FormFactor Inc (FORM)vsKLA Corporation (KLAC)
FORM
FormFactor Inc
$108.07
+2.41%
TECHNOLOGY · Cap: $8.22B
KLAC
KLA Corporation
$1,543.82
-1.43%
TECHNOLOGY · Cap: $205.79B
Smart Verdict
WallStSmart Research — data-driven comparison
KLA Corporation generates 1524% more annual revenue ($12.74B vs $784.99M). KLAC leads profitability with a 35.8% profit margin vs 6.9%. FORM appears more attractively valued with a PEG of 1.39. KLAC earns a higher WallStSmart Score of 70/100 (B).
FORM
Buy53
out of 100
Grade: C-
KLAC
Strong Buy70
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-197.5%
Fair Value
$32.29
Current Price
$108.07
$75.78 premium
Margin of Safety
+3.9%
Fair Value
$1605.71
Current Price
$1543.82
$61.89 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 131.8% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Mega-cap, among the largest globally
Every $100 of equity generates 101 in profit
Keeps 36 of every $100 in revenue as profit
Strong operational efficiency at 41.3%
Earnings expanding 40.9% YoY
Generating 1.3B in free cash flow
Areas to Watch
Trading at 8.1x book value
ROE of 5.5% — below average capital efficiency
6.9% margin — thin
Weak financial health signals
Expensive relative to growth rate
Elevated debt levels
Premium valuation, high expectations priced in
Trading at 37.0x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : FORM
The strongest argument for FORM centers on EPS Growth, Debt/Equity, Altman Z-Score. Revenue growth of 13.6% demonstrates continued momentum. PEG of 1.39 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 35.8% and operating margin at 41.3%.
Bear Case : FORM
The primary concerns for FORM are Price/Book, Return on Equity, Profit Margin. A P/E of 152.9x leaves little room for execution misses.
Bear Case : KLAC
The primary concerns for KLAC are PEG Ratio, Debt/Equity, P/E Ratio. A P/E of 45.6x leaves little room for execution misses.
Key Dynamics to Monitor
FORM profiles as a value stock while KLAC is a mature play — different risk/reward profiles.
KLAC carries more volatility with a beta of 1.45 — expect wider price swings.
FORM is growing revenue faster at 13.6% — sustainability is the question.
KLAC generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
KLAC scores higher overall (70/100 vs 53/100), backed by strong 35.8% margins. 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.
FormFactor Inc
TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA
FormFactor, Inc. designs, manufactures, and sells probe cards, analytical probes, probe stations, metrology systems, thermal systems, and cryogenic systems to semiconductor companies and scientific institutions. The company is headquartered in Livermore, California.
Visit Website →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.
Visit Website →Compare with Other SEMICONDUCTOR EQUIPMENT & MATERIALS Stocks
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