KLA Sheds $24 Billion in Value in Two Days as $4 Billion Revenue Forecast Fails to Reassure Investors

KLA Corporation shed around $24.2 billion in market capitalization over two sessions. Shares dropped 3.9% to $187.27 on Wednesday, following a 5.3% decline on Tuesday.

KLA · NASDAQ:KLAC

A strong guide meets a sharp re-rating.

Market close
August 19, 2026 · 4:00 PM EDT
Closing price
$187.27
▼ $7.52 · 3.86%
Two days-8.98%
Market cap$244.68B
Trailing P/E51.1×

The two-session valuation reset

Mon$205.76Tue$194.79Wed · $187.27 -$24.2Bestimated market value

Wall Street target range

Low
$165
Close
$187.27
Median
$230
Average
$231.78
High
$325

Median upside: 22.8% · Consensus: Buy · 29 analysts

Operating proof points

Q4 revenue$3.66B+15.2% YoY
Q1 guide midpoint$4.00B+9.4% QoQ
Q4 free cash flow$817M22.3% margin

Fiscal 2027 consensus calls for 33.3% revenue growth and 44.9% adjusted EPS growth.

What can move the stock next

Rate sensitivityBond yieldsA 51× multiple magnifies discount-rate moves.
Sector catalystNvidia resultsAI demand can reset equipment expectations.
Execution test$3.8B–$4.2BSeptember-quarter revenue guidance range.
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