KLACNEUTRAL

FCF Yield

1.2%

Updated 80h ago

Sector Performance

18th percentile

KLAC

1.2%

Sector Median

4.2%

Sector Avg

7.7%

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Deep Analysis

Free cash flow yield measures the cash a company generates relative to its stock price—think of it like the cash return on your investment.

At 1.2%, KLAC’s yield is well below the sector median of 4.2%, placing it in the 18th percentile among peers. Year-over-year change is not available, but quarter-over-quarter the yield improved by +9.1% (from 1.1% to 1.2%). A low yield combined with a small upward quarterly trend suggests the stock offers a weak return on cash relative to the sector, though the slight improvement could hint at better cash generation ahead. This combination implies elevated valuation risk for income-focused investors, as the cash return remains slim compared to alternatives. The metric contradicts the NEUTRAL verdict—it signals below-average value and does not support a balanced outlook.

Frequently Asked Questions

What does the FCF Yield tell investors about KLAC?

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

How is the FCF Yield calculated?

FCF Yield is calculated as: Free Cash Flow / Market Cap.

Who are KLAC's closest peers by FCF Yield?

The closest peers by FCF Yield include: FMC (-12.9%), NCLH (-13.0%), XEL (-13.6%), SG (-13.6%), GS (-14.0%).

The Formula

Free Cash Flow / Market Cap

Why It Matters

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

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KLAC

1.2%

Sector Median

4.2%

Sector Avg

7.7%

How KLAC's FCF Yield compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.