ADBE vs. KLAC: A Head-to-Head Stock Comparison

Updated on July 7, 2025

Here’s a clear look at ADBE and KLAC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ADBE’s market capitalization stands at 161.66 billion USD, while KLAC’s is 122.27 billion USD, indicating their market valuations are broadly comparable.

With betas of 1.54 for ADBE and 1.39 for KLAC, both stocks show similar sensitivity to overall market movements.

Symbol	ADBE	KLAC
Company Name	Adobe Inc.	KLA Corporation
Country	US	US
Sector	Technology	Technology
Industry	Software - Infrastructure	Semiconductors
CEO	Shantanu Narayen	Richard P. Wallace
Price	379.31 USD	924.58 USD
Market Cap	161.66 billion USD	122.27 billion USD
Beta	1.54	1.39
Exchange	NASDAQ	NASDAQ
IPO Date	August 13, 1986	October 8, 1980
ADR	No	No

Historical Performance

This chart compares the performance of ADBE and KLAC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ADBE vs. KLAC: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ADBE

51.65%

Software - Infrastructure Industry

Max: 80.61%
Q3: 29.97%
Median: 2.84%
Q1: -8.35%
Min: -56.26%

In the upper quartile for the Software - Infrastructure industry, ADBE’s Return on Equity of 51.65% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

KLAC

101.82%

Semiconductors Industry

Max: 41.84%
Q3: 15.81%
Median: 6.31%
Q1: -5.54%
Min: -30.12%

KLAC’s Return on Equity of 101.82% is exceptionally high, placing it well beyond the typical range for the Semiconductors industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

ADBE vs. KLAC: A comparison of their ROE against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Return on Invested Capital

ADBE

35.47%

Software - Infrastructure Industry

Max: 39.31%
Q3: 11.97%
Median: 1.67%
Q1: -7.10%
Min: -34.29%

In the upper quartile for the Software - Infrastructure industry, ADBE’s Return on Invested Capital of 35.47% signifies a highly effective use of its capital to generate profits when compared to its peers.

KLAC

36.26%

Semiconductors Industry

Max: 30.91%
Q3: 11.34%
Median: 4.08%
Q1: -2.17%
Min: -19.59%

KLAC’s Return on Invested Capital of 36.26% is exceptionally high, placing it well beyond the typical range for the Semiconductors industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.

ADBE vs. KLAC: A comparison of their ROIC against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Net Profit Margin

ADBE

30.39%

Software - Infrastructure Industry

Max: 46.46%
Q3: 14.65%
Median: 2.66%
Q1: -7.70%
Min: -35.45%

A Net Profit Margin of 30.39% places ADBE in the upper quartile for the Software - Infrastructure industry, signifying strong profitability and more effective cost management than most of its peers.

KLAC

32.00%

Semiconductors Industry

Max: 51.69%
Q3: 19.67%
Median: 8.56%
Q1: -5.44%
Min: -38.60%

A Net Profit Margin of 32.00% places KLAC in the upper quartile for the Semiconductors industry, signifying strong profitability and more effective cost management than most of its peers.

ADBE vs. KLAC: A comparison of their Net Profit Margin against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Operating Profit Margin

ADBE

36.37%

Software - Infrastructure Industry

Max: 48.51%
Q3: 16.56%
Median: 4.48%
Q1: -6.43%
Min: -40.18%

An Operating Profit Margin of 36.37% places ADBE in the upper quartile for the Software - Infrastructure industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

KLAC

40.83%

Semiconductors Industry

Max: 58.03%
Q3: 22.12%
Median: 8.40%
Q1: -3.73%
Min: -36.14%

An Operating Profit Margin of 40.83% places KLAC in the upper quartile for the Semiconductors industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

ADBE vs. KLAC: A comparison of their Operating Margin against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Profitability at a Glance

Symbol	ADBE	KLAC
Return on Equity (TTM)	51.65%	101.82%
Return on Assets (TTM)	24.44%	24.33%
Return on Invested Capital (TTM)	35.47%	36.26%
Net Profit Margin (TTM)	30.39%	32.00%
Operating Profit Margin (TTM)	36.37%	40.83%
Gross Profit Margin (TTM)	89.25%	60.87%

Financial Strength

Current Ratio

ADBE

0.99

Software - Infrastructure Industry

Max: 3.80
Q3: 2.25
Median: 1.51
Q1: 1.10
Min: 0.23

ADBE’s Current Ratio of 0.99 falls into the lower quartile for the Software - Infrastructure industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

KLAC

2.54

Semiconductors Industry

Max: 9.10
Q3: 5.23
Median: 3.09
Q1: 2.49
Min: 1.02

KLAC’s Current Ratio of 2.54 aligns with the median group of the Semiconductors industry, indicating that its short-term liquidity is in line with its sector peers.

ADBE vs. KLAC: A comparison of their Current Ratio against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Debt-to-Equity Ratio

ADBE

0.03

Software - Infrastructure Industry

Max: 2.56
Q3: 1.12
Median: 0.33
Q1: 0.05
Min: 0.00

Falling into the lower quartile for the Software - Infrastructure industry, ADBE’s Debt-to-Equity Ratio of 0.03 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

KLAC

1.52

Semiconductors Industry

Max: 0.97
Q3: 0.46
Median: 0.21
Q1: 0.05
Min: 0.00

With a Debt-to-Equity Ratio of 1.52, KLAC operates with exceptionally high leverage compared to the Semiconductors industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

ADBE vs. KLAC: A comparison of their D/E Ratio against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Interest Coverage Ratio

ADBE

-283.48

Software - Infrastructure Industry

Max: 32.21
Q3: 5.24
Median: 0.95
Q1: -17.99
Min: -50.82

ADBE has a negative Interest Coverage Ratio of -283.48. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

KLAC

15.12

Semiconductors Industry

Max: 36.25
Q3: 29.12
Median: 7.01
Q1: -1.22
Min: -18.18

KLAC’s Interest Coverage Ratio of 15.12 is positioned comfortably within the norm for the Semiconductors industry, indicating a standard and healthy capacity to cover its interest payments.

ADBE vs. KLAC: A comparison of their Interest Coverage against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Financial Strength at a Glance

Symbol	ADBE	KLAC
Current Ratio (TTM)	0.99	2.54
Quick Ratio (TTM)	0.99	1.74
Debt-to-Equity Ratio (TTM)	0.03	1.52
Debt-to-Asset Ratio (TTM)	0.01	0.40
Net Debt-to-EBITDA Ratio (TTM)	-0.52	0.87
Interest Coverage Ratio (TTM)	-283.48	15.12

Growth

The following charts compare key year-over-year (YoY) growth metrics for ADBE and KLAC. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ADBE vs. KLAC: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ADBE vs. KLAC: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ADBE vs. KLAC: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ADBE

0.00%

Software - Infrastructure Industry

Max: 4.07%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

ADBE currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

KLAC

0.73%

Semiconductors Industry

Max: 6.48%
Q3: 0.93%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

KLAC’s Dividend Yield of 0.73% is consistent with its peers in the Semiconductors industry, providing a dividend return that is standard for its sector.

ADBE vs. KLAC: A comparison of their Dividend Yield against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Dividend Payout Ratio

ADBE

0.00%

Software - Infrastructure Industry

Max: 48.68%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

ADBE has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

KLAC

22.95%

Semiconductors Industry

Max: 204.29%
Q3: 31.85%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

KLAC’s Dividend Payout Ratio of 22.95% is within the typical range for the Semiconductors industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ADBE vs. KLAC: A comparison of their Payout Ratio against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Dividend at a Glance

Symbol	ADBE	KLAC
Dividend Yield (TTM)	0.00%	0.73%
Dividend Payout Ratio (TTM)	0.00%	22.95%

Valuation

Price-to-Earnings Ratio

ADBE

23.86

Software - Infrastructure Industry

Max: 107.77
Q3: 54.40
Median: 28.10
Q1: 18.03
Min: 5.32

ADBE’s P/E Ratio of 23.86 is within the middle range for the Software - Infrastructure industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

KLAC

33.18

Semiconductors Industry

Max: 86.15
Q3: 47.38
Median: 27.87
Q1: 18.89
Min: 4.73

KLAC’s P/E Ratio of 33.18 is within the middle range for the Semiconductors industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ADBE vs. KLAC: A comparison of their P/E Ratio against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Forward P/E to Growth Ratio

ADBE

2.57

Software - Infrastructure Industry

Max: 8.12
Q3: 3.94
Median: 2.13
Q1: 0.94
Min: 0.01

ADBE’s Forward PEG Ratio of 2.57 is within the middle range of its peers in the Software - Infrastructure industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

KLAC

2.67

Semiconductors Industry

Max: 4.73
Q3: 2.80
Median: 1.11
Q1: 0.68
Min: 0.01

The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.

ADBE vs. KLAC: A comparison of their Forward PEG Ratio against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Price-to-Sales Ratio

ADBE

7.15

Software - Infrastructure Industry

Max: 18.25
Q3: 9.05
Median: 4.77
Q1: 2.30
Min: 0.11

ADBE’s P/S Ratio of 7.15 aligns with the market consensus for the Software - Infrastructure industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

KLAC

10.59

Semiconductors Industry

Max: 21.96
Q3: 10.21
Median: 4.45
Q1: 2.32
Min: 0.48

KLAC’s P/S Ratio of 10.59 is in the upper echelon for the Semiconductors industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ADBE vs. KLAC: A comparison of their P/S Ratio against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Price-to-Book Ratio

ADBE

14.31

Software - Infrastructure Industry

Max: 19.94
Q3: 10.91
Median: 6.33
Q1: 2.95
Min: 0.51

The P/B Ratio is often not a primary valuation metric for the Software - Infrastructure industry.

KLAC

30.62

Semiconductors Industry

Max: 13.12
Q3: 6.49
Median: 3.31
Q1: 1.74
Min: 0.23

At 30.62, KLAC’s P/B Ratio is at an extreme premium to the Semiconductors industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

ADBE vs. KLAC: A comparison of their P/B Ratio against their respective Software - Infrastructure and Semiconductors industry benchmarks.

Valuation at a Glance

Symbol	ADBE	KLAC
Price-to-Earnings Ratio (P/E, TTM)	23.86	33.18
Forward PEG Ratio (TTM)	2.57	2.67
Price-to-Sales Ratio (P/S, TTM)	7.15	10.59
Price-to-Book Ratio (P/B, TTM)	14.31	30.62
Price-to-Free Cash Flow Ratio (P/FCF, TTM)	17.13	34.80
EV-to-EBITDA (TTM)	18.02	25.94
EV-to-Sales (TTM)	6.95	10.95