KLA Corporation (KLAC) — Free Cash Flow Yield
Technology
KLA Corporation, together with its subsidiaries, provides process control and process-enabling solutions for manufacturing wafers, reticles/masks, chemicals/materials, integrated circuits (ICs), packaged ICs, and printed circuit boards. It operates through three segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB and Component Inspection. The company offers inspection and review tools to identify, locate, characterize, review, and analyze defects on various surfaces of patterned and unpatterned wafers; chemical process control equipment; wired and wireless sensor wafers and reticles; wafer defect inspection, review, and metrology systems; reticle inspection and metrology systems; wafer inspection and metrology systems; semiconductor software solutions; KLA Pro systems; and specialty semiconductor manufacturing, benchtop metrology, surface characterization, material strength characterization, and electrical property measurement products. It also provides etch, plasma dicing, deposition and other wafer processing technologies and solutions; direct imaging, inspection, optical shaping, inkjet, and additive printing, as well as computer-aided manufacturing and engineering solutions; and components. In addition, the company offers service programs. It serves semiconductor, and semiconductor-related and electronic device manufacturers. The company operates in China, Taiwan, Korea, North America, Japan, Europe, Israel, and rest of Asia. The company was formerly known as KLA-Tencor Corporation and changed its name to KLA Corporation in July 2019. KLA Corporation was incorporated in 1975 and is headquartered in Milpitas, California.
| Metric | Value |
|---|---|
| FCF Yield | 1.4% |
| Technology Sector Avg FCF Yield | 3.9% |
| Annual Free Cash Flow | $3.8B |
| Market Cap | $270.0B |
| P/E Ratio | 56.5x |
KLA Corporation's FCF yield of 1.4% is below the Technology sector average (3.9%).
Frequently Asked Questions
What is KLA Corporation's (KLAC) free cash flow yield?
KLA Corporation's (KLAC) free cash flow yield is 1.4%. That is below the Technology sector average (3.9%).
Is KLAC's free cash flow yield good?
At 1.4%, KLAC's free cash flow yield is considered weak — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.
How much free cash flow does KLA Corporation generate?
KLA Corporation generated $3.8B in free cash flow, against a market cap of $270.0B.
How is free cash flow yield calculated?
Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.
Data from public filings. Not investment advice. Calculate your own FCF yield →