KLACNEUTRAL

KLAC EV/EBITDA Analysis

37.1x

Higher than 75% of TECHNOLOGY sector peers

Updated 5h ago·SEC filings & market data

Key Takeaway

EV/EBITDA (enterprise value divided by earnings before interest, taxes, depreciation, and amortization) for KLAC is 39.6x, meaning investors pay 39.6 times the company's operating earnings for the entire firm.

Sector Performance

75th percentile

KLAC

37.1x

Sector Median

24.3x

Sector Avg

29.8x

Prior Period

39.9x(Aug 2026)

↑ Improving

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Deep Analysis

This is above the sector median of 27.2x, placing KLAC in the 70th percentile among its technology peers. The multiple has been declining over the last eight quarters, with a year-over-year change of -27.7% and a quarter-over-quarter change of -23.3%. A high but falling EV/EBITDA indicates the stock still carries a premium valuation but is becoming less expensive, which can reduce downside risk if earnings remain steady. The combination of an elevated level with a downward trend supports a cautious view rather than a clear buy or sell signal. This metric directly supports the overall NEUTRAL verdict.

Frequently Asked Questions

What does the EV/EBITDA tell investors about KLAC?

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.

How is the EV/EBITDA calculated?

EV/EBITDA is calculated as: Enterprise Value / EBITDA.

How does KLAC's EV/EBITDA compare to its sector?

KLAC's EV/EBITDA of 37.1x compares to a TECHNOLOGY sector median of 24.3x, placing it in the 75th percentile.

Who are KLAC's closest peers by EV/EBITDA?

The closest TECHNOLOGY peers by EV/EBITDA include: CSCO (24.3x), TXN (25.6x), DELL (21.5x), ORCL (18.3x), IBM (16.9x).

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Learn More About EV/EBITDA

EV/EBITDA Explained: The Valuation Metric Pro Investors Actually Use

Learn what EV/EBITDA is, why it beats P/E for capital-heavy companies, typical sector ranges, and key limitations every serious investor should know.

The Formula

Enterprise Value / EBITDA

Why It Matters

A valuation multiple preferred by analysts for capital-intensive or leveraged businesses. Useful for cross-sector comparisons where earnings can be distorted by debt.