Sifting through countless of stocks in the Semiconductors & Semiconductor Equipment industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in KLA Corporation, Teradyne or Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how KLA Corporation, Teradyne and Inc. compare based on key financial metrics to determine which better meets your investment needs.

About KLA Corporation, Teradyne and Inc.

KLA Corporation, together with its subsidiaries, provides process control and process-enabling solutions for manufacturing wafers, reticles/masks, chemicals/materials, integrated circuits (ICs), packaged ICs, and printed circuit boards. It operates through three segments: Semiconductor Process Control; Specialty Semiconductor Process; and PCB and Component Inspection. The company offers inspection and review tools to identify, locate, characterize, review, and analyze defects on various surfaces of patterned and unpatterned wafers; chemical process control equipment; wired and wireless sensor wafers and reticles; wafer defect inspection, review, and metrology systems; reticle inspection and metrology systems; wafer inspection and metrology systems; semiconductor software solutions; KLA Pro systems; and specialty semiconductor manufacturing, benchtop metrology, surface characterization, material strength characterization, and electrical property measurement products. It also provides etch, plasma dicing, deposition and other wafer processing technologies and solutions; direct imaging, inspection, optical shaping, inkjet, and additive printing, as well as computer-aided manufacturing and engineering solutions; and components. In addition, the company offers service programs. It serves semiconductor, and semiconductor-related and electronic device manufacturers. The company operates in China, Taiwan, Korea, North America, Japan, Europe, Israel, and rest of Asia. The company was formerly known as KLA-Tencor Corporation and changed its name to KLA Corporation in July 2019. KLA Corporation was incorporated in 1975 and is headquartered in Milpitas, California.

Teradyne, Inc. engages in the design, development, manufacture, and sale of automated test systems and robotics products in the United States, Asia Pacific, Europe, the Middle East, and Africa. The company operates through Semiconductor Test, Robotics, and Other segments. The Semiconductor Test segment offers products and services for wafer level and device package testing, and system level testing of semiconductor devices in automotive, industrial, communications, consumer, smartphones, cloud, computer and electronic game, and other applications. This segment also provides FLEX test platform systems; J750 test system to address the volume semiconductor devices, including microcontrollers; Magnum platform that tests memory devices, such as flash memory and DRAM; and ETS platform for semiconductor manufacturers, and assembly and test subcontractors in the analog/mixed signal markets. It serves integrated device manufacturers that integrate the fabrication of silicon wafers into their business; fabless companies that outsource the manufacturing of silicon wafers; foundries; and semiconductor assembly and test providers. The Robotics segment provides collaborative robotic arms and autonomous mobile robots for manufacturing, logistics, and industrial customers. It also provides product test instruments which includes operations related to the design, manufacturing and marketing of products and services for defense/aerospace test, circuit-board test, wireless test systems, and silicon photonics testing. The company has a strategic collaboration with Tokyo Electron Limited for the development of a test cell solution for device screening in AI and data center applications. Teradyne, Inc. was incorporated in 1960 and is headquartered in North Reading, Massachusetts.

Latest Semiconductors & Semiconductor Equipment and KLA Corporation, Teradyne, Inc. Stock News

As of September 2, 2026, KLA Corporation had a $225.1 billion market capitalization, compared to the Semiconductors & Semiconductor Equipment median of $4.7 million. KLA Corporation’s stock is up 39% in 2026, down 8.1% in the previous five trading days and up 103.53% in the past year.

Currently, KLA Corporation’s price-earnings ratio is 47.1. KLA Corporation’s trailing 12-month revenue is $13.6 billion with a 35.6% net profit margin. Year-over-year quarterly sales growth most recently was 15.2%. Analysts expect adjusted earnings to reach $5.453 per share for the current fiscal year. KLA Corporation currently has a 0.5% dividend yield.

As of September 2, 2026, Teradyne, Inc. had a $53.4 billion market cap, putting it in the 94th percentile of all stocks. Teradyne, Inc.’s stock is up 72.6% in 2026, down 10.2% in the previous five trading days and up 183.21% in the past year.

Currently, Teradyne, Inc.’s price-earnings ratio is 46.9. Teradyne, Inc.’s trailing 12-month revenue is $4.5 billion with a 25.8% net profit margin. Year-over-year quarterly sales growth most recently was 103.9%. Analysts expect adjusted earnings to reach $9.091 per share for the current fiscal year. Teradyne, Inc. currently has a 0.2% dividend yield.

How We Compare KLA Corporation, Teradyne and Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at KLA Corporation, Teradyne and Inc.’s stock grades to see how they measure up against one another.

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KLA Corporation, Teradyne and Inc. Stock Value Grades

Company	Ticker	Value
KLA Corporation	KLAC	F
Teradyne, Inc.	TER	F

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

KLA Corporation has a Value Score of 7, which is Ultra Expensive. Teradyne, Inc. has a Value Score of 9, which is Ultra Expensive.

The Value Stock Winner: No Clear Winner

Neither KLA Corporation, Teradyne or Inc. has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if KLA Corporation, Teradyne or Inc. is the better investment when it comes to value.

KLA Corporation, Teradyne and Inc.’s Quality Grades

Company	Ticker	Quality
KLA Corporation	KLAC	A
Teradyne, Inc.	TER	A

Like the Value Grade, AAII’s A+ Investor Quality Grade comes from the percentile rank of key metrics. Specifically, the Quality Score is the percentile rank of the average of the percentile ranks of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and the F-Score.

The score is variable, meaning it can consider all eight measures or, should any of the eight measures not be valid, the remaining measures that are valid. To be assigned a Quality Score, stocks must have a valid (non-null) measure and corresponding ranking for at least four of the eight quality measures.

The Quality Score is used to assess the underlying “quality” of a particular stock. A higher-quality stock possesses traits associated with upside potential and reduced downside risk. Backtesting of the Quality Grade shows that stocks with higher grades, on average, outperformed stocks with lower grades over the period of 1998 through 2019.

Stocks receive better grades (higher scores) for having higher scores for the quality subcomponents and worse grades (lower scores) for lower scores for the subcomponents.

KLA Corporation has a Quality Score of 95, which is Very Strong. Teradyne, Inc. has a Quality Score of 88, which is Very Strong.

The Quality Grade Winner: It’s a Tie!

Looking at the Quality Grade breakdown above, both KLA Corporation, Teradyne and Inc. have a grade of A. For investors who focus solely on a company’s overall quality, you will need to conduct further research into both companies to see if they are a good fit for your portfolio. As a good rule of thumb, you should always analyze multiple factors based on a wide range of metrics before choosing a company to invest in.

KLA Corporation, Teradyne and Inc.’s Momentum Grades

Company	Ticker	Momentum
KLA Corporation	KLAC	B
Teradyne, Inc.	TER	A

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

KLA Corporation has a Momentum Score of 80, which is Strong. Teradyne, Inc. has a Momentum Score of 92, which is Very Strong.

The Momentum Grade Winner: Teradyne, Inc.

As you can clearly see from the Momentum Grade breakdown above, Teradyne, Inc. is considered to have stronger momentum compared to KLA Corporation. For those specifically looking for companies that have stronger momentum compared to other companies in the same industry, Teradyne, Inc. could be a good stock to invest in. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Other KLA Corporation, Teradyne and Inc. Grades

In addition to Quality, Momentum and Value, A+ Investor also provides grades for Growth and Estimate Revisions.

Earnings estimate revisions scores take into account the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, surprises beget further surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Growth investing builds on the idea that stocks of companies exhibiting strong, consistent and prolonged growth outperform those of slower-growth companies. AAII measures growth through consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether KLA Corporation, Teradyne and Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, KLA Corporation, Teradyne or Inc. Stock?

Overall, KLA Corporation stock has a Value Score of 7, Momentum Score of 80 and Quality Score of 95.

Teradyne, Inc. stock has a Value Score of 9, Momentum Score of 92 and Quality Score of 88.

Comparing KLA Corporation, Teradyne and Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.