KLA Corporation (KLAC) vs Texas Instruments Incorporated (TXN)
KLAC leads on 11 of 16 compared metrics, though TXN is the cheaper stock.
A side-by-side comparison of KLA Corporation and Texas Instruments Incorporated across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 13, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).
KLAC
KLA Corporation
$254.54Technology
TXN
Texas Instruments Incorporated
$301.12Technology
Total return — KLAC vs TXN
growth of $100 · last 30yKLAC +19330.5%TXN +4434.9%KLAC compounded faster
KLAC TXN
KLAC vs TXN: by the numbers
- •KLAC is the larger company ($332.50B vs $274.05B market cap).
- •TXN trades at the lower earnings multiple (51.47 vs 72.05 P/E).
- •KLAC converts more revenue to profit (35.66% vs 29.11% net margin).
- •KLAC grew revenue faster over the past five years (15.21% vs 3.64% CAGR).
- •KLAC pays the higher dividend yield (3.14% vs 1.87%).
Which is better, KLAC or TXN?
Metric tally: KLAC 11 · TXN 5It depends on what you're optimizing for:
ValueTXN(lower P/E)
GrowthKLAC(faster 5Y revenue CAGR)
IncomeKLAC(higher dividend yield)
QualityKLAC(higher ROIC)
Valuation
| Metric | KLAC | TXN |
|---|---|---|
| P/E ratio | 72.05 | 51.47● |
| Forward P/E | — | 33.83 |
| P/S ratio | 25.61 | 14.93● |
| P/B ratio | 57.52 | 16.40● |
| PEG ratio | 0.06● | 7.87 |
| EV / EBITDA | 57.56 | 34.60● |
| FCF yield | 1.20% | 1.35%● |
Profitability
| Metric | KLAC | TXN |
|---|---|---|
| Gross margin | 61.75%● | 57.32% |
| Operating margin | 42.08%● | 35.29% |
| Net margin | 35.66%● | 29.11% |
| ROE | 80.11%● | 31.99% |
| ROIC | 38.11%● | 16.46% |
Dividends
| Metric | KLAC | TXN |
|---|---|---|
| Dividend yield | 3.14%● | 1.87% |
| Payout ratio | 262.04% | 103.12% |
Growth (annualized)
| Metric | KLAC | TXN |
|---|---|---|
| Revenue CAGR (5Y) | 15.21%● | 3.64% |
| EPS CAGR (5Y) | 31.52%● | -2.07% |
| FCF CAGR (5Y) | 15.49%● | -10.12% |
| Total return CAGR (5Y) | 67.17%● | 12.95% |
Frequently asked
- Which is better, KLAC or TXN?
- It depends on your goal. value: TXN (lower P/E); growth: KLAC (faster 5Y revenue CAGR); income: KLAC (higher dividend yield); quality: KLAC (higher ROIC). Across all compared metrics, KLAC leads 11 to 5.
- Is KLAC or TXN cheaper?
- On trailing earnings, TXN is cheaper: KLAC trades at a 72.05 P/E and TXN at 51.47.
- Which has grown faster, KLAC or TXN?
- Over the past five years, KLAC grew revenue faster — KLAC at a 15.21% CAGR versus TXN at 3.64%.
- Does KLAC or TXN pay a bigger dividend?
- KLAC yields 3.14% and TXN yields 1.87% based on trailing dividends and the latest price.
- Is KLAC or TXN more profitable?
- KLAC runs the higher net margin — KLAC at 35.66% versus TXN at 29.11%.
- Which has been the better investment, KLAC or TXN?
- Over the past 10-year, KLAC delivered the higher annualized total return — KLAC at 67.44% versus TXN at 20.37%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
KLA P/E ratioTexas Instruments P/E ratioKLA dividend yieldTexas Instruments dividend yieldKLA ROETexas Instruments ROEKLA operating marginTexas Instruments operating marginKLA revenue growthTexas Instruments revenue growthKLA free cash flowTexas Instruments free cash flow
KLA & Texas Instruments appear in these rankings
Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 13, 2026.