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KLAC vs. TXN: KLA vs. Texas Instruments Stock Comparison

How do KLA (KLAC) and Texas Instruments (TXN) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

KLA (KLAC) and Texas Instruments (TXN) both belong to the Semiconductors & Semiconductor Equipment industry, though KLAC is classified under Semiconductor Materials & Equipment while TXN falls under Semiconductors.

Company profile comparison for KLA (KLAC) and Texas Instruments (TXN)
Profile ItemKLACTXN
NameKLA CorporationTexas Instruments Inc.
Country/RegionUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSemiconductors & Semiconductor EquipmentSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor EquipmentSemiconductors & Semiconductor Equipment
GICS Sub-IndustrySemiconductor Materials & EquipmentSemiconductors
Market Capitalization180.45 billion USD253.58 billion USD
CurrencyUSDUSD
ExchangeNasdaqNasdaq
Listing DateOctober 8, 1980June 1, 1972
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

KLAC
TXN
GSPC
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KLA (KLAC) vs. Texas Instruments (TXN), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for KLA (KLAC) and Texas Instruments (TXN). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for KLA (KLAC) and Texas Instruments (TXN). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
Total Return (1Y)26.92%86.19%
Total Return (3Y, Annualized)44.97%30.37%
Total Return (5Y, Annualized)30.55%12.03%

Risk Profile

Drawdown History

KLAC
TXN
GSPC
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KLA (KLAC) vs. Texas Instruments (TXN), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for KLA (KLAC) and Texas Instruments (TXN). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
Volatility (1Y, Annualized)63.92%44.27%
Beta (5Y)1.511.40
Max Drawdown (5Y)-56.93%-33.41%
Avg. Volume (3M)10.66M6.57M

Risk-Adjusted Performance

Risk-Return Positioning

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KLAC and TXN are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
Sharpe Ratio (1Y)0.351.85
Sortino Ratio (1Y)0.503.15

Profitability

ROE (TTM)

Both companies show strong equity returns, but KLA (KLAC) at 91.38% is the standout with ROE above its industry range; Texas Instruments (TXN) at 39.72% also sits in the top quartile.

KLAC

Semiconductors & Semiconductor Equipment industry group

91.38%

KLAC
91.38%
Max
52.82%
Q3
22.26%
Median
10.58%
Q1
1.29%
Min
-16.89%

TXN

Semiconductors & Semiconductor Equipment industry group

39.72%

Max
52.82%
TXN
39.72%
Q3
22.26%
Median
10.58%
Q1
1.29%
Min
-16.89%
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their ROE against the Semiconductors & Semiconductor Equipment industry group benchmark.

Net Margin (TTM)

For every dollar of sales, both KLA (KLAC) at 36.25% and Texas Instruments (TXN) at 34.25% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

KLAC

Semiconductors & Semiconductor Equipment industry group

36.25%

Max
63.80%
KLAC
36.25%
Q3
28.36%
Median
11.44%
Q1
0.90%
Min
-37.77%

TXN

Semiconductors & Semiconductor Equipment industry group

34.25%

Max
63.80%
TXN
34.25%
Q3
28.36%
Median
11.44%
Q1
0.90%
Min
-37.77%
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their net margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Operating Margin (TTM)

Both KLA (KLAC) at 45.01% and Texas Instruments (TXN) at 47.55% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

KLAC

Semiconductors & Semiconductor Equipment industry group

45.01%

Max
58.66%
KLAC
45.01%
Q3
30.23%
Median
15.91%
Q1
7.54%
Min
-25.74%

TXN

Semiconductors & Semiconductor Equipment industry group

47.55%

Max
58.66%
TXN
47.55%
Q3
30.23%
Median
15.91%
Q1
7.54%
Min
-25.74%
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their operating margin against the Semiconductors & Semiconductor Equipment industry group benchmark.

Profitability Metrics

Profitability metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
ROE (TTM)91.38%39.72%
ROA (TTM)22.27%14.85%
Net Margin (TTM)36.25%34.25%
Operating Margin (TTM)45.01%47.55%
Gross Margin (TTM)61.47%60.24%

Growth

Revenue Growth

Both KLA (KLAC) at 11.71% and Texas Instruments (TXN) at 13.05% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their Revenue Growth across different time periods.

EPS Growth

Both KLA (KLAC) at 20.51% and Texas Instruments (TXN) at 4.81% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
Revenue Growth (YoY)11.71%13.05%
Revenue Growth (3Y CAGR)8.96%-4.07%
EPS Growth (YoY)20.51%4.81%
EPS Growth (3Y CAGR)14.87%-16.64%

Financial Strength

Current Ratio (MRQ)

Both KLA (KLAC) at 2.76 and Texas Instruments (TXN) at 5.60 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.

KLAC

Semiconductors & Semiconductor Equipment industry group

2.76

Max
10.33
Q3
5.62
Median
3.33
KLAC
2.76
Q1
2.35
Min
1.03

TXN

Semiconductors & Semiconductor Equipment industry group

5.60

Max
10.33
Q3
5.62
TXN
5.60
Median
3.33
Q1
2.35
Min
1.03
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their current ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Debt / Equity (MRQ)

Both KLA (KLAC) at 0.92 and Texas Instruments (TXN) at 0.71 lean more heavily on debt funding than most peers, landing in the higher-leverage quartile of their industries.

KLAC

Semiconductors & Semiconductor Equipment industry group

0.92

Max
1.46
KLAC
0.92
Q3
0.65
Median
0.27
Q1
0.04
Min
0.00

TXN

Semiconductors & Semiconductor Equipment industry group

0.71

Max
1.46
TXN
0.71
Q3
0.65
Median
0.27
Q1
0.04
Min
0.00
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their debt-to-equity ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Financial Strength Metrics

Financial strength metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
Current Ratio (MRQ)2.765.60
Debt / Equity (MRQ)0.920.71
Net Debt / EBITDA0.190.51

Dividends

Dividend Yield (TTM)

KLA (KLAC) at 0.65% pays an industry-typical yield; Texas Instruments (TXN) at 2.04% is above its entire peer range — the higher number, but one that calls for a look at payout sustainability before treating it as an advantage.

KLAC

Semiconductors & Semiconductor Equipment industry group

0.65%

Max
1.37%
Q3
0.65%
KLAC
0.65%
Median
0.00%
Q1
0.00%
Min
0.00%

TXN

Semiconductors & Semiconductor Equipment industry group

2.04%

TXN
2.04%
Max
1.37%
Q3
0.65%
Median
0.00%
Q1
0.00%
Min
0.00%
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their dividend yield against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Payout Ratio (TTM)

KLA (KLAC) at 21.03% keeps its payout in the industry’s typical band, while Texas Instruments (TXN) at 73.67% pays out more than any of its peers — the most stretched cover in its group.

KLAC

Semiconductors & Semiconductor Equipment industry group

21.03%

Max
49.64%
Q3
21.71%
KLAC
21.03%
Median
0.00%
Q1
0.00%
Min
0.00%

TXN

Semiconductors & Semiconductor Equipment industry group

73.67%

TXN
73.67%
Max
49.64%
Q3
21.71%
Median
0.00%
Q1
0.00%
Min
0.00%
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their payout ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Dividend Metrics

Dividend metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
Dividend Yield (TTM)0.65%2.04%
Dividend Payout Ratio (TTM)21.03%73.67%

Valuation

P/E Ratio (TTM)

Both KLA (KLAC) at 34.71 and Texas Instruments (TXN) at 35.97 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

KLAC

Semiconductors & Semiconductor Equipment industry group

34.71

Max
110.34
Q3
66.81
Median
37.02
KLAC
34.71
Q1
23.96
Min
8.12

TXN

Semiconductors & Semiconductor Equipment industry group

35.97

Max
110.34
Q3
66.81
Median
37.02
TXN
35.97
Q1
23.96
Min
8.12
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their P/E ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/S Ratio (TTM)

Texas Instruments (TXN) at 12.21 is priced about in line with its industry on P/S ratio, while KLA (KLAC) at 12.44 sits in the pricier quartile — KLAC costs more per dollar of sales.

KLAC

Semiconductors & Semiconductor Equipment industry group

12.44

Max
21.42
KLAC
12.44
Q3
12.27
Median
5.76
Q1
2.73
Min
0.00

TXN

Semiconductors & Semiconductor Equipment industry group

12.21

Max
21.42
Q3
12.27
TXN
12.21
Median
5.76
Q1
2.73
Min
0.00
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their P/S ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Texas Instruments (TXN) at 13.21 sits in the upper P/B ratio quartile, and KLA (KLAC) at 27.67 prices even higher, above its industry range.

KLAC

Semiconductors & Semiconductor Equipment industry group

27.67

KLAC
27.67
Max
14.06
Q3
7.44
Median
4.29
Q1
2.30
Min
0.20

TXN

Semiconductors & Semiconductor Equipment industry group

13.21

Max
14.06
TXN
13.21
Q3
7.44
Median
4.29
Q1
2.30
Min
0.20
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KLA (KLAC) vs. Texas Instruments (TXN): A comparison of their P/B ratio against the Semiconductors & Semiconductor Equipment industry group benchmark.

Valuation Metrics

Valuation metrics for KLA (KLAC) and Texas Instruments (TXN)
MetricKLACTXN
P/E Ratio (TTM)34.7135.97
P/S Ratio (TTM)12.4412.21
P/B Ratio (MRQ)27.6713.21
Free Cash Flow Yield (TTM)1.56%1.88%