Kulicke and Soffa Industries research snapshot
KLIC AI stock analysis as of the August 3, 2026 data cutoff reads Kulicke and Soffa Industries as the leading maker of semiconductor wire bonding and advanced packaging assembly equipment, in the middle of a sharp correction after a parabolic rally. The stock closed at $89.20 on July 31, 2026, down about 34% from the $135.80 all-time high set on July 1, 2026, after rising more than 160% over the prior 12 months on demand tied to general semiconductor, memory, and advanced packaging. Market capitalization was about $4.67 billion at the cutoff. The Q2 FY2026 report, released May 6, 2026, showed net revenue of $242.6 million up 49.8% year over year and 21.5% sequentially, gross margin of 49.3%, GAAP EPS of $0.66, non-GAAP EPS of $0.79, and management guided the June quarter to about $310 million of revenue with non-GAAP EPS near $1.00. The stock trades near 86x trailing GAAP EPS because earnings are recovering from a trough, and at about 26.5x the FY2026 non-GAAP EPS estimate of $3.36, the multiple already prices in a strong upcycle. The Q3 FY2026 report is scheduled for August 5, 2026. This page is informational research and not investment advice.
Current price
$89.20 close on July 31, 2026
Market cap
About $4.67 billion
AI score
58 / 100
Rating
Recovering semiconductor assembly equipment leader in a sharp correction after a parabolic run
Trend status
Below the 20-day, 50-day, and 100-day moving averages, still above the 200-day, after a July pullback of about 34% from the all-time high
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | KLIC sells capital equipment and consumables for the assembly and packaging step of semiconductor manufacturing, with four segments: ball bonding equipment, wedge bonding equipment, Advanced Solutions, and Aftermarket Products and Services. TTM revenue was $768.22 million and the business is recovering strongly from the 2023-2025 downcycle. | High |
| Moat | The moat comes from decades of installed base, 12 to 24 month customer qualification cycles, aftermarket consumables and service revenue, engineering depth in wire bonding, wedge bonding, and Thermo-Compression bonding, and strong OSAT, foundry, and IDM relationships. Competition from ASMPT, Shinkawa, and advanced packaging rivals is real. | Medium-high |
| Management | Lester A. Wong has served as Interim Chief Executive Officer and Chief Financial Officer since October 28, 2025, when Dr. Fusen Chen retired for health reasons, and the board has been searching for a permanent CEO with no successor announced as of the August 3, 2026 cutoff. Insider ownership is about 3.17% and several Form 144 sales were filed in May and June 2026. | Medium |
| Financial trend | Q2 FY2026 net revenue was $242.6 million, up 49.8% year over year and 21.5% sequentially, with gross margin of 49.3%, GAAP EPS of $0.66, non-GAAP EPS of $0.79, and GAAP operating cash flow of $10.3 million. Management guided the June quarter to about $310 million of revenue, up 28% sequentially, and non-GAAP EPS near $1.00. | High |
| Valuation | At $89.20, KLIC trades near 86x trailing GAAP EPS because trough earnings are still recovering, about 26.5x the FY2026 non-GAAP EPS estimate of $3.36, 6.08x sales, and 5.44x book value. The forward multiple is lower than in July but still assumes a strong upcycle. | Medium |
| Technical trend | KLIC fell about 34% from the $135.80 July 1 high to $89.20 on July 31, closing below the 20-day, 50-day, and 100-day moving averages while holding above the 200-day moving average near $72.95. The 14-day RSI near 38 is weak and the 14-day ADX near 28.7 shows negative directional pressure. | Medium |
| Risk level | The thesis can fail if the semiconductor assembly upcycle stalls, OSAT and memory customers pause capacity additions, China-related demand weakens, advanced packaging and TCB growth slows, gross margins compress, the interim CEO situation drags on, or the stock gives back more of its recovery premium. | Medium-high |
| AI confidence | High for source-backed price, revenue, net income, cash, debt, guidance, and valuation math that cross-validated across StockAnalysis.com, Yahoo Finance, the PR Newswire Q2 FY2026 earnings release, and the Q2 FY2026 earnings call. Lower for future returns because semiconductor equipment cycles, end-market demand, and multiple trajectories are inherently uncertain. | High data confidence |
| Investment certainty | Low-medium certainty because KLIC is a quality business in a recovering end market with a net cash balance sheet, but the stock is extremely volatile, trades at a multiple that prices in a strong upcycle, and faces an open CEO search. | Low-medium |
KLIC AI stock forecast
The KLIC AI stock forecast is scenario-based around the $89.20 July 31 close. The three-scenario model, run with the financial_rigor.py tool on the FY2026 non-GAAP EPS estimate of $3.36, produced a bullish target near $145 with 20% EPS growth and a 25x exit multiple, a base target near $81 with 10% growth and an 18x multiple, and a bearish target near $29 with 10% annual EPS decline and a 12x multiple. The current price sits inside the base range, which means the market has already discounted a substantial part of the recovery.
$120 to $150
More likely if the assembly upcycle extends, Thermo-Compression bonding and Advanced Solutions scale toward the targeted $400 million revenue capacity, memory and DRAM share gains materialize, China utilization stays high, gross margins hold near 48% to 50%, and investors keep a 22x to 25x multiple on growing earnings.
$75 to $100
More likely if KLIC compounds revenue and non-GAAP EPS roughly in line with the June quarter guidance and the FY2026 estimate of $3.36, but the market compresses the multiple toward the 18x to 22x zone as earnings normalize, which is consistent with the current $95 to $105 analyst targets.
$25 to $50
More likely if the assembly upcycle stalls, OSAT and memory customers pause capacity expansion, China-related demand rolls over, the Q3 FY2026 report disappoints, gross margins compress on mix, or a broader semiconductor equipment downturn resumes, as happened in fiscal 2023 and 2024 when EPS fell from $7.09 to a loss.
KLIC AI technical analysis
KLIC AI technical analysis starts from the $89.20 July 31, 2026 close. The stock rallied from a $31.32 52-week low to a $135.80 all-time high on July 1, 2026, then corrected about 34% through late July, with the July 29 low at $82.86. Barchart and StockAnalysis.com both showed the 20-day moving average near $102.29, the 50-day near $109.03, the 100-day near $94.22, and the 200-day near $72.95 as of July 31, with 14-day RSI near 38 and 14-day historic volatility near 81%. Because this static page does not fetch request-time chart data, live price, volume, and moving averages should be confirmed before use, and the Q3 FY2026 earnings report on August 5, 2026 is the next major catalyst.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $89.20 close on July 31, 2026 | StockAnalysis.com and Yahoo Finance both quoted the July 31 close at $89.20, with after-hours near $89.48, as of the August 3, 2026 data cutoff. |
| Near support | $82 to $88 | The July 29 intraday low was $82.86 and the round $85 level sits inside this zone. This is a planning area, not a guaranteed floor. |
| Next support | $72 to $76 | The 200-day moving average was near $72.95 on July 31, 2026, and the $75 round number is close by, making this the main trend-line support. |
| Near resistance | $94 to $98 | The 100-day moving average was near $94.22 and the round $95 level sits in this zone, so a sustained move above here would improve short-term momentum. |
| Major resistance | $102 to $110 | The 20-day moving average was near $102.29 and the 50-day near $109.03 on July 31, 2026. Reclaiming this zone would signal the correction is stabilizing. |
| 50-day moving average | $109.03 | Barchart and StockAnalysis.com both reported the 50-day moving average near $109.03 on July 31, 2026, about 22% above the close. |
| 100-day moving average | $94.22 | Barchart reported the 100-day moving average near $94.22, just above the July 31 close, so the stock is fighting the medium-term trend line. |
| 200-day moving average | $72.95 | The 200-day moving average near $72.95 is the last major support below price and marks the dividing line between a pullback and a trend break. |
| Momentum | Weak short-term momentum | The 14-day RSI was near 37.97 and the 14-day ADX near 28.68 with the negative directional index above the positive one, so downside pressure still dominates. |
| Volume | About 1.45 million shares on July 31 | Volume on the selloff days was elevated, and the 20-day average was about 979,000 to 990,000 shares, so heavy-volume breakdowns carry more weight. |
| Volatility | Very high | Barchart reported 14-day historic volatility near 80.63% and a 14-day average true range near $8.55, so position sizing matters and price moves are large. |
| Invalidation | Close below $82.86 | A decisive close below the July 29 low near $82.86 would open a path toward the 200-day moving average near $72.95 and require a fresh review. |
KLIC AI trading strategy
The KLIC AI trading strategy is a rules-based research framework. It is not personalized advice and should be paired with position sizing, stop levels, live chart checks, fresh company filings, and the August 5, 2026 Q3 FY2026 earnings report.
Wait for KLIC to reclaim the 100-day moving average near $94 and then the $102 to $110 zone on volume that confirms renewed demand rather than short-term noise, with the 200-day trend line near $72.95 still rising.
A daily close below the July 29 low near $82.86 or a failed attempt at the $102 to $110 resistance zone should invalidate the setup and trigger a stop and review.
If KLIC stabilizes in the $82 to $88 support zone without a business thesis break, compare the price reaction with the Q3 FY2026 earnings report on August 5, revenue guidance, gross margin trends, TCB and memory commentary, and the permanent CEO search.
Do not average down without a predefined maximum loss and a fresh review of semiconductor cycle risk, because a cyclical name can stay weak well past a support break.
Track quarterly revenue growth, gross margin trend, free cash flow conversion, Q3 FY2026 results, TCB and Advanced Solutions revenue, memory and DRAM share gains, China utilization, OSAT capex plans, the capital expenditure ramp, and any news on the permanent CEO successor.
Reduce confidence when price strength is driven by cycle expectations without matching evidence, or when the recovery depends on one customer segment such as China memory OSATs.
Investment research summary
KLIC makes the capital equipment, tools, and consumables used to assemble, bond, and package semiconductor devices. Customers pay for higher yield, throughput, and reliability in the final packaging step of chip manufacturing, across general semiconductor, memory, automotive, industrial, and communications end markets.
The moat comes from decades of installed base, customer qualification cycles that take 12 to 24 months, aftermarket consumables and service revenue that recur, engineering depth in wire bonding, wedge bonding, and Thermo-Compression bonding, and strong OSAT, foundry, and IDM relationships. It is meaningful but not impregnable, and ASMPT, Shinkawa, and advanced packaging rivals compete directly.
The stock can fail if the semiconductor assembly recovery proves cyclical rather than structurally growing, OSAT and memory customers over-order and then destock, advanced packaging and TCB adoption takes longer than expected, China-related revenue faces restrictions, gross margins compress on mix, the interim CEO situation persists, or investors stop paying upcycle multiples for cyclical equipment earnings.
Lester A. Wong has been Interim Chief Executive Officer and Chief Financial Officer since October 28, 2025, when longtime CEO Dr. Fusen Chen retired for health reasons and became an advisor. The board began a search for a permanent successor at that time, and as of the August 3, 2026 cutoff no successor had been named. Insider ownership is about 3.17% and several Form 144 sales were filed in May and June 2026.
Wire bonding remains the dominant interconnect technology in semiconductor packaging, and data center growth is driving both advanced packaging for the most complex logic and memory and high volume traditional packaging for networking, power management, and storage. The risk is that assembly equipment spending stays cyclical even inside a secular growth trend, as the 2023-2025 downturn showed.
The current price embeds expectations of significant earnings recovery. Margin of safety improves if the forward multiple near 26.5x on the FY2026 EPS estimate proves conservative as earnings normalize, or if the stock corrects further during the current volatile phase toward the analyst target zone of $95 to $105 or below.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| KLIC price | $89.20 at the July 31, 2026 close, about $89.48 after hours | StockAnalysis.com and Yahoo Finance | August 3, 2026 |
| Market capitalization | About $4.67 billion, verified as $89.20 times 52.33 million shares with 0.00% deviation using financial_rigor.py | StockAnalysis.com and Yahoo Finance | August 3, 2026 |
| Shares outstanding | 52.33 million shares, float of 50.64 million, shares down 2.38% year over year | StockAnalysis.com share statistics | August 3, 2026 |
| TTM revenue | $768.22 million, cross-validated with 0.00% deviation across StockAnalysis.com, Yahoo Finance, and Fiscal.ai | StockAnalysis.com and Yahoo Finance | August 3, 2026 |
| TTM net income and EPS | $55.03 million net income and about $1.04 diluted EPS, cross-validated with 0.00% deviation across StockAnalysis.com, Yahoo Finance, and Fiscal.ai | StockAnalysis.com and Yahoo Finance | August 3, 2026 |
| Q2 FY2026 revenue | $242.6 million for the quarter ended April 4, 2026, up 49.8% year over year and 21.5% sequentially, matching the PR Newswire release | Kulicke & Soffa Q2 FY2026 earnings release | August 3, 2026 |
| Q2 FY2026 earnings | Gross margin of 49.3%, GAAP EPS of $0.66, non-GAAP EPS of $0.79, GAAP operating cash flow of $10.3 million, and adjusted free cash flow of $6.3 million | Kulicke & Soffa Q2 FY2026 earnings release | August 3, 2026 |
| Q3 FY2026 guidance | Net revenue of about $310 million plus or minus $20 million, up 28% sequentially, GAAP EPS of about $0.87 plus or minus 10%, and non-GAAP EPS of about $1.00 plus or minus 10%, with gross margin of 48% | Kulicke & Soffa Q2 FY2026 earnings release and earnings call | August 3, 2026 |
| Q4 FY2026 outlook | Management expects a slight sequential improvement into the fourth fiscal quarter, about 5% to 10% above the June quarter level, with strength across the core and Advanced Solutions businesses | Kulicke & Soffa Q2 FY2026 earnings call | August 3, 2026 |
| Q2 FY2026 segment detail | General semiconductor revenue up 19.4% sequentially to $148.9 million, memory shipments up 93% sequentially to $31.3 million, and automotive and industrial shipments up 63% sequentially | Kulicke & Soffa Q2 FY2026 earnings call | August 3, 2026 |
| TCB and Advanced Solutions | Thermo-Compression bonding expected to grow at least 70% sequentially in fiscal 2026 to more than $100 million of revenue, with Advanced Solutions segment capacity being expanded toward about $400 million of revenue and the first HBM system delivered in December undergoing qualification | Kulicke & Soffa Q2 FY2026 earnings call | August 3, 2026 |
| Capital expenditure ramp | Fiscal 2026 capital expenditure guided from about $12 million to about $22 million, with a $20 million Thermo-Compression capacity expansion of which $12 million is deployed in fiscal 2026 to support production by the first half of fiscal 2027 | Kulicke & Soffa Q2 FY2026 earnings release and earnings call | August 3, 2026 |
| Cash and debt | Cash and short-term investments of $487.86 million, total debt of $39.79 million, and net cash of about $448 million as of the April 4, 2026 balance sheet | StockAnalysis.com balance sheet | August 3, 2026 |
| TTM free cash flow | About $4.32 million, or operating cash flow of $16.12 million less capital expenditures of $11.80 million, with the low conversion reflecting the current upcycle ramp | StockAnalysis.com cash flow statement | August 3, 2026 |
| Fiscal year history | FY2021 revenue $1,518 million and EPS $5.78, FY2022 revenue $1,504 million and EPS $7.09, FY2023 revenue $742.49 million and EPS $0.99, FY2024 revenue $706.23 million and EPS negative $1.24, FY2025 revenue $654.08 million and EPS about $0.00 | StockAnalysis.com financials | August 3, 2026 |
| Consensus estimates | FY2026 revenue estimate near $1.08 billion, up about 65.6%, with non-GAAP EPS near $3.36; FY2027 revenue near $1.27 billion with non-GAAP EPS near $4.24 | StockAnalysis.com forecast | August 3, 2026 |
| Valuation checks | About 86x trailing GAAP EPS, 26.55x forward on the FY2026 non-GAAP EPS estimate, 6.08x sales, 5.44x book value, and a 0.92% dividend yield, verified with financial_rigor.py | StockAnalysis.com and financial_rigor.py | August 3, 2026 |
| Technical indicators | 52-week range $31.32 to $135.80, 5-day moving average near $89.91, 20-day near $102.29, 50-day near $109.03, 100-day near $94.22, 200-day near $72.95, 14-day RSI near 38, 14-day ADX near 28.7, 14-day historic volatility near 81%, beta 1.63 | Barchart and StockAnalysis.com technical snapshots | August 3, 2026 |
| Short interest | About 2.57 million shares short, 4.92% of shares outstanding, 5.08% of float, and 1.85 days to cover | StockAnalysis.com statistics | August 3, 2026 |
| Analyst targets | Consensus Hold with an average target of $100 and a range of $95 to $105 from three analysts: B. Riley maintained Hold and raised to $100 from $80 on May 8, 2026, Needham maintained Buy and raised to $105 from $70 on May 7, 2026, and TD Cowen maintained Hold and raised to $95 from $65 on May 7, 2026 | StockAnalysis.com forecast | August 3, 2026 |
| Argus rating | Argus holds a Hold rating on KLIC and cut its price target to $95 around July 28, 2026, following cuts through July from $116 to $114 to $95, with management, safety, and financial strength subratings rated low | Yahoo Finance research reports | August 3, 2026 |
| Ownership | Insider ownership of about 3.17% and institutional ownership of about 93.27%, with several Form 144 sales filed in May and June 2026 | StockAnalysis.com and SEC filings | August 3, 2026 |
| Management | Lester A. Wong is Interim Chief Executive Officer and Chief Financial Officer since October 28, 2025, after Dr. Fusen Chen retired for health reasons; the board has been searching for a permanent CEO with no successor announced as of the August 3, 2026 cutoff | StockAnalysis.com company profile and PR Newswire | August 3, 2026 |
| Next earnings date | Q3 FY2026 earnings scheduled for August 5, 2026 after market close, with the conference call on August 6, 2026 | StockAnalysis.com and PR Newswire | August 3, 2026 |
This KLIC AI stock analysis page is an informational research tool only. It is not investment advice, financial advice, or a recommendation to buy or sell any security. Forecast scenarios are based on available public data as of August 3, 2026 and may be wrong if KLIC fundamentals, semiconductor assembly demand, OSAT and memory spending, trade policies, interest rates, or market valuation multiples change. The Q3 FY2026 report on August 5, 2026 could change the picture quickly.
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