KLA-Tencor Corp

Since the Christmas bonus arrived today, I've also expanded my position a little here 😁👍

Business at KLA continues to be quite solid, latest earnings EPS
7.01$

More info here

Source:

https://ir.kla.com/news-events/press-releases/detail/486/kla-corporation-reports-fiscal-2025-first-quarter-results

Semiconductor manufacturing equipment

Hello my dears,

Again and again I see the question, which machine manufacturer from the semiconductor industry should I buy now?

And ASML $ASML (+3,19 %) has been bought frequently in recent weeks due to the correction because it is supposedly the market leader with a monopoly.

That's why I've put together a comparison chart of the mechanical engineering companies over the last 5 years.

It is noticeable here that almost all of them are performing relatively similarly and that ASML is not the only one in the correction.

In terms of performance, however, Applied Materials and KLA stand out somewhat.

$AMAT (+3,95 %)
$KLAC (+3,32 %)

Of course, this is only a historical perspective and may look different in the future.

The most important manufacturers of semiconductor production equipment include:

Applied Materials, Inc. (USA)

ASML (Netherlands)

Tokyo Electron Limited (Japan)

Lam Research Corporation (USA)

KLA Corporation (USA)

SCREEN Holdings Co, Ltd (Japan)

Teradyne, Inc. (USA)

Advantest Corporation (Japan)

Hitachi High-Tech Corporation (Japan)

Plasma-Therm (USA)

The market for semiconductor manufacturing equipment is expected to grow from USD 109.24 billion in 2024 to USD 155.09 billion in 2029, at a CAGR of 7.3% during the forecast period.

Expansion of semiconductor manufacturing facilities, upsurge in the automotive semiconductor market and rising demand for advanced and efficient chips are some of the major factors driving the market growth. In addition, the expansion of advanced packaging technologies and government support for the domestic semiconductor industry provide ample opportunities to drive market growth.

https://www.marketsandmarkets.com/ResearchInsight/semiconductor-manufacturing-equipment-market.asp

In February 2024, I opened a securities account with Trade Republic and started saving 60 "stable" stocks from the S&5 500 per month with the aim of beating the S&P ETF in the long term. Since May, more than 30 additional stocks have been added and have proven to be an excellent decision so far. Among others $SFM (+2,19 %)
$AMP (+2,25 %)
$CMI (+2,89 %)
$SNA (+1,52 %)
$FI (+0,18 %)
$PANW (+7,32 %)
$ANET (+6,77 %) .

There are now over 150 positions and not only 🇺🇸 shares (over 90%) in the portfolio but also a handful from 🇩🇪🇬🇧🇳🇱🇯🇵🇸🇬. They still have to prove their quality, but so far only 🇺🇸 stocks have delivered performance.

9 months since the start, my "ETF" can keep up quite well although the goal of beating the S&P500 has not yet been achieved. But I'm close and in July the gap was somewhat wider.

Conclusion: The popular dividend stocks have not provided performance in the portfolio as $JNJ (+2,5 %)
$KO (+1,89 %)
$PG (+2,05 %)
$PEP (+1,54 %) The popular growth stocks from the semiconductor sector have not yet been able to prove their quality either. $ASML (+3,19 %)
$SNPS (+2,77 %)
$KLAC (+3,32 %)
$LRCX (+4,98 %)
$AMAT (+3,95 %) The healthcare sector has also been somewhat disappointing. $ISRG (+1,97 %) and $SYK (+1,66 %) are positive exceptions here.

The usual suspects, on the other hand, have performed very well, although Microsoft is lagging a little behind. Otherwise, the financial sector and almost all stocks in the industrial sector have performed well so far.

Let's see how things continue to develop.😁

Fortunately I waited here. I actually expected the NYSE to go up quite a bit here...

$KLAC (+3,32 %) at 22 P/E I will gladly take

$KLAC (+3,32 %) fits perfectly into my prey scheme.

Share behaves unchanged on mega figures. Has been on my watchlist for a long time anyway.

Positive:

• consistently high dream margins for all metrics (Gross 60%, Net >30%, FCF > 30%)
• Hardly any CapEx (just 2% of sales, even falling despite higher sales)
• Service sales are growing constantly (while sales declined in 2024, service sales continued to rise by 10%)
• this leads to a higher service share, which ensures more constant growth
• Dividend + share buybacks result in approx. 20€/share/year for shareholders (approx. 3%)
• constant reduction of outstanding shares
• Q1 figures put KLAC approx. 2 quarters ahead of analysts' estimates
• the guidance for Q2 together with the statement "expectation of sequential quarterly growth in revenue" gives hope for a growth of approx. 20% YoY

Negative:

• KLAC also sees difficulties in the semiconductor market: "While some customers are facing near-term challenges, we are optimistic about continued semiconductor market growth in the fourth calendar quarter of 2024 and into calendar 2025" (they also say they are supported by AI and HPC customers)
• Giving back to shareholders is nice, but you have so much money, some of which should be used to pay down debt (not being done)

What do you think about $KLAC (+3,32 %)

Valuation doesn't look too high for these numbers

The first column contains my expectations for FY 2025

This results in a forward P/E (9 months) of approx. 23

Aftermarket after quarterly figures

+21% Carvana $CVNA (+2,32 %)

+11% Twilio $TWLO (+5,14 %)

+9% Sprouts Farmers Market $SFM (+2,19 %)

+7% Booking $BKNG (+4,55 %)

+7% Paycom Software

+5% Allstate

+4% Transocean

+3% Clorox $CLX (+0,92 %)

+2% KLA $KLAC (+3,32 %)

+1% Starbucks $SBUX (+2,42 %)

+1% Omega Healthcare

+0% Microsoft $MSFT (+0,08 %)

-1% Amgen

-1% DoorDash $DASH (+1,49 %)

-1% AFLAC

-1% Public Storage

-2% Equinix

-3% Meta $META (-0,47 %)

-4% MicroStrategy $MSTR (-12,57 %)

-4% Coinbase $COIN (-7,73 %)

-6% MetLife

-6% MGM Resorts

-6% Riot Platforms $RIOT (-2,92 %)

-7% eBay $EBAY (+1,18 %)

-7% Ventas

-9% Robinhood Markets $HOOD (-1,6 %)

-10% Roku

-11% Monolithic Power Systems

-13% Aurora Innovation

#aktien
#börse
#earnings#quartalszahlen

The ASML share fell 20% after after poor quarterly figures and a lowered outlook. Major customers such as Samsung and Intel are buying fewer machines because they are postponing investments. Buy, hold or sell ASML? What do you think?

In the Podcast episode 61 "Buy High. Sell Low" we talked about ASML in detail. Link in the profile description.

$ASML (+3,19 %)
$INTC (+2,41 %)
$005930
$AMD (+0,64 %)
$NVDA (+1,51 %)
$2330
$AMAT (+3,95 %)
$MU (+5 %)
$KLAC (+3,32 %)
$LRCX (+4,98 %)

A few years ago, I invested in $KLAC (+3,32 %) a few years ago 🤑 and have been waiting for a good opportunity to invest in $ASML (+3,19 %) to get in.