Stock Analysis on Net
Stock Analysis on Net

KLA Corp. (NASDAQ:KLAC)

Enterprise Value to EBITDA (EV/EBITDA)

Microsoft Excel

Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)

KLA Corp., EBITDA calculation

US$ in thousands

Microsoft Excel
12 months ended: Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021 Jun 30, 2020 Jun 30, 2019
Net income attributable to KLA 2,761,896 3,387,277 3,321,807 2,078,292 1,216,785 1,175,617
Add: Net income attributable to noncontrolling interest — 74 253 (939) (1,760) (600)
Add: Income tax expense 428,136 401,839 167,177 283,101 101,686 121,214
Earnings before tax (EBT) 3,190,032 3,789,190 3,489,237 2,360,454 1,316,711 1,296,231
Add: Interest expense 311,253 296,940 160,339 157,328 160,274 124,604
Earnings before interest and tax (EBIT) 3,501,285 4,086,130 3,649,576 2,517,782 1,476,985 1,420,835
Add: Depreciation and amortization 401,730 415,113 363,344 333,335 348,049 233,224
Earnings before interest, tax, depreciation and amortization (EBITDA) 3,903,015 4,501,243 4,012,920 2,851,117 1,825,034 1,654,059

Based on: 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30).

Item Description The company
EBITDA To calculate EBITDA analysts start with net earnings. To that earnings number, interest, taxes, depreciation, and amortization are added. EBITDA as a pre-interest number is a flow to all providers of capital. KLA Corp. EBITDA increased from 2022 to 2023 but then decreased significantly from 2023 to 2024.

Enterprise Value to EBITDA Ratio, Current

KLA Corp., current EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Selected Financial Data (US$ in thousands)
Enterprise value (EV) 84,476,681
Earnings before interest, tax, depreciation and amortization (EBITDA) 3,903,015
Valuation Ratio
EV/EBITDA 21.64
Benchmarks
EV/EBITDA, Competitors1
Advanced Micro Devices Inc. 54.81
Analog Devices Inc. 17.92
Applied Materials Inc. 16.34
Broadcom Inc. 38.79
First Solar Inc. 15.29
Intel Corp. 11.83
Lam Research Corp. 18.23
Micron Technology Inc. 11.87
NVIDIA Corp. 100.72
Qualcomm Inc. 14.47
Texas Instruments Inc. 20.65
EV/EBITDA, Sector
Semiconductors & Semiconductor Equipment 63.61
EV/EBITDA, Industry
Information Technology 36.39

Based on: 10-K (reporting date: 2024-06-30).

1 Click competitor name to see calculations.

If the company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.
Otherwise, if the company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.

Enterprise Value to EBITDA Ratio, Historical

KLA Corp., historical EV/EBITDA calculation, comparison to benchmarks

Microsoft Excel
Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021 Jun 30, 2020 Jun 30, 2019
Selected Financial Data (US$ in thousands)
Enterprise value (EV)1 96,691,454 70,524,992 60,067,875 54,916,007 33,040,138 23,380,502
Earnings before interest, tax, depreciation and amortization (EBITDA)2 3,903,015 4,501,243 4,012,920 2,851,117 1,825,034 1,654,059
Valuation Ratio
EV/EBITDA3 24.77 15.67 14.97 19.26 18.10 14.14
Benchmarks
EV/EBITDA, Competitors4
Advanced Micro Devices Inc. — 65.81 22.63 34.19 62.10 82.59
Analog Devices Inc. — 15.56 16.23 38.55 23.61 18.67
Applied Materials Inc. — 15.75 11.04 17.54 16.82 14.60
Broadcom Inc. — 26.42 13.54 19.72 18.89 16.32
First Solar Inc. — 11.52 53.82 7.64 12.99 32.49
Intel Corp. — 18.96 6.20 6.02 6.40 8.73
Lam Research Corp. 20.93 15.36 11.36 16.94 18.35 10.69
Micron Technology Inc. 12.40 32.38 3.26 6.05 6.46 3.90
NVIDIA Corp. 46.95 95.69 57.58 58.98 52.92 21.08
Qualcomm Inc. 15.19 12.82 7.84 12.76 19.49 10.55
Texas Instruments Inc. — 16.36 14.69 15.54 21.75 17.73
EV/EBITDA, Sector
Semiconductors & Semiconductor Equipment — 26.35 14.60 15.47 14.72 11.61
EV/EBITDA, Industry
Information Technology — 23.65 18.58 20.64 19.71 14.59

Based on: 10-K (reporting date: 2024-06-30), 10-K (reporting date: 2023-06-30), 10-K (reporting date: 2022-06-30), 10-K (reporting date: 2021-06-30), 10-K (reporting date: 2020-06-30), 10-K (reporting date: 2019-06-30).

1 See details »

2 See details »

3 2024 Calculation
EV/EBITDA = EV ÷ EBITDA
= 96,691,454 ÷ 3,903,015 = 24.77

4 Click competitor name to see calculations.

Valuation ratio Description The company
EV/EBITDA Enterprise value to earnings before interest, tax, depreciation and amortization is a valuation indicator for the overall company rather than common stock. KLA Corp. EV/EBITDA ratio increased from 2022 to 2023 and from 2023 to 2024.