0.66 | 1.20%
KLA-TENCOR CORP's gross profit margin for the third quarter of its fiscal year 2013 is essentially unchanged when compared to the same period a year ago. Sales and net income have dropped, however the growth has outpaced the average competitor within the industry. KLA-TENCOR CORP is extremely liquid. Currently, the Quick Ratio is 4.07 which clearly shows the ability to cover any short-term cash needs. KLAC managed to increase the liquidity from the same period a year ago, despite already having very strong liquidity to begin with. This would indicate improved cash flow.
During the same period, stockholders' equity ("net worth") has increased by 9.10% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.
| Income Statement | Q3 FY13 | Q3 FY12 |
|---|---|---|
| Net Sales ($mil) | 729.03 | 840.52 |
| EBITDA ($mil) | 226.26 | 306.67 |
| EBIT ($mil) | 205.09 | 284.27 |
| Net Income ($mil) | 166.38 | 205.35 |
| Balance Sheet | Q3 FY13 | Q3 FY12 |
|---|---|---|
| Cash & Equiv. ($mil) | 2879.5 | 2369.74 |
| Total Assets ($mil) | 5194.47 | 4933.2 |
| Total Debt ($mil) | 747.24 | 746.7 |
| Equity ($mil) | 3446.38 | 3158.77 |
| Profitability | Q3 FY13 | Q3 FY12 |
|---|---|---|
| Gross Profit Margin | 60.55 | 60.41 |
| EBITDA Margin | 31.03 | 36.48 |
| Operating Margin | 28.13 | 33.82 |
| Sales Turnover | 0.58 | 0.64 |
| Return on Assets | 12.63 | 15.26 |
| Return on Equity | 19.04 | 23.84 |
| Debt | Q3 FY13 | Q3 FY12 |
|---|---|---|
| Current Ratio | 5.2 | 4.57 |
| Debt/Capital | 0.18 | 0.19 |
| Interest Expense | 13.47 | 13.51 |
| Interest Coverage | 15.23 | 21.05 |
| Share Data | Q3 FY13 | Q3 FY12 |
|---|---|---|
| Shares outstanding (mil) | 165.89 | 167.33 |
| Div / share | 0.4 | 0.35 |
| EPS | 0.98 | 1.21 |
| Book value / share | 20.78 | 18.88 |
| Institutional Own % | n/a | n/a |
| Avg Daily Volume | 2050475.0 | 2068665.0 |
BUY. This stock's P/E ratio indicates a discount compared to an average of 23.12 for the Semiconductors & Semiconductor Equipment industry and a discount compared to the S&P 500 average of 18.80. To use another comparison, its price-to-book ratio of 2.61 indicates valuation on par with the S&P 500 average of 2.40 and a discount versus the industry average of 3.24. The price-to-sales ratio is well above the S&P 500 average, but well below the industry average. Upon assessment of these and other key valuation criteria, KLA-TENCOR CORP proves to trade at a discount to investment alternatives within the industry.
| Price/Earnings |
|
Price/Cash Flow |
| |||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| KLAC 14.01 | Peers 23.12 | KLAC 8.88 | Peers 21.62 | |||||||||||||||||||||
|
Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations. KLAC is trading at a significant discount to its peers. |
Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. KLAC is trading at a significant discount to its peers. |
|||||||||||||||||||||||
| Price/Projected Earnings |
|
Price to Earnings/Growth |
|
|||||||||||||||||||||
| KLAC 12.86 | Peers 21.55 | KLAC NM | Peers 2.42 | |||||||||||||||||||||
|
Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations. KLAC is trading at a discount to its peers. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. KLAC's negative PEG ratio makes this valuation measure meaningless. |
|||||||||||||||||||||||
| Price/Book |
|
Earnings Growth |
|
|||||||||||||||||||||
| KLAC 2.61 | Peers 3.24 | KLAC -12.65 | Peers -18.71 | |||||||||||||||||||||
|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. KLAC is trading at a discount to its peers. |
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. KLAC is expected to have an earnings growth rate that significantly exceeds its peers. |
|||||||||||||||||||||||
| Price/Sales |
|
Sales Growth |
|
|||||||||||||||||||||
| KLAC 2.98 | Peers 3.53 | KLAC -4.95 | Peers 3.54 | |||||||||||||||||||||
|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. KLAC is trading at a discount to its industry on this measurement. |
Lower. A sales growth rate that trails the industry implies that a company is losing market share. KLAC significantly trails its peers on the basis of sales growth |
|||||||||||||||||||||||
