Report
Abhinav Davuluri
EUR 100.00 For Business Accounts Only

KLA-Tencor Poised to Outperform Wafer Fab Equipment Peers in 2019; Shares Remain Undervalued

We are adding KLA-Tencor to the Best Ideas list as we remain positive on the wafer fabrication equipment market heading into 2019. Investments by major foundry and logic customers such as TSMC and Intel for their respective 7- and 10-nanometer-related process technologies will require more complex tools from KLA in process diagnostic and control, or PDC. Meanwhile, we believe domestic Chinese chipmakers typically do not possess the intellectual property and engineering talent found at cutting-ed...
Underlying
KLA Corporation

KLA is a supplier of process control and yield management solutions for the semiconductor and related nanoelectronics industries. The company provides process control and process-enabling solutions for manufacturing and testing wafers and reticles, integrated circuits, packaging, light emitting diodes, power devices, compound semiconductor devices, microelectromechanical systems, data storage, printed circuit boards (PCBs), and flat and flexible panel displays, as well as general materials research. The company has four reportable segments which include Semiconductor Process Control; Specialty Semiconductor Process; PCB, Display and Component Inspection; and Other.

Provider
Morningstar
Morningstar

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors.

Morningstar provides data on approximately 530,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 18 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries and had approximately $185 billion in assets under advisement and management as of June 30, 2016.

We have operations in 27 countries.

Analysts
Abhinav Davuluri

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