More from Dividend.com
Referenced Stocks

KLA-Tencor Reports a Fall in Profits; Industry Activity Declines (KLAC)

By Dividend.com,  October 26, 2012, 08:23:46 AM EDT

Semiconductor manufacturer, KLA-Tencor Corporation( KLAC ) has reported a decrease in quarterly earnings, missing analysts expectations.

The Milpitas, CA based company reported third quarter profit of $135 million, or 80 cents a share, compared with $192 million, or $1.13 a share from last year.

Revenue was reported at $721 million, compared with $796 million from last year. On average, analysts expected $740 million.

The decline in profit is due to a decrease in demand for memory chips for PCs, as the entire PC industry slows down. Increased sales of smartphones and tablets have increased activity in the mirco chip industy, but it is not enough to offset the decline in PC sales.

Micro Chip manufacturers have decreased their investments in new next technology due to the decline in demand, and the current economic conditions.

KLA-Tencor shares were down 24 cents, or 0.51% during premarket trading Friday.

The Bottom Line
Shares of KLA-Tencor ( KLAC ) have a 3.39% dividend yield, based on last night's closing stock price of $47.14. The stock has technical support in the $42-$45 price area. If the shares can firm up, we see overhead resistance around the $50-$52 price levels.

KLA-Tencor Corporation( KLAC ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .




The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.


This article appears in: Investing, Stocks

Referenced Stocks: KLAC



Latest News Video



Sign-in
Existing NASDAQ.com member? Log in here.

By signing into to the site using any of the third-party services above, you agree to NASDAQ.com's Terms of Use.

From Our Trusted News Source





Most Active by Volume:

Company Last Sale Change Net / %
BAC $ 13.24 0.03  0.23%
FB $ 24.32 0.74  2.95%
SIRI $ 3.58 0.04  0.99%
GE $ 23.53 0.13  0.55%
PFE $ 29.04 0.07  0.24%
MSFT $ 34.27 0.12  0.35%
INTC $ 23.93 0.12  0.50%
P $ 16.43 0.73  4.25%