BofA Securities analyst Vivek Arya previewed fourth-quarter earnings for semiconductor capital equipment (semicap), where reporting kicks off with ASML Holding ASML, Lam Research Corp LRCX on January 29 and KLA Corp KLAC on January 30.
Over the weekend, Chinese artificial intelligence (AI) start-up DeepSeek announced that, since December, it has been operating a new open-source, free-to-use large language model (LLM), and the news is shaking up the AI ecosystem.
KLAC is expected to benefit from strong demand in wafer inspection and advanced packaging growth despite lower sales in China.
KLA (KLAC) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Shares of semiconductor equipment giants rallied big on Thursday, with Applied Materials (AMAT 4.66%), Lam Research (LRCX 4.12%), and KLA Corporation (KLAC 4.34%) jumping 4.5%, 4%, and 4.3%.
KLA Corporation KLAC shares are ripping higher on Thursday. They are trading in sympathy with Taiwan Semiconductor Manufacturing Company Limited TSM, which reported earnings ahead of estimates.
KLA faces weakness in key markets and soft semiconductor demand.
AI and high-performance computing drive advanced logic and DRAM shrink showcased by TSMC's N2 node, increasing the need for KLA's process control, metrology systems, and computational analytics. Advanced packaging for AI applications provides an excellent opportunity for KLAC, with TSMC and other foundries looking to drastically expand capacity. The push for zero-defect semiconductors and SiC is crucial for the automotive sector and autonomous driving, increasing demand for the Company's process control and inspection tools.
Why TSMC, KLA, and Lam Research Stocks All Popped on Monday
In the latest trading session, KLA (KLAC) closed at $633.64, marking a -1.73% move from the previous day.
The latest trading day saw KLA (KLAC) settling at $650.53, representing a +0.39% change from its previous close.
KLA (KLAC) closed the most recent trading day at $655.98, moving +0.34% from the previous trading session.