Compare Stocks › KLAC vs MS
KLA Corporation (KLAC) vs Morgan Stanley (MS)
KLAC
KLA Corporation
$1511.52
VS
MS
Morgan Stanley
$158.55
Rewards
KLAC
- ★KLA Corporation has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Gross margin of 61.6% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
- ★KLA Corporation scores 85/100 on the Economic Moat Score (Wide Moat), with reinvestment efficiency as the strongest competitive dimension.
MS
- ★Gross margin of 87.1% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
- ★Each dollar of retained earnings has created $6.65 of market value — management is an exceptional capital allocator.
- ★PEG ratio of 0.75 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
Risks
KLAC
- ⚠FCF yield of 1.6% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
- ⚠Trailing P/E of 44.1x is 70% above the historical average of 25.9x — the stock trades at a premium to its own history.
- ⚠18 insider sales with no purchases over the past 12 months — a persistent pattern of insider selling.
MS
- ⚠High leverage (4.56x debt/equity) combined with thin interest coverage (-1.0x) poses financial risk.
- ⚠Altman Z-Score of 0.29 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
- ⚠7 insider sales totaling $25.2M with no purchases in the past 3 months — insiders are reducing their exposure.
Key Valuation Metrics
Learn more →KLAC
MS
Valuation
$3.22B
Free Cash Flow
N/A
1.62%
FCF Yield
N/A
44.05
Trailing P/E
15.53
31.69
Forward P/E
12.89
Quality & Moat
35.93%
ROIC
3.43%
74.31%
ROE
14.42%
61.57%
Gross Margin
87.06%
1.08
PEG Ratio
0.75
Balance Sheet Safety
1.12
Debt / Equity
4.56
N/A
Interest Coverage
N/A
0.16
Net Debt / EBITDA
N/A
0.50%
Dividend Yield
2.52%
KLAC: 3Ties: 1MS: 5
KLACMS
Historical Fundamentals
Learn more →KLAC
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
MS
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
$1 Retained Earnings Test
Learn more →KLAC
$13.71
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$7.80B
Δ Market Cap
+$106.95B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
MS
$6.65
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$20.84B
Δ Market Cap
+$138.59B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Discounted Cash Flow (DCF) Analysis
Learn more →KLAC
32.5% Margin of Safety
Price is 32.5% below estimated fair value
Current Price: $1511.52
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $2240.58
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
MS
45.5% Margin of Safety
Price is 45.5% below estimated fair value
Current Price: $158.55
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $290.92
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Reverse DCF — Market-Implied Growth
Learn more →KLAC
What growth rate is the market pricing in at $1512?
+20.0%
Market-Implied Owner Earnings Growth
Standard FCF implies +23.1%
The market implies +20.0% Owner Earnings growth, above historical trends.
Standard FCF implies a demanding +23.1%, reflecting heavy growth investment.
MS
Requires positive FCF to compute implied growth rate.
Economic Moat Score
Learn more →KLAC
85/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat driven primarily by reinvestment efficiency. Revenue Predictability is the area most vulnerable to competitive pressure.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 5 years of fundamental data.
MS
32/100
No Moat
70+ Wide · 40-69 Narrow · <40 None
No durable moat detected, though revenue predictability shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
Forensic Accounting
Learn more →KLAC
-2.24
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
MS
-2.09
Possible Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Ownership Breakdown
Learn more →KLAC
Insiders 0.1%Institutions 93.9%Retail & Other 6.0%
No. of Institutional Holders2,619
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
MS
Insiders 24.0%Institutions 62.7%Retail & Other 13.3%
No. of Institutional Holders3,182
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.
Insider Buying Activity
Learn more →KLAC
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
MS
0
Buys (3M)
1
Buys (12M)
Total value (12M): $5,630
PETERSON DOUGLAS L
Director
$5,630
@ $156.39 · 2025-10-17
Open market purchases · includes direct & indirect ownership · excludes option exercises
Open market purchases · includes direct & indirect ownership · excludes option exercises.
Insider Selling Activity
Learn more →KLAC
0
Sells (3M)
18
Sells (12M)
Total value (12M): $70.12M
HIGGINS BREN D.
Chief Financial Officer
$2.79M
@ $1237.01 · 2025-12-16
WALLACE RICHARD P
Chief Executive Officer
$13.00M
@ $1203.10 · 2025-11-11
KHAN AHMAD A
Officer
$4.11M
@ $900.00 · 2025-09-05
KHAN AHMAD A
Officer
$12.09M
@ $881.50 · 2025-08-29
HIGGINS BREN D.
Chief Financial Officer
$2.02M
@ $878.53 · 2025-08-20
LORIG BRIAN W.
Officer
$7.35M
@ $913.68 · 2025-08-12
WALLACE RICHARD P
Chief Executive Officer
$9.87M
@ $913.68 · 2025-08-12
KIRLOSKAR VIRENDRA A
Officer
$308,594
@ $913.00 · 2025-08-08
WILKINSON MARY BETH
Officer
$933,086
@ $913.00 · 2025-08-08
KIRLOSKAR VIRENDRA A
Officer
$468,587
@ $917.00 · 2025-08-05
WILKINSON MARY BETH
Officer
$1.76M
@ $917.00 · 2025-08-05
KIRLOSKAR VIRENDRA A
Officer
$286,960
@ $896.75 · 2025-08-04
WILKINSON MARY BETH
Officer
$684,220
@ $896.75 · 2025-08-04
KIRLOSKAR VIRENDRA A
Officer
$34,768
@ $891.49 · 2025-07-02
WILKINSON MARY BETH
Officer
$1.18M
@ $891.16 · 2025-06-30
HIGGINS BREN D.
Chief Financial Officer
$781,023
@ $766.46 · 2025-05-22
WALLACE RICHARD P
Chief Executive Officer
$7.38M
@ $683.30 · 2025-05-06
HIGGINS BREN D.
Chief Financial Officer
$5.08M
@ $724.62 · 2025-03-25
WALLACE RICHARD P
Chief Executive Officer
$9.49M
@ $663.01 · 2024-11-12
KHAN AHMAD A
Officer
$7.92M
@ $818.51 · 2024-08-19
HIGGINS BREN D.
Chief Financial Officer
$3.97M
@ $740.63 · 2024-08-07
LORIG BRIAN W.
Officer
$1.51M
@ $740.63 · 2024-08-07
KIRLOSKAR VIRENDRA A
Officer
$573,878
@ $705.01 · 2024-08-06
LORIG BRIAN W.
Officer
$910,168
@ $705.01 · 2024-08-06
WALLACE RICHARD P
Chief Executive Officer
$12.29M
@ $705.01 · 2024-08-06
KIRLOSKAR VIRENDRA A
Officer
$536,118
@ $649.84 · 2024-08-05
LORIG BRIAN W.
Officer
$460,737
@ $649.84 · 2024-08-05
WILKINSON MARY BETH
Officer
$1.70M
@ $652.17 · 2024-08-05
KIRLOSKAR VIRENDRA A
Officer
$36,054
@ $819.41 · 2024-07-02
LORIG BRIAN W.
Officer
$36,054
@ $819.41 · 2024-07-02
HIGGINS BREN D.
Chief Financial Officer
$803,563
@ $788.58 · 2024-05-23
KHAN AHMAD A
Officer
$5.95M
@ $760.00 · 2024-05-21
WALLACE RICHARD P
Chief Executive Officer
$10.04M
@ $716.63 · 2024-05-07
LORIG BRIAN W.
Officer
$2.47M
@ $699.16 · 2024-05-06
HIGGINS BREN D.
Chief Financial Officer
$4.95M
@ $705.04 · 2024-03-26
DONZELLA ORESTE
Officer
$2.27M
@ $697.85 · 2024-03-25
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
MS
7
Sells (3M)
16
Sells (12M)
Total value (12M): $62.45M
SIMKOWITZ DANIEL A
President
$6.02M
@ $182.61 · 2026-01-30
GROSSMAN ERIC F
Officer
$3.97M
@ $184.00 · 2026-01-20
CRAWLEY MANDELL L.
Officer
$1.44M
@ $183.45 · 2026-01-20
YESHAYA SHARON
Chief Financial Officer
$2.94M
@ $185.77 · 2026-01-20
SMITH CHARLES AUBREY III
Officer
$1.55M
@ $182.08 · 2026-01-20
PIZZI MICHAEL A
Officer
$3.69M
@ $184.55 · 2026-01-20
SAPERSTEIN ANDREW MICHAEL
President
$5.57M
@ $183.62 · 2026-01-20
PICK EDWARD N.
Chief Executive Officer
$16.43M
@ $164.34 · 2025-10-31
GROSSMAN ERIC F
Officer
$1.69M
@ $141.12 · 2025-07-17
SIMKOWITZ DANIEL A
President
$4.09M
@ $141.13 · 2025-07-17
SMITH CHARLES AUBREY III
Officer
$2.81M
@ $140.30 · 2025-07-17
PIZZI MICHAEL A
Officer
$2.53M
@ $140.62 · 2025-07-17
SIMKOWITZ DANIEL A
President
$3.70M
@ $127.37 · 2025-05-12
HERZ ROBERT H
Director
$95,459
@ $119.32 · 2025-05-02
SAPERSTEIN ANDREW MICHAEL
President
$4.80M
@ $120.00 · 2025-05-02
GROSSMAN ERIC F
Officer
$1.12M
@ $111.65 · 2025-04-15
CRAWLEY MANDELL L.
Officer
$1.15M
@ $138.06 · 2025-01-22
GROSSMAN ERIC F
Officer
$1.78M
@ $136.20 · 2025-01-21
SIMKOWITZ DANIEL A
President
$5.00M
@ $136.61 · 2025-01-21
AKRAM RAJA
Chief Financial Officer
$2.38M
@ $136.01 · 2025-01-21
PIZZI MICHAEL A
Officer
$2.52M
@ $136.92 · 2025-01-21
SAPERSTEIN ANDREW MICHAEL
President
$4.20M
@ $136.43 · 2025-01-21
CRAWLEY MANDELL L.
Officer
$368,375
@ $105.25 · 2024-07-26
AKRAM RAJA
Officer
$797,764
@ $106.37 · 2024-07-18
SIMKOWITZ DANIEL A
President
$4.26M
@ $106.54 · 2024-07-17
HERZ ROBERT H
Director
$106,621
@ $106.62 · 2024-07-17
CRAWLEY MANDELL L.
Officer
$692,663
@ $99.61 · 2024-05-14
GORMAN JAMES P
Officer and Director
$9.02M
@ $90.21 · 2024-04-18
SMITH CHARLES AUBREY III
Officer
$1.01M
@ $90.09 · 2024-04-17
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.
🎭 Mr. Market's Mood
Learn more →KLAC
😐Neutral(56/100)
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
MS
😐Neutral(48/100)
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
⚖️ Buffett Signal
Learn more →KLAC
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Neutral (56)
MS
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Neutral (48)