Earnings Review · 06 August 2026
KLA Beat the Quarter, and Still Fails Our Ethical Screen. Here’s Why We Pass.
The print
Revenue n/a. EPS $1.05 vs $1.00 expected.
Give the business its due
The business itself is genuinely strong: revenue growing about 15%, net margins near 36%, a strong competitive moat.
The valuation lens
Our framework labels the valuation SPECULATIVE. Fair value lands near $140 against a $193 share price, a margin of safety of about -27%. The trailing multiple sits around 53 times earnings, which only makes sense if the growth holds.
The ethical lens, our differentiator
The two standards split: it clears the faith-based (AAOIFI) screen but not our broader anchor screen. We default to protection and do not call it compliant on a divergence.
The compliant alternative
If the theme is what draws you, Kulicke and Soffa Industries, Inc. (KLIC) sits in the same industry (Semiconductor Equipment & Materials) and clears our principled screen, the place to look instead of chasing a name that does not.
The verdict for a values-conscious investor
A beat-and-raise does not change the screen. This is a great company you can admire without owning, protection first. We do not confuse a strong quarter with a suitable holding.
This is analysis, not financial advice. Always manage your risk.
