Morgan Stanley KLA · KLAC

Morgan Stanley Cuts KLA Price Target to $253

Analyst: Shane Brett 1 min read Reproduced verbatim
Rating
Overweight
Target
$253
from $274 (−8%)
Upside
+95%
KLAC at $130 today
Morgan Stanley and KLA logos

What the analyst said

Morgan Stanley analyst Shane Brett lowered the price target on KLA Corporation (NASDAQ: KLAC) to $253 (from $274) while maintaining an Overweight rating.

“Thoughts on the stock: We understand the bear thesis around KLA (2026 underperformance) and we agree that KLA will under grow WFE this year.

We remain OW KLA; however, we’re anticipating the quarter when KLA materially beats street numbers and CY27/28 estimates come up.

In the mean time, we nudge down our target multiple for KLA from 38x to 36x given derating across the cohort, which brings down our PT from $274 to $253.

We shifted our valuation base year to 2028 for most US SPE names in Semiconductor Capital Equipment: Rolling over PTs to 2028 (6 Jul 2026).

In the near-term we favor other OWs (AEIS, MKSI) given the magnitude of CY27/28 estimate revisions.”

Disclaimer
The price target and rating on this page are the opinion of the issuing research firm and its analyst, not of Price Target. This page is published for informational purposes only and is not investment advice, a recommendation, or an offer to buy or sell any security. Past performance does not guarantee future results. Consider your own circumstances and consult a licensed financial adviser before making investment decisions.

This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.

Where the price stands

KLAC trades at $130. The 11 analysts who set a target in the last 3 months range from $180 to $275, with a median of $220. This $253 target is 15% above the median.

Since the note KLAC has moved −32% (from $191). 12-month window: day 99 of 365, closes on July 29, 2027.

Track record

This callOpen: KLAC has not reached $253 yet. This 12-month target is scored on July 29, 2027.

Firm track recordMorgan Stanley: 82% of its 49 targets at least a year old were reached within 12 months (#8 of 26 firms). Accuracy ranking →

Earnings reactionOne of 10 notes after KLA’s Jul 28 results: 2 raised · 7 cut · 1 kept. See every call →

Morgan Stanley on KLA

Morgan Stanley price targets on KLA

8 calls from January 30, 2026 to October 29, 2026. The target went from $175.10 to $220 (+26%). The rating stayed Buy.

Morgan Stanley targetKLAC share price
  1. October 29, 2026Target cut from $227 (−3%)Buy$220
  2. October 6, 2026Target cut from $253 (−10%)Buy$227
  3. July 29, 2026 This noteTarget cut from $274 (−8%)Buy$253
  4. July 6, 2026Target raised from $190 (+44%)Buy$274
  5. June 12, 2026Kept the $190 targetBuy$190
  6. April 30, 2026Target raised from $180.90 (+5%)Buy$190
  7. February 25, 2026Target raised from $175.10 (+3%)Buy$180.90
  8. January 30, 2026Earliest call shownBuy$175.10

Targets are adjusted for the 10-for-1 split on Jun 12, 2026, so every call is in the same share terms as this note.

Share

Other analysts on KLA

BernsteinBuy Cut price target −10%, kept rating Oct 29 $225from $250 CantorBuy Cut price target −31%, kept rating Oct 29 $225from $325 UBSHold Cut price target −5%, kept rating Oct 29 $180from $190 SusquehannaHold Cut price target −12%, kept rating Oct 29 $190from $215 JP MorganBuy Raised price target +1%, kept rating Oct 29 $240from $238
Share on
Price Target is an archive of Wall Street analyst research, published for informational purposes only. Nothing on this site is investment advice, a recommendation, or an offer to buy or sell any security. Analyst ratings and price targets are the opinions of the issuing firms, not of Price Target. Always do your own research or consult a licensed financial adviser.