Centene Corp (CNC)vsKLA Corporation (KLAC)
CNC
Centene Corp
$62.33
-0.59%
HEALTHCARE · Cap: $32.19B
KLAC
KLA Corporation
$1,929.20
+8.73%
TECHNOLOGY · Cap: $334.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Centene Corp generates 1262% more annual revenue ($178.33B vs $13.10B). KLAC leads profitability with a 35.7% profit margin vs -3.6%. CNC appears more attractively valued with a PEG of 1.25. KLAC earns a higher WallStSmart Score of 66/100 (B-).
CNC
Buy57
out of 100
Grade: C
KLAC
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+85.0%
Fair Value
$268.78
Current Price
$62.33
$206.45 discount
Intrinsic value data unavailable for KLAC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Generating 3.4B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 80 in profit
Keeps 36 of every $100 in revenue as profit
Strong operational efficiency at 41.2%
Areas to Watch
ROE of -30.1% — below average capital efficiency
Currently unprofitable
Elevated debt levels
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 432.6x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CNC
The strongest argument for CNC centers on Price/Book, Free Cash Flow. PEG of 1.25 suggests the stock is reasonably priced for its growth.
Bull Case : KLAC
The strongest argument for KLAC centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 35.7% and operating margin at 41.2%. Revenue growth of 11.5% demonstrates continued momentum.
Bear Case : CNC
The primary concerns for CNC are Return on Equity, Profit Margin.
Bear Case : KLAC
The primary concerns for KLAC are Debt/Equity, PEG Ratio, P/E Ratio. A P/E of 72.4x leaves little room for execution misses.
Key Dynamics to Monitor
CNC profiles as a turnaround stock while KLAC is a mature play — different risk/reward profiles.
KLAC carries more volatility with a beta of 1.50 — expect wider price swings.
KLAC is growing revenue faster at 11.5% — sustainability is the question.
CNC generates stronger free cash flow (3.4B), providing more financial flexibility.
Bottom Line
KLAC scores higher overall (66/100 vs 57/100), backed by strong 35.7% margins and 11.5% revenue growth. CNC offers better value entry with a 85.0% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Centene Corp
HEALTHCARE · HEALTHCARE PLANS · USA
Centene Corporation is a large publicly traded company and a multi-line managed care enterprise that serves as a major intermediary for both government-sponsored and privately insured health care programs. It is a healthcare insurer that focuses on managed care for uninsured, underinsured, and low-income individuals.
KLA Corporation
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
KLA Corporation is a capital equipment company based in Milpitas, California. It supplies process control and yield management systems for the semiconductor industry and other related nanoelectronics industries. The company's products and services are intended for all phases of wafer, reticle, integrated circuit (IC) and packaging production, from research and development to final volume manufacturing.
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