KLA Corp's Stock Plummets Amid Market Weakness
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 29 2025
0mins
Source: Benzinga
KLA Corp's stock has plummeted by 5.19% today, crossing below its 5-day SMA, reflecting a significant decline in investor confidence amid broader market weakness.
The stock's sharp decline is attributed to extreme pessimism regarding its future prospects, as highlighted by a recent report indicating a staggering 90% drop in KLAC's shares over the past week. This has made it the worst performer in both the Nasdaq 100 and S&P 500, raising concerns about its market positioning and future growth potential.
The drastic fluctuations in KLA's stock have drawn widespread investor attention, prompting analysts to reassess the company's outlook. The semiconductor industry is facing challenges, and KLAC's performance may influence overall sentiment in the tech sector.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy KLAC?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on KLAC
Wall Street analysts forecast KLAC stock price to rise
20 Analyst Rating
14 Buy
6 Hold
0 Sell
Moderate Buy
Current: 238.730
Low
1214
Averages
1393
High
1750
Current: 238.730
Low
1214
Averages
1393
High
1750
About KLAC
KLA Corporation (KLA) develops industry equipment and services. The Company provides advanced process control and process-enabling solutions for manufacturing wafers and reticles, integrated circuits, packaging, and printed circuit boards. It operates through three segments, which include Semiconductor Process Control, Specialty Semiconductor Process, and PCB and Component Inspection. The Semiconductor Process Control segment offers a portfolio of inspection, metrology and data analytics products, and related services. The Specialty Semiconductor Process segment develops and sells advanced vacuum deposition and etching process tools. The PCB and Component Inspection segment enables electronic device manufacturers to inspect, test and measure PCBs, flat panel displays, and integrated circuits (ICs) to verify their quality, pattern the desired electronic circuitry on the relevant substrate and perform three-dimensional shaping of metalized circuits on multiple surfaces.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
US Stocks Rise on US-Iran Peace Deal Optimism
- Market Rally: The S&P 500 rose 1.08%, the Dow Jones increased by 0.14%, and the Nasdaq 100 surged 2.48% as optimism over the US-Iran peace deal eased inflation risks, reflecting a positive market sentiment.
- Chip Sector Surge: Intel's stock jumped over 10% after President Trump announced a partnership with Apple to design and produce semiconductors domestically, leading the iShares Semiconductor ETF to rise more than 7%, indicating strong momentum in the tech sector.
- Energy Stocks Weaken: WTI crude oil prices fell to a 3.5-month low, causing significant declines in energy stocks, with SLB, ConocoPhillips, and Halliburton dropping over 3%, highlighting concerns over energy price volatility.
- Supportive Economic Data: Initial jobless claims fell to 226,000, close to the expected 225,000, indicating labor market strength, while the Philadelphia Fed business outlook index rose to 10.3, surpassing expectations, further boosting investor confidence.
See More
US Stocks Surge as Geopolitical Risks Ease
- Market Rebound: The signing of a preliminary deal by President Trump to end the US-Iran war has driven crude oil prices to a 3.5-month low, resulting in a broad market rally with the S&P 500 up 0.99% and the Nasdaq 100 up 2.16%, indicating a resurgence in risk appetite among investors.
- Chip Stocks Lead Gains: Intel shares surged 7% after Trump announced a partnership with Apple to design and produce semiconductors domestically, propelling the entire semiconductor sector higher, with the iShares Semiconductor ETF rising over 5%, reflecting strong investor confidence in tech stocks.
- Energy Stocks Under Pressure: Crude oil prices fell more than 3%, putting pressure on energy producers, with major companies like ExxonMobil and Chevron experiencing declines, highlighting market concerns regarding the energy sector's outlook amid falling oil prices.
- Supportive Economic Data: Initial jobless claims in the US fell to 226,000, close to the expected 225,000, indicating labor market resilience, while the Philadelphia Fed business outlook index rose to 10.3, exceeding expectations, further bolstering market optimism.
See More
US Stocks Surge as Chipmakers Lead Gains Amid Positive Economic News
- Market Rally: Following President Trump's signing of a preliminary US-Iran ceasefire agreement, the S&P 500 rose by 0.73%, the Dow Jones by 0.53%, and the Nasdaq 100 by 1.62%, reflecting a risk-on sentiment in asset markets.
- Chipmaker Surge: Intel's stock jumped 8% after Trump announced a partnership with Apple to design and produce semiconductors domestically, leading the semiconductor sector higher, with the iShares Semiconductor ETF up over 4%.
- Supportive Economic Data: Weekly initial unemployment claims fell by 4,000 to 226,000, close to the expected 225,000, while the Philadelphia Fed business outlook survey rose by 10.7 to 10.3, exceeding expectations and bolstering market confidence.
- Oil Price Decline Impact: WTI crude oil prices dropped over 2% to a new 3.5-month low, potentially releasing over 100 oil-laden tankers stuck in the Persian Gulf, which could increase market supply and influence future oil price trends.
See More
Mixed Performance in US Stock Indices, Chipmakers Lead Gains
- Strong Economic Data: US May retail sales rose 0.9% month-over-month, exceeding expectations of 0.6%, indicating resilient consumer demand that could positively impact future spending and economic recovery.
- Housing Market Recovery: Pending home sales in May increased by 3.8% month-over-month, significantly surpassing the expected 0.9%, marking the largest gain in 20 months, suggesting a rebound in the real estate market that may stimulate growth in related sectors.
- Oil Price Volatility: The agreement between the US and Iran to reopen the Strait of Hormuz has driven crude oil prices down to a 3.5-month low, increasing risk-on sentiment in the market, which may lead investors to reassess the risks and returns of energy-related assets.
- FOMC Meeting Focus: The market anticipates that the Federal Reserve will keep interest rates unchanged, but the press conference by new Chair Kevin Warsh will be pivotal, as investors closely watch his outlook on inflation to guide future investment decisions.
See More
U.S. Stocks Rise, Led by Chipmakers Amid Strong Retail Sales
- Strong Market Performance: The S&P 500 index rose by 0.23%, the Dow Jones Industrial Average increased by 0.26%, and the Nasdaq 100 climbed by 0.74%, reflecting market confidence in economic recovery, particularly driven by strong performances from chipmakers.
- Retail Sales Exceed Expectations: U.S. May retail sales increased by 0.9% month-over-month, surpassing the expected 0.6%, indicating resilient consumer demand that could further stimulate economic growth and influence future monetary policy.
- Oil Price Decline Affects Market Sentiment: The agreement between the U.S. and Iran to reopen the Strait of Hormuz has led to crude oil prices dropping to a 3.5-month low, enhancing risk-on sentiment in the markets and contributing to stock gains.
- FOMC Meeting in Focus: Market participants are closely watching the outcome of the FOMC meeting, where interest rates are expected to remain unchanged, but the guidance from new Chair Kevin Warsh will significantly impact market sentiment.
See More
Latest Wall Street Ratings Overview
- GE Vernova Rating: Bernstein initiates GE Vernova as outperform, citing the potential for U.S. natural gas to displace coal globally, thereby reducing electricity costs and providing reliable power, which could drive the stock price higher.
- NeoVolta Buy Rating: Needham initiates coverage on NeoVolta with a Buy rating and an $8 price target, indicating significant upside potential for the battery company, reflecting strong market demand for its products.
- Nvidia Outlook: Bernstein reiterates Nvidia as outperform, emphasizing the enormous and still early data center market opportunity, suggesting that the company's leadership in technology will continue to drive stock price growth.
- Allegiant Acquisition Boost: Goldman Sachs reinstates Allegiant as a Buy with a $125 price target, believing that the acquisition of Sun Country will provide incremental profitable growth opportunities, enhancing the company's competitive position in the market.
See More
US Stocks Rise on US-Iran Peace Deal Optimism
- Market Rally: The S&P 500 rose 1.08%, the Dow Jones increased by 0.14%, and the Nasdaq 100 surged 2.48% as optimism over the US-Iran peace deal eased inflation risks, reflecting a positive market sentiment.
- Chip Sector Surge: Intel's stock jumped over 10% after President Trump announced a partnership with Apple to design and produce semiconductors domestically, leading the iShares Semiconductor ETF to rise more than 7%, indicating strong momentum in the tech sector.
- Energy Stocks Weaken: WTI crude oil prices fell to a 3.5-month low, causing significant declines in energy stocks, with SLB, ConocoPhillips, and Halliburton dropping over 3%, highlighting concerns over energy price volatility.
- Supportive Economic Data: Initial jobless claims fell to 226,000, close to the expected 225,000, indicating labor market strength, while the Philadelphia Fed business outlook index rose to 10.3, surpassing expectations, further boosting investor confidence.
See More
US Stocks Surge as Geopolitical Risks Ease
- Market Rebound: The signing of a preliminary deal by President Trump to end the US-Iran war has driven crude oil prices to a 3.5-month low, resulting in a broad market rally with the S&P 500 up 0.99% and the Nasdaq 100 up 2.16%, indicating a resurgence in risk appetite among investors.
- Chip Stocks Lead Gains: Intel shares surged 7% after Trump announced a partnership with Apple to design and produce semiconductors domestically, propelling the entire semiconductor sector higher, with the iShares Semiconductor ETF rising over 5%, reflecting strong investor confidence in tech stocks.
- Energy Stocks Under Pressure: Crude oil prices fell more than 3%, putting pressure on energy producers, with major companies like ExxonMobil and Chevron experiencing declines, highlighting market concerns regarding the energy sector's outlook amid falling oil prices.
- Supportive Economic Data: Initial jobless claims in the US fell to 226,000, close to the expected 225,000, indicating labor market resilience, while the Philadelphia Fed business outlook index rose to 10.3, exceeding expectations, further bolstering market optimism.
See More
US Stocks Surge as Chipmakers Lead Gains Amid Positive Economic News
- Market Rally: Following President Trump's signing of a preliminary US-Iran ceasefire agreement, the S&P 500 rose by 0.73%, the Dow Jones by 0.53%, and the Nasdaq 100 by 1.62%, reflecting a risk-on sentiment in asset markets.
- Chipmaker Surge: Intel's stock jumped 8% after Trump announced a partnership with Apple to design and produce semiconductors domestically, leading the semiconductor sector higher, with the iShares Semiconductor ETF up over 4%.
- Supportive Economic Data: Weekly initial unemployment claims fell by 4,000 to 226,000, close to the expected 225,000, while the Philadelphia Fed business outlook survey rose by 10.7 to 10.3, exceeding expectations and bolstering market confidence.
- Oil Price Decline Impact: WTI crude oil prices dropped over 2% to a new 3.5-month low, potentially releasing over 100 oil-laden tankers stuck in the Persian Gulf, which could increase market supply and influence future oil price trends.
See More
Mixed Performance in US Stock Indices, Chipmakers Lead Gains
- Strong Economic Data: US May retail sales rose 0.9% month-over-month, exceeding expectations of 0.6%, indicating resilient consumer demand that could positively impact future spending and economic recovery.
- Housing Market Recovery: Pending home sales in May increased by 3.8% month-over-month, significantly surpassing the expected 0.9%, marking the largest gain in 20 months, suggesting a rebound in the real estate market that may stimulate growth in related sectors.
- Oil Price Volatility: The agreement between the US and Iran to reopen the Strait of Hormuz has driven crude oil prices down to a 3.5-month low, increasing risk-on sentiment in the market, which may lead investors to reassess the risks and returns of energy-related assets.
- FOMC Meeting Focus: The market anticipates that the Federal Reserve will keep interest rates unchanged, but the press conference by new Chair Kevin Warsh will be pivotal, as investors closely watch his outlook on inflation to guide future investment decisions.
See More
U.S. Stocks Rise, Led by Chipmakers Amid Strong Retail Sales
- Strong Market Performance: The S&P 500 index rose by 0.23%, the Dow Jones Industrial Average increased by 0.26%, and the Nasdaq 100 climbed by 0.74%, reflecting market confidence in economic recovery, particularly driven by strong performances from chipmakers.
- Retail Sales Exceed Expectations: U.S. May retail sales increased by 0.9% month-over-month, surpassing the expected 0.6%, indicating resilient consumer demand that could further stimulate economic growth and influence future monetary policy.
- Oil Price Decline Affects Market Sentiment: The agreement between the U.S. and Iran to reopen the Strait of Hormuz has led to crude oil prices dropping to a 3.5-month low, enhancing risk-on sentiment in the markets and contributing to stock gains.
- FOMC Meeting in Focus: Market participants are closely watching the outcome of the FOMC meeting, where interest rates are expected to remain unchanged, but the guidance from new Chair Kevin Warsh will significantly impact market sentiment.
See More
Latest Wall Street Ratings Overview
- GE Vernova Rating: Bernstein initiates GE Vernova as outperform, citing the potential for U.S. natural gas to displace coal globally, thereby reducing electricity costs and providing reliable power, which could drive the stock price higher.
- NeoVolta Buy Rating: Needham initiates coverage on NeoVolta with a Buy rating and an $8 price target, indicating significant upside potential for the battery company, reflecting strong market demand for its products.
- Nvidia Outlook: Bernstein reiterates Nvidia as outperform, emphasizing the enormous and still early data center market opportunity, suggesting that the company's leadership in technology will continue to drive stock price growth.
- Allegiant Acquisition Boost: Goldman Sachs reinstates Allegiant as a Buy with a $125 price target, believing that the acquisition of Sun Country will provide incremental profitable growth opportunities, enhancing the company's competitive position in the market.
See More
