Keysight Technologies, Inc. research snapshot
KEYS AI stock analysis currently reads Keysight Technologies as a high-quality electronic design and test platform exposed to AI data center infrastructure, commercial communications, aerospace and defense, automotive, energy, semiconductors, and general electronics. The stock closed at $309.12 on July 7, 2026, and market cap math verified about $52.83 billion using 170.90 million shares outstanding. The business case is supported by record Q2 fiscal 2026 revenue of $1.72 billion, over $2 billion of orders, strong free cash flow, and raised fiscal 2026 expectations. The caution is valuation: at roughly 50.7x TTM EPS and 38.9x free cash flow per share, the KEYS AI stock forecast needs durable growth and a still-premium multiple to work.
Current price
$309.12
Market cap
$52.83 billion verified market cap
AI score
68 / 100
Rating
High-quality electronic measurement compounder with strong FY2026 momentum, but valuation leaves limited room for execution misses
Trend status
Long-term uptrend remains intact above the 200-day average, while the short-term chart weakened below the 20-day and 50-day averages after the July pullback
Data cutoff (updated weekly)
July 8, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | Keysight sells electronic design, test, measurement, software, and services used by engineers across communications, aerospace and defense, semiconductor, automotive, energy, and industrial electronics markets. | High |
| Moat | The moat comes from engineering trust, calibration and accuracy requirements, software workflows, installed base, domain expertise, switching costs, and long customer validation cycles. | Medium-high |
| Management | CEO Satish Dhanasekaran has emphasized software-centric solutions, AI data center infrastructure, next-generation connectivity, and disciplined capital allocation while continuing buybacks. | Medium-high |
| Financial trend | Fiscal 2025 revenue rose 8% to $5.37 billion, fiscal 2025 GAAP net income rose to $846 million, and Q2 fiscal 2026 revenue grew 31% year over year to $1.72 billion. | High |
| Valuation | At $309.12, audited math shows about 50.7x TTM EPS, 8.3x book value, 38.9x free cash flow per share, and 8.7x TTM sales. | Medium-high |
| Technical trend | The stock is below the 20-day and 50-day moving averages after a sharp pullback, but remains above the 200-day average, so the long-term trend is positive while short-term momentum is damaged. | Medium |
| Risk level | Risk is moderate to high because the business is high quality but the stock embeds high expectations, and test-equipment cycles can turn with telecom, semiconductor, defense, and industrial spending. | Medium-high |
| AI confidence | Descriptive data confidence is high. Return confidence is lower because the bull case needs continued order strength and a premium multiple rather than just accurate historical data. | High data confidence |
| Investment certainty | KEYS screens as a strong business at a demanding price. Certainty improves if the stock rebuilds above the 50-day average while orders, margins, and free cash flow remain strong. | Medium |
KEYS AI stock forecast
The KEYS AI stock forecast uses the $309.12 price reference, TTM EPS near $6.10, and a three-year earnings multiple framework. The audited model produced a bearish value near $130, a base value near $244, and a bullish value near $421. These are scenario ranges, not price promises.
$400 to $425
More likely if AI data center infrastructure, commercial communications, aerospace and defense, semiconductor, and automotive test demand keeps accelerating, orders stay above revenue, free cash flow conversion remains high, and investors continue to pay a premium earnings multiple.
$235 to $250
More likely if revenue growth normalizes after the record first half, EPS compounds near 10% annually, and the market values KEYS closer to 30x earnings rather than the current TTM multiple.
$125 to $135
More likely if communications or semiconductor capex slows, AI infrastructure testing demand proves lumpy, tariff and cost benefits reverse, margins weaken, or the stock is re-rated toward a low-20s earnings multiple.
KEYS AI technical analysis
KEYS AI technical analysis uses market and technical data available at the July 8, 2026 cutoff. MarketWatch reported a July 7, 2026 close of $309.12 after a 3.32% decline. StockAnalysis reported a 50-day moving average near $345.44, a 200-day moving average near $255.80, and RSI near 38.96. The setup is a long-term uptrend with a short-term pullback that needs repair.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $309.12 | July 7, 2026 closing price reference used for market cap verification. |
| Immediate support | $300 to $310 | Psychological support and the July pullback area. A failure here would show that sellers still control short-term momentum. |
| Intermediate support | $255 to $260 | StockAnalysis and Barchart technical data place the 200-day moving average near this zone. |
| Near resistance | $318 to $325 | This zone covers the 100-day moving average area and the first rebound test after the July decline. |
| Major resistance | $342 to $347 | The 20-day and 50-day moving averages sit in this area, so reclaiming it would improve short-term trend quality. |
| Breakout reference | $374 to $375 | MarketWatch reported a 52-week high near $374.96 on June 22, 2026. |
| Momentum | RSI near 39 to 42 | StockAnalysis and TipRanks show neutral to weak momentum after the sharp pullback, not an overbought setup. |
| Volume | 1.6 million shares on July 7 | MarketWatch reported volume near 1.6 million shares, slightly below its 50-day average near 1.7 million. |
| Volatility | ATR near $15.9 | TipRanks technical data reported 14-day ATR near $15.93, which means position sizing needs to account for wide daily ranges. |
| Invalidation | Close below $300 | A decisive break below $300 would invalidate the short-term rebound framework and shift attention toward the 200-day average zone. |
KEYS AI trading strategy
The KEYS AI trading strategy below is a rules-based research framework, not personal advice. It connects trend levels with orders, segment growth, free cash flow, AI infrastructure demand, semiconductor and communications capex, and valuation multiple risk.
Watch for KEYS to hold the $300 to $310 area, rebuild above $318 to $325, and then reclaim the 20-day and 50-day moving-average zone near $342 to $347 while company orders and guidance remain strong.
A close below $300, a weaker Q3 outlook, or evidence that AI and communications demand is pulling forward revenue should reduce trend-following confidence.
If KEYS pulls back toward the 200-day average without a deterioration in orders, margins, or free cash flow, compare the entry price with the base scenario and with the company own historical valuation range.
Do not treat a lower price as automatically cheap. The base case can still sit below the current price if the market normalizes the earnings multiple.
Track orders above revenue, CSG and EISG growth, commercial communications demand, aerospace and defense timing, semiconductor and automotive test spending, gross margin, operating margin, free cash flow, buybacks, and cash versus debt.
Position sizing should reflect that KEYS is an excellent engineering platform but also a high-expectation stock tied to capital-spending cycles.
Investment research summary
Customers pay Keysight because engineering teams need accurate, trusted tools to design, validate, certify, and troubleshoot complex electronic systems before those systems reach production or mission-critical use.
The moat is built from measurement accuracy, software workflows, engineering trust, calibration history, customer validation cycles, installed instruments, and deep knowledge of communications, defense, semiconductor, and industrial standards.
The thesis fails if AI infrastructure testing demand is temporary, communications and semiconductor capex roll over, lower-cost rivals narrow the accuracy gap, software attach does not expand, or the market refuses to pay a premium for cyclical test exposure.
Satish Dhanasekaran and the management team have focused Keysight on software-centric solutions, next-generation connectivity, high-performance compute, defense modernization, and disciplined buybacks. The test is whether they can sustain growth without over-earning in a hot demand cycle.
AI data centers, faster wireless networks, non-terrestrial networks, defense modernization, electrification, advanced semiconductors, and software-defined systems all increase the need for testing. The trend is favorable, but spending can be lumpy.
At $309.12, KEYS is not priced as a cyclical bargain. The margin of safety depends on sustained double-digit earnings growth, strong free cash flow conversion, and avoiding a multiple reset from roughly 50x TTM earnings toward a more normal test-equipment range.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| KEYS quote reference | $309.12 closing price on July 7, 2026 | MarketWatch daily market report | July 8, 2026 |
| Market capitalization verification | $52.83 billion calculated from $309.12 x 170.90 million shares, with 0.00% variance versus reported market cap | Pineify financial_rigor.py and StockAnalysis | July 8, 2026 |
| Shares outstanding | 170.90 million shares outstanding | StockAnalysis KEYS statistics | July 8, 2026 |
| Fiscal 2025 revenue | $5.37 billion from Keysight, cross-validated with Macrotrends and StockAnalysis near $5.38 billion | Keysight FY2025 results release | July 8, 2026 |
| Fiscal 2025 GAAP net income | $846 million from Keysight, cross-validated with Macrotrends and StockTitan near $850 million | Keysight FY2025 results release | July 8, 2026 |
| Q2 fiscal 2026 results | $1.72 billion revenue, $349 million GAAP net income, $472 million free cash flow, and $2.43 billion cash, cash equivalents, and restricted cash | Keysight Q2 FY2026 results release | July 8, 2026 |
| TTM valuation inputs | $6.09 billion TTM revenue, $1.05 billion TTM net income, $6.10 EPS, $7.94 free cash flow per share, $2.41 billion cash, and $2.76 billion debt | StockAnalysis KEYS statistics | July 8, 2026 |
| Technical indicators | 50-day moving average near $345.44, 200-day moving average near $255.80, RSI near 38.96, and 20-day average volume near 1.57 million shares | StockAnalysis and Barchart technical data | July 8, 2026 |
This KEYS AI stock analysis is an informational research tool only. It is not investment advice, a recommendation, or a guarantee of future returns. Forecast scenarios are based on available public data as of the stated cutoff date and can be wrong if fundamentals, technical conditions, valuation multiples, or market conditions change.
