Nvidia’s Networking Chief just revealed where he is convinced the next AI fortune could be made.
And here’s the best part… You don’t need to be a PhD, a Silicon Valley insider, or have millions of dollars in seed capital.
Gilad Shainer, Senior Vice President of Networking at NVIDIA, says: “A growing portion of the billions spent on AI [will land here].”
Jensen Huang, the CEO of Nvidia, agrees, calling it: “foundational to scaling AI.”
Yet, these tech titans aren’t talking about AI chips, chatbots, or anything like that. It’s a hidden AI play few are noticing, one that’s quietly becoming one of the fastest-growing cash streams in America today.
We just recorded a video on exactly where Nvidia’s Networking Chief says billions could flow next…
Warning: if you’re only focusing on chips and chatbot stocks, you will miss this entirely.
P.S. Nvidia just announced it will spend $500 billion over the next
4 years…But a massive chunk of that cash is headed somewhere surprising.
It’s not AI chips, chatbots, or anything similar. Yet Nvidia’s own Networking Chief says fortunes could be made here. Click here to watch the full story now.
KLA Sank After Earnings—Then Analysts Started Raising Targets
Submitted by Leo Miller. Posted: 2/3/2026.
Key Takeaways
- KLA is one of the lesser-discussed leaders in semiconductor equipment, but its importance is undeniable.
- The stock has nearly doubled over the past 52 weeks, but it just sold off heavily post-earnings.
- Counterintuitively, Wall Street analysts boosted their KLA price targets by more than 10% on average following the results, signaling potential in the stock.
Within the wafer fabrication equipment (WFE) landscape, several high-profile companies dominate the conversation, including ASML (NASDAQ: ASML), Lam Research (NASDAQ: LRCX), and Applied Materials (NASDAQ: AMAT).
Despite attracting less attention than some peers, KLA (NASDAQ: KLAC) is a critical player in the WFE space and the broader semiconductor ecosystem. With a market capitalization near $185 billion, KLA is the world's fourth-most-valuable company in the WFE industry. Over the past 52 weeks, KLA shares have delivered a total return of nearly 93%.
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That momentum hit a bump after KLA released its latest earnings report on Jan. 29. Although the company beat estimates for revenue and adjusted earnings per share (EPS), the stock fell about 15% the next day. At the same time, many Wall Street analysts raised their price targets, suggesting the pullback may have created an opportunity.
Understanding KLA: Process Control Behemoth With Expanding Share
KLA is a dominant supplier in the semiconductor manufacturing process control market. Its equipment and software help manufacturers meet strict quality standards and run their fabs efficiently. Two core process-control functions are inspection and metrology. Inspection identifies defects so manufacturers can address process issues, while metrology measures tiny dimensions to ensure products meet exact specifications.
Together, inspection and metrology help customers maximize output and reduce costs, improving manufacturing yields.
KLA reported it held 54.4% of the process-control market in 2021, more than four times the share of its nearest competitor. By the end of 2024, KLA said its share had grown by 250 basis points versus 2019. As chips become more advanced, they require more sophisticated process control, a trend that supports KLA's expectation of continued market-share gains within the WFE industry.
KLA vs LRCX: What Investors May Have Missed
In the most recent quarter, KLA reported revenue of $3.3 billion, up 7.1% and slightly above expectations of $3.25 billion. Adjusted EPS was $8.85, up about 8% and ahead of estimates of $8.75. Despite these beats, confusion over KLA's outlook for industry-wide WFE growth triggered the share sell-off.
One day earlier, Lam Research had reported its results and said it expects the WFE industry to grow from $110 billion in 2025 to $135 billion in 2026, implying roughly a 23% increase. KLA provided a similar 2026 view, forecasting the total WFE market to reach the "mid-$130 billion range."
However, many investors focused on KLA's comment that the "core WFE market" should grow in the "high-single to low-double digits," which appears inconsistent with Lam's 23% figure. The discrepancy largely comes down to definitions: KLA separates the WFE market into core WFE and advanced packaging, and it includes advanced packaging in its 2025 WFE base while Lam did not.
Under KLA's definitions, the company expects the overall WFE market to rise from roughly $121 billion to the mid-$130 billion range in 2026 — roughly 12% growth — which is consistent with its stated outlook. In short, the forecasts are not necessarily at odds; the sell-off seems to have resulted from a misunderstanding of how KLA was framing the market.
Analysts Significantly Boost KLA Price Targets Despite 15% Fall
Although the stock dropped sharply after earnings, MarketBeat tracked roughly 10 analysts who raised their price targets following the report. On average, those targets increased by about 12%, a notable contrast to the roughly 15% decline in the stock price.
Among analysts who updated or issued targets after Jan. 29, the average target is approximately $1,712, compared with the MarketBeat consensus target near $1,583. Those figures imply about 21% and 12% upside, respectively, versus current levels — suggesting that forecasts incorporating the latest data are materially more bullish than older projections.
Even after the pullback, KLA shares do not look particularly cheap. The stock's forward price-to-earnings ratio is near 35x, roughly 36% above its three-year average. Still, with artificial intelligence driving strong demand for semiconductors, the WFE industry is in a favorable position, and as a market-share leader KLA's outlook appears tilted to the upside.
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