Revenue Breakdown by Earning Segment
Check out Correlation Analysis.
Is Semiconductors & Semiconductor Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of KLA Tencor. If investors know KLA will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about KLA Tencor listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.296 | Dividend Share 5.8 | Earnings Share 21.87 | Revenue Per Share 76.103 | Quarterly Revenue Growth 0.185 |
The market value of KLA Tencor is measured differently than its book value, which is the value of KLA that is recorded on the company's balance sheet. Investors also form their own opinion of KLA Tencor's value that differs from its market value or its book value, called intrinsic value, which is KLA Tencor's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because KLA Tencor's market value can be influenced by many factors that don't directly affect KLA Tencor's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between KLA Tencor's value and its price as these two are different measures arrived at by different means. Investors typically determine if KLA Tencor is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, KLA Tencor's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
KLA Tencor Price To Earning vs. Revenue Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining KLA Tencor's current stock value. Our valuation model uses many indicators to compare KLA Tencor value to that of its competitors to determine the firm's financial worth. KLA Tencor is rated fourth overall in revenue category among its peers. It is rated below average in price to earning category among its peers . The ratio of Revenue to Price To Earning for KLA Tencor is about 563,922,241 . At present, KLA Tencor's Total Revenue is projected to increase significantly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the KLA Tencor's earnings, one of the primary drivers of an investment's value.KLA Tencor's Earnings Breakdown by Geography
KLA Revenue vs. Competition
KLA Tencor is rated fourth overall in revenue category among its peers. Market size based on revenue of Information Technology industry is now estimated at about 89.73 Billion. KLA Tencor retains roughly 9.81 Billion in revenue claiming about 11% of equities under Information Technology industry.
KLA Price To Earning vs. Revenue
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
KLA Tencor |
| = | 9.81 B |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
KLA Tencor |
| = | 17.40 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
KLA Price To Earning Comparison
KLA Tencor is currently under evaluation in price to earning category among its peers.
KLA Tencor Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in KLA Tencor, profitability is also one of the essential criteria for including it into their portfolios because, without profit, KLA Tencor will eventually generate negative long term returns. The profitability progress is the general direction of KLA Tencor's change in net profit over the period of time. It can combine multiple indicators of KLA Tencor, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -49.1 M | -46.6 M | |
| Operating Income | 3.6 B | 3.8 B | |
| Income Before Tax | 3.2 B | 3.3 B | |
| Total Other Income Expense Net | -445.7 M | -423.4 M | |
| Net Income | 2.8 B | 2.9 B | |
| Income Tax Expense | 428.1 M | 449.5 M | |
| Net Income Applicable To Common Shares | 3.9 B | 4.1 B | |
| Net Income From Continuing Ops | 2.8 B | 1.5 B | |
| Interest Income | 160.7 M | 168.7 M | |
| Non Operating Income Net Other | 105.1 M | 110.4 M | |
| Net Interest Income | -150.6 M | -158.1 M | |
| Change To Netincome | -135.9 M | -129.1 M | |
| Net Income Per Share | 20.41 | 21.43 | |
| Income Quality | 1.20 | 1.60 | |
| Net Income Per E B T | 0.87 | 0.52 |
KLA Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on KLA Tencor. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of KLA Tencor position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the KLA Tencor's important profitability drivers and their relationship over time.
Use KLA Tencor in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if KLA Tencor position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in KLA Tencor will appreciate offsetting losses from the drop in the long position's value.KLA Tencor Pair Trading
KLA Tencor Pair Trading Analysis
The ability to find closely correlated positions to KLA Tencor could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace KLA Tencor when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back KLA Tencor - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling KLA Tencor to buy it.
The correlation of KLA Tencor is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as KLA Tencor moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if KLA Tencor moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for KLA Tencor can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your KLA Tencor position
In addition to having KLA Tencor in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out Correlation Analysis. For information on how to trade KLA Stock refer to our How to Trade KLA Stock guide.You can also try the Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.
To fully project KLA Tencor's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of KLA Tencor at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include KLA Tencor's income statement, its balance sheet, and the statement of cash flows.