Morgan Stanley Raises KLA (KLAC) Price Target to $274

Morgan Stanley raised its price target on KLA Corporation (NASDAQ:KLAC) to $274 from $190, maintaining an Equal Weight rating. The adjustment reflects growing optimism about demand for semiconductor inspection equipment.

Rating Change

• Previous Price Target: $190
• New Price Target: $274
• Rating: Equal Weight
• Change: +44%

Analyst Rationale

The Morgan Stanley analyst sees a recovery in demand for semiconductor equipment, driven by increased investment in advanced manufacturing technologies. KLA's focus on inspection and metrology solutions gives it a competitive edge in a market moving toward greater manufacturing complexity.

Context

On June 30, 2026, Susquehanna also adjusted its price target for KLAC, indicating growing analyst interest. However, the Equal Weight rating suggests Morgan Stanley does not view the stock as significantly undervalued compared to peers.

Conclusion

The price target increase reflects a cautiously positive view of KLA, but the neutral rating suggests the stock is fairly valued at current levels. Investors should monitor semiconductor demand trends and the company's performance in upcoming quarters.