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

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

Company Profile

SymbolITKLAC
Company NameGartner, Inc.KLA Corporation
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryIT ServicesSemiconductors & Semiconductor Equipment
Market Capitalization18.66 billion USD117.30 billion USD
ExchangeNYSENasdaqGS
Listing DateOctober 5, 1993October 8, 1980
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of IT 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.

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

Historical Performance at a Glance

SymbolITKLAC
5-Day Price Return0.69%1.89%
13-Week Price Return-44.62%12.65%
26-Week Price Return-49.51%17.84%
52-Week Price Return-48.92%11.25%
Month-to-Date Return-27.25%1.12%
Year-to-Date Return-49.15%41.07%
10-Day Avg. Volume1.61M0.94M
3-Month Avg. Volume1.00M1.08M
3-Month Volatility59.92%33.07%
Beta1.201.48

Profitability

Return on Equity (TTM)

IT

92.80%

IT Services Industry

Max
29.51%
Q3
16.98%
Median
13.47%
Q1
7.93%
Min
-3.97%

IT’s Return on Equity of 92.80% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

KLAC

102.56%

Semiconductors & Semiconductor Equipment Industry

Max
52.74%
Q3
23.49%
Median
11.60%
Q1
3.23%
Min
-20.69%

KLAC’s Return on Equity of 102.56% is exceptionally high, placing it well beyond the typical range for the Semiconductors & Semiconductor Equipment industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

IT vs. KLAC: A comparison of their Return on Equity (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Net Profit Margin (TTM)

IT

19.71%

IT Services Industry

Max
19.82%
Q3
11.49%
Median
6.67%
Q1
3.61%
Min
-4.62%

A Net Profit Margin of 19.71% places IT in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.

KLAC

33.41%

Semiconductors & Semiconductor Equipment Industry

Max
44.17%
Q3
22.38%
Median
11.95%
Q1
3.21%
Min
-25.16%

A Net Profit Margin of 33.41% places KLAC in the upper quartile for the Semiconductors & Semiconductor Equipment industry, signifying strong profitability and more effective cost management than most of its peers.

IT vs. KLAC: A comparison of their Net Profit Margin (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Operating Profit Margin (TTM)

IT

18.20%

IT Services Industry

Max
21.69%
Q3
14.50%
Median
10.06%
Q1
6.98%
Min
0.06%

An Operating Profit Margin of 18.20% places IT in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

KLAC

39.28%

Semiconductors & Semiconductor Equipment Industry

Max
58.03%
Q3
27.84%
Median
12.45%
Q1
5.15%
Min
-28.61%

An Operating Profit Margin of 39.28% places KLAC in the upper quartile for the Semiconductors & Semiconductor Equipment industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

IT vs. KLAC: A comparison of their Operating Profit Margin (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Profitability at a Glance

SymbolITKLAC
Return on Equity (TTM)92.80%102.56%
Return on Assets (TTM)15.25%26.23%
Net Profit Margin (TTM)19.71%33.41%
Operating Profit Margin (TTM)18.20%39.28%
Gross Profit Margin (TTM)67.96%61.99%

Financial Strength

Current Ratio (MRQ)

IT

1.11

IT Services Industry

Max
2.42
Q3
1.81
Median
1.47
Q1
1.09
Min
0.44

IT’s Current Ratio of 1.11 aligns with the median group of the IT Services industry, indicating that its short-term liquidity is in line with its sector peers.

KLAC

2.62

Semiconductors & Semiconductor Equipment Industry

Max
8.42
Q3
4.70
Median
2.75
Q1
2.07
Min
1.04

KLAC’s Current Ratio of 2.62 aligns with the median group of the Semiconductors & Semiconductor Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

IT vs. KLAC: A comparison of their Current Ratio (MRQ) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

IT

1.61

IT Services Industry

Max
2.33
Q3
1.17
Median
0.54
Q1
0.15
Min
0.00

IT’s leverage is in the upper quartile of the IT Services industry, with a Debt-to-Equity Ratio of 1.61. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

KLAC

1.25

Semiconductors & Semiconductor Equipment Industry

Max
1.09
Q3
0.45
Median
0.22
Q1
0.01
Min
0.00

With a Debt-to-Equity Ratio of 1.25, KLAC operates with exceptionally high leverage compared to the Semiconductors & Semiconductor Equipment industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

IT vs. KLAC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Interest Coverage Ratio (TTM)

IT

20.97

IT Services Industry

Max
144.50
Q3
84.49
Median
13.76
Q1
2.59
Min
-28.13

IT’s Interest Coverage Ratio of 20.97 is positioned comfortably within the norm for the IT Services industry, indicating a standard and healthy capacity to cover its interest payments.

KLAC

38.22

Semiconductors & Semiconductor Equipment Industry

Max
174.00
Q3
81.10
Median
27.22
Q1
7.28
Min
-4.26

KLAC’s Interest Coverage Ratio of 38.22 is positioned comfortably within the norm for the Semiconductors & Semiconductor Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

IT vs. KLAC: A comparison of their Interest Coverage Ratio (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Financial Strength at a Glance

SymbolITKLAC
Current Ratio (MRQ)1.112.62
Quick Ratio (MRQ)1.071.78
Debt-to-Equity Ratio (MRQ)1.611.25
Interest Coverage Ratio (TTM)20.9738.22

Growth

Revenue Growth

IT vs. KLAC: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

IT vs. KLAC: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

IT

0.00%

IT Services Industry

Max
2.80%
Q3
1.74%
Median
0.62%
Q1
0.00%
Min
0.00%

IT 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

0.78%

Semiconductors & Semiconductor Equipment Industry

Max
4.16%
Q3
1.78%
Median
0.74%
Q1
0.00%
Min
0.00%

KLAC’s Dividend Yield of 0.78% is consistent with its peers in the Semiconductors & Semiconductor Equipment industry, providing a dividend return that is standard for its sector.

IT vs. KLAC: A comparison of their Dividend Yield (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Dividend Payout Ratio (TTM)

IT

0.00%

IT Services Industry

Max
147.75%
Q3
63.58%
Median
24.63%
Q1
0.00%
Min
0.00%

IT 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

22.27%

Semiconductors & Semiconductor Equipment Industry

Max
196.12%
Q3
87.72%
Median
26.57%
Q1
0.00%
Min
0.00%

KLAC’s Dividend Payout Ratio of 22.27% is within the typical range for the Semiconductors & Semiconductor Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

IT vs. KLAC: A comparison of their Dividend Payout Ratio (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Dividend at a Glance

SymbolITKLAC
Dividend Yield (TTM)0.00%0.78%
Dividend Payout Ratio (TTM)0.00%22.27%

Valuation

Price-to-Earnings Ratio (TTM)

IT

14.62

IT Services Industry

Max
41.55
Q3
31.54
Median
23.25
Q1
18.12
Min
6.57

In the lower quartile for the IT Services industry, IT’s P/E Ratio of 14.62 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

KLAC

28.39

Semiconductors & Semiconductor Equipment Industry

Max
109.37
Q3
57.11
Median
28.95
Q1
22.13
Min
11.14

KLAC’s P/E Ratio of 28.39 is within the middle range for the Semiconductors & Semiconductor Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

IT vs. KLAC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Price-to-Sales Ratio (TTM)

IT

2.88

IT Services Industry

Max
6.61
Q3
4.37
Median
2.02
Q1
1.20
Min
0.19

IT’s P/S Ratio of 2.88 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

KLAC

9.48

Semiconductors & Semiconductor Equipment Industry

Max
16.09
Q3
10.10
Median
4.82
Q1
2.60
Min
0.93

KLAC’s P/S Ratio of 9.48 aligns with the market consensus for the Semiconductors & Semiconductor Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

IT vs. KLAC: A comparison of their Price-to-Sales Ratio (TTM) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Price-to-Book Ratio (MRQ)

IT

20.30

IT Services Industry

Max
11.19
Q3
6.38
Median
3.47
Q1
2.31
Min
0.96

At 20.30, IT’s P/B Ratio is at an extreme premium to the IT Services 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.

KLAC

25.24

Semiconductors & Semiconductor Equipment Industry

Max
13.56
Q3
6.75
Median
3.68
Q1
1.89
Min
0.60

At 25.24, KLAC’s P/B Ratio is at an extreme premium to the Semiconductors & Semiconductor Equipment 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.

IT vs. KLAC: A comparison of their Price-to-Book Ratio (MRQ) against their respective IT Services and Semiconductors & Semiconductor Equipment industry benchmarks.

Valuation at a Glance

SymbolITKLAC
Price-to-Earnings Ratio (TTM)14.6228.39
Price-to-Sales Ratio (TTM)2.889.48
Price-to-Book Ratio (MRQ)20.3025.24
Price-to-Free Cash Flow Ratio (TTM)12.2430.81