MassMutual Private Wealth and Trust FSB grew its stake in shares of KLA Corporation (NASDAQ: KLAC) by 62.2% during the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 10,958 shares of the semiconductor company's stock after acquiring an additional 4,203

Pricing power is often thrown around as a blanket argument for owning certain stocks, but it's important to understand where it comes from and what can put it at risk. The AI buildout has created a wave of new business for semiconductor companies, and bottlenecks in crucial components and energy have altered some formerly predictable price cycles.

In the most recent trading session, KLA (KLAC) closed at $200.31, indicating a +2.76% shift from the previous trading day.

KLA Corp.'s $12.57B backlog, AI-led chip spending and advanced-packaging growth bolster revenue visibility as competition with AMAT and ASML intensifies.

Shares of Navitas Semiconductor (NASDAQ:NVTS) were surging premarket, though the stock has since pared gains, last seen up 2% to trade at $11.96, after the company was selected to produce chips for the U.S. Army's ALATTIS (Accelerated, Large-Area, 10 kV SiC IGBT) program.

KLA is reiterated as a buy, with valuation pullback presenting an attractive entry amid robust long-term growth prospects. The company targets $26B in revenue by 2030, outpacing industry CAGR, with stable gross margin and improving operating leverage. Capital returns are set to exceed 90% of FCF by 2030, enhancing shareholder value through increased dividends and buybacks.

Envestnet Portfolio Solutions Inc. lifted its holdings in KLA Corporation (NASDAQ: KLAC) by 1,195.3% in the undefined quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 14,948 shares of the semiconductor company's stock after acquiring an additional 13,794 shares during the period. Envestnet

Applied Materials, Lam Research and KLA stand to benefit as BofA lifts chip equipment spending forecasts amid surging AI, memory and packaging demand.

TSMC is expanding advanced-packaging capacity as demand from Nvidia and other chip designers continues to rise. KLA, Camtek, and Nova sell different types of inspection and metrology equipment used to protect manufacturing yields.

TSMC's advanced-packaging industrial park signals a surge in chip manufacturing complexity, and the companies that profit most will not be the ones building the packages. Three equipment suppliers sit at a critical chokepoint where every additional package produced forces a spending decision manufacturers cannot easily avoid.